Swiss, German firms plan $2bn Oman solar project

Terra Nex, MEBS to collaborate on green energy plan, to create over 2,000 jobs
Swiss, German firms plan $2bn Oman solar project
Plans have been revealed for a $2bn solar power project in Oman. [Image for illustration only]
By Andy Sambidge
Sun 15 Jan 2012 05:57 PM

Switzerland's Terra Nex Financial Engineering announced on Sunday plans for a major $2bn solar power project in Oman.

It said it was collaborating with the Middle East Best Select (MEBS) Group of Funds to develop solar power resources within the sultanate.

Terra Nex, a Swiss licensed and global wealth management company, said in a statement that solar power electricity generation stations were central to the project.

The project aims to generate approximately 400MW and industrial plants will be established in Oman to manufacture the solar panels and aluminium frames to be used by the power station.

The project aims to tie up with major international technology companies and universities with expertise in renewable energy education, to help train the local population.

Sheikh Hilal bin Khalid bin Nasser al Maawali, local partner to Terra Nex and MEBS, said: "This is great beginning for 2012 for Oman. With a major $2bn international investment strong indication of commitment coming to Oman so early in the year, we have yet again highlighted the potential for attractive investment in the sultanate."

David Heimhofer, chairman of Terra Nex and managing director of MEBS Group, added: "Oman's stable business environment and pro-environmental policies makes the Sultanate a natural partner to this project.

"The government's aim to produce 10 percent of its energy needs from renewable energy resources by 2020 is laudable. And this project will go a long way in making that vision a reality."

The project will be financed by world investors and financiers, with the majority coming from Germany.

From the $2bn investment, $600m will be direct equity capital and the remaining covered by loans from European financiers, said Heimhofer.

Terra Nex and MEBS said they have agreed with the local partner, Sheikh Hilal Al-Maawali, to offer 40 percent of the capital for public subscription in the future after not more than four years from the operation of the project.

The project is set to create over 2,000 job opportunities, the statement added.

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