Scatec starts construction of 900 MW Shadwan wind project in Egypt

In connection with the project, Scatec has signed equity bridge loan (EBL) agreements totalling US$150 million with The Arab Energy Fund (TAEF). The three-year EBL facility comprises US$50 million for Shadwan and US$100 million for the 1950 MW solar and 3935 MWh battery energy storage system (BESS) Energy Valley project.

Scatec has also signed a joint development agreement with EDF, for a targeted equity stake of 29% in Shadwan, and intends to invite additional equity partners into the project.

The 900 MW Shadwan project with a total CAPEX of US$716 million will be one of the largest onshore wind farms in Africa. The project is expected to generate approximately 4 TWh annually and avoid an estimated 1.6 million tpy of CO₂ emissions. Shadwan will be delivered through Scatec’s highly capital-efficient integrated model, optimising Scatec’s equity funding requirement by combining the equity bridge loan from TAEF with cash flows generated from Scatec’s design and construction activities.

Scatec CEO, Terje Pilskog, responded: “Reaching these milestones reflects the scale and momentum of what Scatec is building in Egypt. Shadwan and Energy Valley together represent a significant step in our ambition to develop a world-class renewable energy portfolio in one of the most attractive markets for cost-efficient, secure, and clean energy. The support from TAEF is a strong vote of confidence in both projects and enables us to initiate construction of Shadwan with limited capital deployment.”

EDF power solutions CEO, Béatrice Buffon, added: “Shadwan represents a step forward in the development of EDF power solutions in Egypt, under its partnership with Scatec. Capitalising on Egypt’s exceptional wind resources, Shadwan will provide competitive, low-carbon electricity, supporting the country’s ambition to accelerate the implementation of renewable energy projects.”

Nicolas Thevenot, Chief Banking Officer of TAEF, concluded: “Our financing for Shadwan and Energy Valley reflects TAEF’s commitment to supporting critical energy infrastructure that advances energy security and sustainability. We are pleased to partner with Scatec in enabling these large scale renewable energy projects and supporting Egypt’s evolving energy landscape.”

Scatec has signed mandate letters with a consortium of development finance institutions for long-term, non-recourse project financing at attractive terms, with financial close for both projects and construction start also for Energy Valley expected by year end.

Scatec will deliver EPC, asset management, and operations & maintenance services for both projects. Shadwan will be built in phases with the first phase expected to reach commercial operation date at the end of 2027.

For more news and technical articles from the global renewable industry, read the latest issue of Energy Global magazine.

Energy Global’s Autumn 2026 issue

The Autumn issue of 2026 is available now! The new issue begins with a regional report on Asia Pacific, looking at the region’s transition from building capacity to building systems. The issue also explores topics such as offshore wind foundations, solar maintenance, training the new workforce, inspection & maintenance, and more! With insights from experts such as Everllence, BW Ideol, EM&I, Watson Farley & Williams, and many more, make sure to check out this issue now.

Read the article online at: https://www.energyglobal.com/wind/02102026/scatec-starts-construction-of-900-mw-shadwan-wind-project-in-egypt/