"source" and"Total Energy" They establish a $2.2 billion partnership to promote the growth of renewable energy projects in Asia
Abu Dhabi – Paris, April 2, 2017 (WAM) – Abu Dhabi Future Energy Company “Masdar”, the global leader in the field of clean energy, and “Total Energy”, the global integrated energy company, signed a binding agreement to establish a partnership with a 50% stake for each of them and a total value of up to $2.2 billion. Within the framework of this partnership, the two companies will merge their projects in the field of onshore renewable energy in nine countries within Asia.
In light of the rapid increase in global demand for electricity, led by Asia, the new partnership will allow us to benefit from the expertise and resources of Masdar and Total Energy to develop large-scale renewable energy projects at a pace that keeps pace with the accelerating demand for energy.
Upon completion of the deal, the new partnership will be the only platform for both companies to develop, build, own and operate onshore projects in the fields of solar energy, wind energy and battery energy storage systems in Azerbaijan, Indonesia, Japan, Kazakhstan, Malaysia, the Philippines, Singapore, the Republic of Korea and Uzbekistan.
The new partnership will include a project portfolio with a total capacity of approximately 3 GW, which includes projects in operation, in addition to 6 GW projects in advanced development stages and expected to become operational by 2030. Each company will contribute assets of similar value to the new partnership.
His Excellency Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology, Chairman of Masdar’s Board of Directors, said that in line with the leadership’s vision and directives to build qualitative partnerships and support the development of the clean energy sector, Masdar affirms, through the agreement, the UAE’s world-leading efforts in this sector, which have been established through implementing giant and large-scale projects, concluding meaningful investment deals, and building long-term strategic cooperation relations and partnerships, indicating that we will work through this partnership with Total Energy to expand our activities in the markets. Asia Pacific, Central Asia and the Caucasus.
His Excellency added that Asia will lead the growth in global demand for electricity during this decade, and this strategic partnership will contribute to opening new horizons for growth and enhancing progress in various parts of the continent, providing competitive and reliable energy solutions that meet the needs of our customers and partners, and accelerating the pace of sustainable economic and social development.
For his part, Mohammed Jameel Al Ramahi, CEO of Masdar, said that this partnership contributes to consolidating Abu Dhabi’s position as a leading global center in the field of energy, as it brings together the expertise of Masdar and Total Energy to accelerate the pace of dissemination of renewable energy solutions throughout Asia. He explained that this partnership would enhance the diversity of Masdar’s investment portfolio and expand its presence in promising markets with high growth rates, in addition to attracting a strategic partner with the same vision and ambition to accelerate the pace. Growth and sustainable value creation in current markets.
For his part, Patrick Pouyanne, Chairman and CEO of Total Energy, said that this agreement was signed with Masdar, one of the leading global companies in the field of renewable energy, with the aim of establishing a strong partnership in the field of renewable energy dedicated to projects in the Asian continent, pointing out that this partnership would combine the experiences of both parties and the strengths of each of them, which would contribute to strengthening Total Energy’s presence in the targeted markets and implementing projects of greater value.
He added that this partnership is in line with the renewable energy strategy and its role in supporting the company’s integrated energy system. This cooperation also reflects the strength of the long-term relationships between Total Energy and its partners in the energy sector in the UAE.
The company’s headquarters will be located in the Abu Dhabi Global Market, and will include approximately 200 employees from Masdar and Total Energy. The joint company’s management team will be announced at a later time. Completion of the agreement is subject to completion of conditions and obtaining regulatory approvals.
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