The European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC) have sanctioned a €215m loan to Čibuk 1 wind farm in Serbia.
The EBRD is offering a €107.7m syndicated loan, of which €55m is syndicated to Erste Bank, the Green for Growth Fund, UniCredit and Banca Intesa under an A/B loan structure.
Separately, the World Bank’s IFC is providing €107.7m, partially through its Managed Co-Lending Portfolio Program and partially through syndicated B loans.
Touted to be the largest wind project in Serbia, the 158MW Čibuk 1 wind farm is being developed by Vetroelektrane Balkana, owned by Tesla Wind - a joint venture (JV) between Abu Dhabi-based renewable-energy company Masdar, and Čibuk Wind Holding.
Čibuk 1, which will entail an investment of €300m, will be built 50km to the northeast of the Serbian capital, Belgrade.
Spanning over an area of 40 sq km, the wind farm will feature nearly 57 wind turbines supplied by General Electric.
Once connected to grid in the first half of 2019, the plant will generate sufficient electricity to power approximately 113,000 homes, while decreasing CO2 emissions by over 370,000 tonnes.
Additionally, the construction of the wind farm will also create 400 jobs in the area and contribute to improvements in local infrastructure.
Tesla Wind chairman Yousif Al Ai said: “We would like to thank the government of Serbia, Mubadala Investment Company, as well as the lenders, advisors, and all the other parties involved in reaching this critical milestone.
“The development of the largest wind farm in the Western Balkans is a pivotal moment for the expansion of renewables in the region and positions Serbia at the forefront of Europe’s fastest-growing alternative energy sector.”