Acwa Power explores renewables projects in China

Pexels/Gustavo Fring

Saudi renewables major Acwa Power has started due diligence on up to eight projects in China, CEO Marco Arcelli said.

“The first one will be announced in the coming few months,” he said in the company’s Q4 2023 financial statement.

“2024 will be the first full year of execution for the new growth strategy with its new and increased targets and our performance in 2023 is promising.”

• Acwa Power begins work on $4bn green hydrogen project in Egypt
• Acwa Power backs $800m energy project in South Africa
• Acwa Power profit up 16% on robust business momentum

Net profit rose 8 percent year on year to SAR1.7 billion ($453 million) in 2023, driven by increased operating income from existing projects and higher development fees.

Revenue for the 12-month period increased 16 percent to just over SAR6 billion due to better plant availability and higher operation and maintenance revenue.

However, the company faced a rise in financial charges, lower capital recycling gains and a decline in other income.  

Operating income before impairment loss and other expenses stood at nearly SAR3 billion last year, 14 percent higher year on year.

In 2023, financial closure was successfully attained on 12 projects worth a combined investment cost of SAR60 billion, which includes the Neom green hydrogen project.

Acwa Power’s board has approved a dividend payment of SAR329 million, or SAR0.45 per share, for 2023, payable in 2024, subject to shareholders’ approval.