Scatec Secures $479M Financing for 1GW Solar-Battery Project in Egypt

Norwegian renewable energy company Scatec has secured financial close for its landmark Obelisk hybrid solar and battery storage project in Egypt, marking a significant step in the country's clean energy transition. The project, with a total capital expenditure of approximately $590 to $600 million, has received $479.1 million in non-recourse financing from international institutions including the European Bank for Reconstruction and Development, African Development Bank, and British International Investment, covering around 80% of the cost. Construction began in May 2025 and will proceed in two phases: the first phase features 561 MW of solar capacity plus 100 MW/200 MWh battery storage, with commercial operations expected in the first half of 2026, followed by a second phase adding 564 MW of solar capacity in the second half of the year. The energy produced will be sold under a 25-year US dollar-denominated power purchase agreement with the Egyptian Electricity Transmission Company, supported by a sovereign guarantee. Scatec will provide engineering, procurement, construction, asset management, and operations and maintenance services, with about 70% of the project cost tied to EPC work. This project is part of Egypt's broader Nexus of Water, Food and Energy platform, aiming to deliver 10 GW of renewable energy by 2030, highlighting its strategic importance to the region's energy transition.