TAQA consortium announces financial closing for Makkah’s Juranah ISWR-1 project

Logo of Abu Dhabi National Energy Co. (TAQA)

Abu Dhabi National Energy Co. (TAQA)-led consortium, comprising Vision International Investment Co. (Vision Invest) and Gulf Investment Corporation (GIC), announced the financial closing for the Juranah Independent Strategic Water Reservoir Project (ISWR-1) in Makkah.

The consortium has successfully completed all financing arrangements for this project, according to a statement today, June 4.

“The Juranah ISWR-1 financial closing follows the signature by TAQA, Vision Invest, and GIC consortium of the relevant project agreements with the Saudi Water Partnership Co. (SWPC), held on Dec. 31, 2023,” it read.

The project, worth around AED 1.5 billion, was financed via approximately 82% debt funding from both local and international banks, including Alinma Bank, Banque Saudi Fransi (BSF), The Saudi Investment Bank (SAIB) and Commercial Bank of Dubai (CBD), the statement added.

TAQA holds a 35% stake in the project’s joint venture (JV) company, together with another 50% shareholding in the operations and maintenance company, led by TAQA itself.

Juranah ISWR-1 is deemed pivotal in addressing emergency municipal water demand across the Kingdom, specifically in Makkah and Madinah during the Hajj season.

With a total storage capacity of two million cubic meters, being developed under a build, own, operate and transfer (BOOT) scheme, with an additional 500,000-cubic meter capacity of operational tanks under a design, build, transfer (DBT) model, the project aims to significantly shore up the local potable water transmission and distribution system.