By: AGBI

Acwa Power is reportedly working to increase the capacity of its wind power plant and enter the seawater desalination business in Morocco.

The Saudi-listed company secured a new permit to increase the Khalladi wind project’s production capacity by 40 megawatts, at an estimated cost of MAD550 million ($60 million), Asharq Business reported, quoting Acwa’s general manager for Morocco Omar Mhamdi.

The expansion is expected to be completed during the next two years and will help meet growing industry demand.

The 120MW Khalladi plant began operations in the north of the country in 2018.

In March 2024 Acwa estimated a revenue loss of $47 million following a breakdown at one of its Moroccan renewable energy plants. Its investments in the country stand at $3 billion, the Asharq report said.

In March the Moroccan government selected Acwa as part of a first wave of green hydrogen investment projects. Negotiations are ongoing regarding land allocation and project implementation, the report said.

Acwa also plans to enter desalination projects, Mhamdi said, without giving details.

In May the company said net profit from January to March fell 19 percent year on year to SAR345 million ($92 million) despite revenue increasing 2 percent to SAR2 billion.

The company’s assets under management across operations, construction and advanced development reached SAR455 billion at the end of March.

Shares in Acwa Power, which is 44 percent owned by Saudi Arabia’s Public Investment Fund, closed at SAR198.80 on Wednesday. The stock was up about 9 percent in the year to date.