#China #Shanghai #Masdar #Shanghai Electric #Mawarid

Shanghai Electric Forms Strategic Alliances for Renewable Energy

In a transformative step towards greener energy initiatives in the Middle East, Shanghai Electric (SEHK: 2727, SSE: 601727) announced on April 22, 2025, that it has signed significant cooperation agreements with Abu Dhabi Future Energy Company, commonly known as Masdar, and the Oman-based Mawarid Group. This collaboration aims to harness the potential of solar and wind energy, aligning with Saudi Arabia's Vision 2030 and Oman's Vision 2040 strategic frameworks which strive to revolutionize the region's energy landscape.

Solar Project Development in Saudi Arabia

One of the highlights of these agreements is the signing of a deal for a massive 2-gigawatt photovoltaic project in Saudi Arabia. Titled the Sadawi project, this venture is described as Shanghai Electric's largest EPC (engineering, procurement, and construction) solar project globally. Encompassing an area of 40 square kilometers, the Sadawi project is expected to generate over 6 billion kWh annually, effectively meeting the energy requirements of approximately 700,000 households while reducing carbon emissions by 3 million tons per year.

The project leverages advanced photovoltaic technologies to exploit Saudi Arabia's abundant sunlight, playing a crucial role in the country’s National Renewable Energy Program, designed to diversify energy sources and reduce dependence on fossil fuels.

Wind Power Cooperation in Oman

Meanwhile, in Oman, Shanghai Electric's partnership with Mawarid Group focuses on wind energy. This collaboration entails supplying wind turbines, transferring technology, and establishing a localized manufacturing facility. The objectives include maximizing Oman’s natural resources, creating a local supply chain, and fostering sustainable economic growth over the long term.

“This strategic partnership presents a new starting point for comprehensive cooperation and marks a significant milestone in Shanghai Electric's establishment in the Middle East's new energy market,” stated Wu Lei, Chairman of Shanghai Electric Group. He expressed a strong hope for both parties to work together on establishing a demonstration project that contributes significantly to the global energy transition.

Shared Vision for the Future

Masdar's CEO, Mohamed Jameel Al Ramahi, emphasized the importance of this partnership, anticipating deepening cooperation in wind energy, photovoltaics, energy storage, and beyond. He highlighted the joint mission to facilitate the transformation of the global energy structure.

Oman’s Minister of Energy and Minerals, Salim Al Aufi, praised Shanghai Electric’s technological expertise in wind energy, viewing the wind farm project as a gateway to enhanced collaboration between the Omani government and Shanghai Electric. He expressed interest in exploring further opportunities in energy storage, hydrogen energy, and photovoltaics, aiming to jointly support the evolution of Oman’s energy sector.

A Technologically-Informed Approach

Wu Lei affirmed that the Omani government’s vision for 2040 aligns well with Shanghai Electric’s strategic development goals, positioning their collaboration for success. Utilizing advanced technologies and high-quality products in the new energy sector, the partnership intends to integrate local resources and market potential in Oman.

Moreover, the partnership is expected to accelerate Oman’s transition from traditional energy sources to diversified clean energy solutions, including wind and hydrogen-based systems, while enhancing Sino-Arab technical cooperation.

In summary, both collaborations signify a technologically-driven and localized approach by Shanghai Electric, reinforcing its role as a global leader in renewable energy. The company is poised to make a meaningful impact in the Middle East as it navigates the intricacies of clean energy initiatives and regional partnerships. Further details about these projects and implications can be found at Shanghai Electric's website.