EBRD to finance 55 MW Sainshand wind park
The European Bank for Reconstruction and Development (EBRD) is considering providing a senior loan of up to US$30 million for the construction of the 55 MW Sainshand wind park in Mongolia’s Gobi desert.
The Sainshand Wind Farm will be the third wind energy project developed in Mongolia, following the Salkhit Wind Farm and the Tsetsii Wind Farm projects, which EBRD financed in 2012 and 2016.
Sainshand Salkhin Park LLC, a special purpose limited liability company owned by Engie, the IFU, Ferrostaal Industrial Projects and a local partner, will develop the project under a build, own and operate basis. The wind power plant will be located approximately 460km to the south east of Ulaanbaatar comprising 25 wind turbines and a total project cost estimated at US$120 million.
The operation will contribute to reducing Mongolia's carbon intensity as well as meeting its increasing power demand. In addition, the project will also strengthen the private sector presence in the energy sector in the country and contribute to reaching the national renewable energy targets.
The project will assist Mongolia in diversifying its coal-dependent power sector and reducing CO2 emissions by up to 5 million tons over the project's lifetime and also, will result in a new private entrant in the Mongolian power generation sector, where assets are almost entirely state-owned.
