ISLAMABAD, Dec 18: The Alternative Energy Development Board (AEDB) and Foundation Wind Energy on Tuesday entered into implementation agreements for the establishment of two wind power projects having 50MW capacity each in Gharo.

Foundation Wind Energy Limited-I and Foundation Wind Energy Limited-II are two independent subsidiaries of the Fauji Foundation.

The agreement was signed by Brig (retd) Dr Gulfam Alam, project director of the two power project entities and Arif Alauddin, chief executive officer of AEDB. Managing Director of the two companies, Lt-General (retd) Muhammad Mustafa Khan said that the two wind farms having total project cost of about $251 million were being financed by the Asian Development Bank, Islamic Development Bank and a syndicate of local banks led by the National Bank of Pakistan. Both the projects are being installed with a cumulative of forty Nordex Wind Turbines each having a capacity of 2.5 MW. The combined total energy output of both the projects in approximately 288 GwH per annum.

Khan said that the two projects are targeting to have their energy purchase agreement with the government later this year and to achieve financial closure immediately thereafter.

The financing agreement was signed in May, 2012.

The completion period of each project is 15 month from financial close, and both the projects are being targeted for commercial operation during second quarter of 2014. However, pre-financial close onsite construction works are already in progress.