Masdar and Kazakhstan’s sovereign wealth fund to explore joint investments

The Abu Dhabi clean energy company and Samruk-Kazyna will study the potential of developing green energy projects in the Central Asian country

A power-generating wind turbine is reflected in solar panels. Masdar and Kazakhstan’s sovereign wealth fund Samruk-Kazyna will explore renewable energy opportunities in the Central Asian country. ReutersShow less

Abu Dhabi clean energy company Masdar and Kazakhstan’s sovereign wealth fund Samruk-Kazyna signed an agreement to explore renewable energy opportunities in the country.

Under the preliminary agreement, the two companies will study the potential to collaborate on renewable energy projects and the establishment of a joint venture, Masdar said in a statement on Thursday.

“As a global leader in renewable energy projects, active in more than 30 countries, Masdar is well positioned to help … Kazakhstan achieve its clean energy objectives,” Mohamed Jameel Al Ramahi, chief executive of Masdar, said. “We also welcome the opportunity to extend our presence in Central Asia, which we see as an area of strategic importance for us.”

Masdar, a unit of Abu Dhabi’s sovereign wealth fund Mubadala Investment Company, has already established a foothold in Central Asia. In December, it announced the financial close of the 100-megawatt Nur Navoi Solar project in Uzbekistan. The company also signed an agreement with the government in Uzbekistan to design, finance, build and operate a 500MW utility-scale wind farm project in the country.

Samruk-Kazyna has a portfolio of entities across industries, including companies in electric power generation and distribution sectors. The government of Kazakhstan has committed to increase the share of renewable energy in domestic electricity generation to 10 per cent by 2030 and 50 per cent by 2050.

“Samruk-Kazyna is going through the process of transformation into an investment holding [company],” Akhmetzhan Yessimov, chief executive of Samruk-Kazyna, said. “We are striving towards Mubadala’s operational model [and] this also applies to [our] international investments.”