By David Ssempijja

GLOBAL Energy, the power arm of TAQA Arabia, has signed a joint venture deal with ASEC Cement and the Sudanese Pension Fund to generate power in Sudan.

According to a statement issued by Citadel Capital, the new venture under Berber for Electrical Power will generate about 42 megawatts.

TAQA is Citadel Capital’s platform investment firm speacialising in the energy distribution sector in the Middle East and Africa.

The project will provide electricity to Takamol, ASEC Cement’s 1.6 million tonne per annum Greenfield cement plant in Sudan, under a 20-year off-take agreement.

“The 42MW plant is major milestone for TAQA Arabia’s power generation business.

“It will be a vital energy source for Sudanese cement plant,” the statement said.

Takamol is located 14km west of Fahalb on the west bank of the River Nile.
The new venture will be in operation next month.

“This agreement is important for Global Energy’s regional expansion drive,” noted TAQA Arabia chief executive officer, Khaled Abubakr.

“It is part of our regional expansion strategy, which has already seen our gas arm establish a footprint across several countries in the Middle East and North Africa,” he added.

He was optimistic that the company would continue to look for attractive regional investment opportunities. “I would like to thank the Sudanese government for its assistance and trust.”

Magdy Saleh, the managing director of TAQA Arabia’s power arm, said 51% of Berber’s equity would be held by Global Energy.

“The Sudanese Pension Fund will have 25%, while ASEC Cement will own the balance,” he said.

Under the terms of the joint venture, Berber will build, own, operate and maintain a heavy-fuel-oil-fired captive power plant, which estimated to $67m.