Egypt’s renewable energy sector has secured more than $1 billion in investment commitments from Alcazar Energy Partners through two transactions involving wind power development and the privatization of an existing electricity asset.

The deals include the financial close of two 500-megawatt wind projects worth $626 million on the country’s Red Sea coast.

The projects, Niat and Rasgha, each have a planned capacity of 250 megawatts and are expected to strengthen Egypt’s electricity supply as the country seeks to expand renewable generation and attract private capital into its energy infrastructure. The combined investment also includes a separate $420 million Gabal El Zeit privatization transaction.

Wind projects reach financial close

Alcazar Energy Partners has secured $436 million in project financing for Niat and Rasgha from the European Bank for Reconstruction and Development, the European Investment Bank and Deutsche Investitions- und Entwicklungsgesellschaft (DEG). The financing advances both developments toward construction following the completion of their financial close.

The projects are located in Ras Ghareb on Egypt’s Red Sea coast and will operate under 25-year power purchase agreements with the Egyptian Electricity Transmission Co. Notice to proceed has been issued to Siemens Gamesa Renewable Energy, which will supply the turbines and provide operations and maintenance services.

Major contractors join development

Alcazar acquired the development rights to Niat and Rasgha, advanced their development and arranged the financing. Siemens Gamesa contributed earlier development work, while Orascom Construction will serve as the balance-of-plant contractor, bringing together international technology providers and local construction expertise.

Both wind farms are expected to enter commercial operation by the end of 2028. Once operational, they are forecast to generate more than 2.3 terawatt-hours of electricity annually and avoid nearly 1.1 million metric tons of carbon dioxide-equivalent emissions each year.

Egypt targets more clean power

The developments are expected to support about 45 permanent operational jobs, in addition to temporary employment during construction. Their addition to Egypt’s electricity network is intended to improve energy security while supporting the government’s efforts to reduce emissions and diversify the country’s power generation mix.

Daniel Calderon, co-founder and managing partner of Alcazar Energy Partners, said the projects demonstrate the fund manager’s commitment to turning complex renewable energy opportunities into bankable developments. He said the combination of international financing, technology and local expertise would help expand electricity supply and strengthen Egypt’s energy security.

Alcazar expands investment portfolio

Established in 2014, Alcazar Energy Partners is an independent infrastructure fund manager focused on developing and investing in utility-scale renewable energy projects in emerging markets. Its first investment vehicle, AEP I, mobilized approximately $750 million for wind and solar assets across its portfolio.

Its second fund, AEP II, closed with $490 million in commitments in May 2024 and is expected to mobilize approximately $2 billion in investment.

The fund draws institutional and private capital from investors across North America, Asia, Europe and the Middle East, positioning Alcazar to pursue additional renewable energy opportunities in growth markets.

The separate $420 million Gabal El Zeit privatization agreements were signed in July 2026, with the transaction progressing toward its own project-finance close. Together, the transactions represent more than $1 billion in project and transaction value, including debt and equity, across Egypt’s electricity sector.