Herbert Smith Freehills Kramer advises on three record-breaking wind power projects in Saudi Arabia

Leading global law firm Herbert Smith Freehills Kramer has advised a sponsor consortium (consisting of Marubeni Corporation, a renowned Japanese integrated investment conglomerate, and Abdulaziz Alajlan Sons for Commercial & Real Estate Investment Company – Ajlan & Bros, a Saudi based trading and real estate entity) on three record-breaking wind power projects in the Kingdom of Saudi Arabia.

The projects consisted of a 600 MW capacity wind project in Al Ghat, Riyadh Province; a 500 MW capacity wind project in Waad Al Shamal, located in the Northern Borders Province of the Kingdom; and a 700 MW capacity wind project located north of the city of Yanbu in the Medina Province.

The projects set a new global record for the lowest cost of electricity production from wind energy, paving the way for the Kingdom to be a key hub for wind energy production at globally competitive prices.

The projects significantly contribute to Saudi Arabia’s National Renewable Energy Program (NREP), which aims to deliver 50% renewable energy by 2030 as part of the Kingdom’s Energy Mix target.

Financial close was achieved on 19 November 2024 in respect of the projects in Al Ghat and Waad Al Shamal, with financial close for Yanbu targeted for later this year.

The Herbert Smith Freehills Kramer team was led by partner Phil Hanson, and included senior associates Adel Shageev, Jason Feng and Maria Zerkalova, and associates Umu Wurie, Alagammai Murugappan and Rayanne Ibrahim.

Partner Phil Hanson commented: "We are thrilled to have advised the sponsors of these ground-breaking wind power projects, both of which play an essential role in Saudi Arabia's commitment to sustainability in the energy sector."