UAE’s Mirfa 2 RO plant achieves financial closure, raises $620m.
Abu Dhabi’s Mirfa 2 water desalination project has achieved financial closure after securing a funding of 2.3 billion dirhams ($620 million). The project, set to become the UAE’s third-largest reverse osmosis (RO) plant, received funding from Abu Dhabi National Energy Co. (TAQA), ENGIE, and Emirates Water and Electricity Co. (EWEC).
According to a filing, 78 percent of the project’s financing comes from debt provided by local and international banks, including Abu Dhabi Islamic Bank, BNP Paribas Fortis, Sumitomo Mitsui Banking Corp., The Norinchukin Bank, BNP Paribas, and KfW IPEX-Bank.
Expected to be operational by the fourth quarter of 2025, the Mirfa 2 RO plant will produce approximately 550,000 cubic meters of potable water per day. TAQA will hold a 60 percent ownership stake in the project, while ENGIE will own the remaining share. Both companies will be responsible for the plant’s operations and maintenance.
EWEC will procure the water supplied by the plant for a period of 30 years, as stated in the release. The project aligns with the UAE’s decarbonization efforts and TAQA’s emissions reduction targets.
Farid Al-Awlaqi, executive director of generation at TAQA, expressed pride in investing in this critical water project, highlighting its contribution to decarbonization and carbon impact reduction. The Mirfa 2 RO plant forms part of EWEC’s initiatives to decouple water and power generation, aiming to achieve the Abu Dhabi Department of Energy’s Clean Energy Strategic Targets 2035, which seek to reduce carbon emissions by 75 percent.
Othman Al-Ali, CEO of EWEC, emphasized the significance of the project, stating that over 90 percent of their water production is projected to come from RO technology by 2030, resulting in a substantial 88 percent reduction in carbon emissions associated with water production.
The Mirfa 2 RO plant will leverage efficient RO desalination technology, which is up to six times more efficient than traditional thermal desalination methods. This approach enables plant operators to decouple water and power generation processes, thereby reducing carbon emissions and supporting sustainability goals within the energy sector.
Frederic Claux, managing director of ENGIE’s flexible generation and retail division in Asia, the Middle East, and Africa, expressed delight in achieving financial closure and looked forward to commencing the construction and operation phases of the project.
The project’s financing structure involves 78 percent of the funding being sourced from debt provided by both local and international banks. Notable financial institutions supporting the project include Abu Dhabi Islamic Bank, BNP Paribas Fortis, Sumitomo Mitsui Banking Corp., The Norinchukin Bank, BNP Paribas, and KfW IPEX-Bank, as stated in the filing.
Anticipated to commence operations by the fourth quarter of 2025, the Mirfa 2 RO plant aims to produce an impressive volume of approximately 550,000 cubic meters of potable water per day. TAQA will hold a majority ownership stake of 60 percent in the project, with ENGIE taking the remaining share. Both companies will assume responsibility for the operation and maintenance of the plant.
Leveraging highly efficient RO desalination technology, the Mirfa 2 plant promises to be up to six times more efficient compared to traditional thermal desalination methods. This advanced approach enables operators to separate water and power generation processes, ultimately leading to reduced carbon emissions and supporting sustainability goals within the energy sector.
Frederic Claux, the managing director of ENGIE’s flexible generation and retail division in Asia, the Middle East, and Africa, expressed delight in achieving financial closure and eagerly anticipated the construction and operation phases of the project.
The Mirfa 2 water desalination project marks a significant step toward ensuring water security in the UAE while advancing sustainability objectives and reducing carbon emissions in line with the country’s long-term goals.
