ACWA Power announced that it has achieved financial close for senior debt facilities totaling $238 million to fund a renewable energy project in Azerbaijan. The financing for this 240-megawatt (MW) wind farm, called Absheron-Khizi, was secured with support from the European Bank for Reconstruction and Development (EBRD) and the OPEC Fund for International Development (OPEC Fund). This funding will support the construction and operation of the Absheron-Khizi wind farm, which is set to be the first independent, international investment-based wind power project in Azerbaijan.
In addition to the senior debt facilities, ACWA Power secured a $120 million equity bridge financing facility from First Abu Dhabi Bank (FAB) in December 2023. This equity financing is structured in a Shariah-compliant manner, meeting Islamic financing standards.
The Absheron-Khizi wind farm is expected to start operations in the first half of 2026. Once operational, it will supply renewable electricity to nearly 300,000 households in Azerbaijan, supporting the country’s efforts to expand its renewable energy capacity. The project has a 25-year power purchase agreement with Azerbaijan’s national electrical power company, Azerenerji, ensuring a long-term supply of clean energy to the national grid.
Upon completion, the Absheron-Khizi wind farm is projected to help reduce carbon emissions in Azerbaijan by around 400,000 tonnes annually. This reduction aligns with Azerbaijan’s goals for renewable energy development and greenhouse gas mitigation. The project represents a step in Azerbaijan’s renewable energy landscape, as it involves international investors and aims to support sustainable energy sources within the region.
