Stock Masdar city Abu Dhabi
Masdar's expanding its clean energy movement into new territories, with the Armenia project constituting a major win. Image Credit: WAM

Dubai: Abu Dhabi’s clean energy company Masdar has been picked by Armenia to build a $174 million utility-scale solar project in the country. This comes after an international tender, with Masdar offering the winning price of $0.0290/kWh.

The project will be developed on a design, finance, build, own, and operate (DFBOO) basis and the project company will be 85 per cent owned by Masdar, with the Armenian National Interest Fund (ANIF) holding 15 per cent.

The 200-megawatt (MW) plant will be located in the Talin and Dashtadem communities of Armenia, in an area where solar radiation is high and the land cannot be used for agricultural purposes.

“By winning the tender for Armenia’s biggest utility-scale solar project, Masdar enters an exciting new phase in our collaboration with our partners at ANIF and with the Armenian government,” said Mohamed Jameel Al Ramahi, CEO of Masdar. “This is a vital stage in Armenia’s clean energy journey: low-cost solar energy will help power new industries, generate jobs and set the country on the path to a prosperous and truly sustainable future.”

The plant will span over 500 hectares and create numerous direct and indirect jobs. The tender was part of the Joint Development Agreement signed between Masdar and ANIF in November 2019, to develop renewable energy projects with a total capacity of 400 MW in Armenia. Discussions are under way on the development of the remaining 200MW.