ACWA Power Expands Presence in Bahrain and Kuwait with Strategic Acquisition
Key Ideas
- ACWA Power acquires Engie's stakes in gas-fired power plants and desalination facilities in Bahrain and Kuwait for $693 million, strengthening its presence in the region.
- The acquisition provides ACWA Power with secured revenue streams and aligns with its goal of tripling assets under management by 2030.
- ACWA Power, known for its oil and gas operations, is transitioning towards renewable energy and green hydrogen projects.
- The company is actively involved in green hydrogen initiatives, including a major project in Neom, showcasing its commitment to sustainable energy solutions.
ACWA Power, a utility giant from Saudi Arabia, has made a strategic move by agreeing to purchase France's Engie stakes in four gas-fired power plants and water desalination facilities in Bahrain and Kuwait for $693 million. This acquisition includes a significant operating capacity of 4.61 gigawatts of gas-fired power generation and 1.11 million cubic meters per day of water desalination facilities. ACWA Power views this acquisition as a means to strengthen its presence in the region, with CEO Marco Arcelli highlighting the importance of securing contracted revenue streams. The move aligns with ACWA Power's broader strategy of expanding its assets under management to $250 billion by 2030. ACWA Power, traditionally focused on oil and gas operations, is now shifting towards renewable energy and green hydrogen projects. The company has signed agreements for various green hydrogen initiatives, including a partnership with Neom and Air Products to develop the Neom Green Hydrogen Project. This transition showcases ACWA Power's commitment to sustainability and its readiness to embrace innovative energy solutions.