The Egyptian government has signed a land acquisition agreement with a group led by Norwegian renewable energy producers Scatec ASA and Orascom Construction to develop two wind power projects with a total installed capacity of 8 GW west of Sohag.

Mohamed Al Khayyat, Director of the New and Renewable Energy Authority (NREA) in Egypt, and Terje Pilskog, CEO of Scatec, signed the first agreement on Wednesday, which involves the Norwegian company's plan to build a 5 gigawatt wind farm.

The second agreement involves a project developed by a consortium consisting of Orascom Construction, Toyota Tsusho Corporation (TYO: 8015), and Engie (EPA: ENGI).The investor plans to build a 3GW wind farm.

After the signing ceremony, Egypt's Minister of Electricity and Renewable Energy, Mohammad Shakir, stated that these companies will immediately initiate on-site research after the land transfer.

These studies include basic technical assessments and measurements, as well as assessments of the environmental impact on wind farms and other prerequisites required to start construction.

These two projects were first announced during the COP27 summit held in Sharm El Sheikh in November 2022.They are expected to attract $9 billion (8.39 billion euros) in foreign direct investment (FDI).Editor/XuNing