TAQA to refinance Mirfa Power and Water Plant with $1.09 billion funding

Nine international and regional leading banks participated in the refinancing, the long-term financing is denominated in dollars and will mature on September 30, 2042.

The arrangers on the financing deals included Abu Dhabi Commercial Bank, Bank of China (Dubai), First Abu Dhabi Bank, KfW IPEX-Bank, The Norinchukin Bank, Saudi National Bank, Shinsei Bank, Sumitomo Mitsui Banking Corporation and Sumitomo Mitsui Trust Bank.

“TAQA Group is committed to securing competitive finance for our assets to maximise returns for our shareholders and business partners,” said Farid Al Awlaqi, Executive Director of Generation at TAQA Group.

“The refinancing of more than $1 billion of MIPCO’s debt facilities showcases the hard work of many of our stakeholders and the appetite for funding major utility projects in Abu Dhabi, at which TAQA is at the helm,” he added.

Frederic Claux, Managing Director, Thermal and Supply AMEA, ENGIE, said, “Not only does this demonstrate our track record in structuring large and complex financing transactions to provide greater security for our shareholders, but also our commitment to meeting the growing demand for electricity and water in the region and reconciling economic performance with a positive impact on people and the planet.”

The funding was used to refinance the power and water company’s existing debt facilities, which were established in 2014 as part of a soft-mini perm structure.

The plant has a gross installed power capacity of 1.7 gigawatts and 53 million imperial gallons per day (MIGD) gross water desalination capacity.

60 percent is owned by TAQA, with Italy’s ENGIE and Japan’s Sojitz owning a 20 percent stake each.

Frédéric Halkin, Executive Managing Director, MIPCO, said that the company has commitment to meeting the growing demand for electricity and water in the region while making a positive impact on the people and the planet.