Masdar And Taaleri Reach Financial Completion For Serbia's 154MW Čibuk 2 Wind Farm Project

The UAE's flagship renewable energy company, Abu Dhabi Future Energy Company PJSC (Masdar), has reached a significant milestone with the financial completion of the Čibuk 2 wind farm in Serbia, boasting a capacity of 154MW.

The Čibuk 2 project, set to be fully operational by early 2026, will provide clean energy to approximately 62,000 homes while reducing carbon emissions by over 311,200 tonnes annually. This initiative further cements Serbia's commitment to renewable energy, aligning with its goal to have 41 percent of its energy capacity from renewable sources by 2030.

Masdar and Taaleri Energia have joined forces with New Energy Solutions, a prominent developer in Serbia, for this venture, demonstrating the power of international cooperation in advancing green energy solutions.

This achievement was highlighted during a ceremony at RES Serbia 2024, attended by Serbia's Minister of Mining and Energy, Dubravka Djedovic Handanovic, along with leaders from Masdar and Taaleri.

Masdar's CEO, Mohamed Jameel Al Ramahi, emphasized the strategic importance of Serbia in Masdar's expansion into Central and Eastern Europe. He noted, "The successful conclusion of financing for Čibuk 2 is another landmark in the development of renewable energy capacity in Serbia, a strategic market for Masdar as we expand into Central and Eastern Europe. Today's announcement is testament to investor confidence in the development of renewable energy in Serbia. Masdar plans to increase its investments in the region and we look forward to further strong support from the investment community."

Backing this venture, commercial lenders UniCredit and Erste have provided a EUR 144 million debt facility, underscoring the financial viability and attractiveness of renewable energy projects in Serbia. This financing not only signifies a strong vote of confidence in the Čibuk 2 wind farm but also highlights the growing commitment to sustainable investments in the region.

The construction of Čibuk 2 signifies a major leap towards achieving Serbia's renewable energy targets. This project, featuring 22 Nordex 7MW turbines, will share infrastructure with the Čibuk 1 wind farm, enhancing the efficiency and output of renewable energy in the area. Upon completion, the combined capacity of Masdar's projects in Serbia will reach 312MW, marking a significant contribution to the country's green energy landscape.

Nikola Stamenkovic, from Erste Bank Serbia's Executive Board, expressed pride in their significant contribution to the project, stating, "We are proud to highlight that Erste is providing 50% of the total loan for the Čibuk 2 wind farm project, with Erste Bank Serbia locally financing approximately EUR 45 million, and Erste Group covering the rest. This marks the largest single green financing Erste Bank Serbia has provided to date."

UniCredit Bank Serbia's CEO, Nikola Vuletic, shared his enthusiasm for the project's potential to shape a sustainable future for the region, reinforcing the bank's role in financing major renewable energy ventures in Serbia. Similarly, Kai Rintala, Managing Director at Taaleri Energia, reflected on the success of their previous investment in the Čibuk-1 wind farm and expressed confidence in the repeat success with the Taaleri SolarWind III Fund.

Since its inception in 2006, Masdar has positioned itself as a leader in the global shift towards sustainability and climate action. With projects spanning over 40 countries, Masdar aims to expand its renewable energy portfolio to 100GW by 2030 and emerge as a key producer of green hydrogen, furthering the UAE's vision for a sustainable future.