UAE Consortium Secures Financial Closure for $408 Million Saudi Water Project

Abu Dhabi National Energy Company (TAQA), in collaboration with Vision Invest and Gulf Investment Corporation (GIC), has achieved financial closure for the Juranah Independent Strategic Water Reservoir Project (ISWR-1) in Saudi Arabia’s Mecca region. This landmark project, valued at approximately 1.5 billion dirhams ($408 million), represents a significant step in addressing emergency municipal water demand during Hajj season.

1. Strategic Importance

The Juranah ISWR-1 Project aims to meet emergency municipal water demand across the Kingdom, particularly in Mecca and Madinah regions during Hajj. With a total storage capacity of 2 million cubic meters, it will significantly enhance the potable water transmission and distribution system.

2. Financing and Partnerships

  • The project cost of around 1.5 billion dirhams was secured through approximately 82% debt funding from Saudi and international banks.
  • Taqa holds a 35% stake in the project company and a 50% shareholding in the operations and maintenance (O&M) company.

3. Vision 2030 and Economic Transformation

  • The project aligns with Saudi Arabia’s Vision 2030 plan, emphasizing privatization and self-sufficiency.
  • It reflects the broader push to diversify the economy beyond oil and invest in critical infrastructure.

The Road Ahead

The successful financial closure of the Juranah ISWR-1 Project underscores the consortium’s commitment to strategic water management and sustainable development. As the project progresses, it will contribute significantly to the region’s water security and resilience.

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