MIGA issues Kael and Kahone solar guarantees

MIGA has issued €6.9 million in guarantees to support Meridiam and Engie’s stakes in the 25MWac Kael and 35MWac Kahone solar projects in Senegal. The guarantees have been issued alongside loans from the IFC.

Financing for the two Scaling Solar projects was finalised in July. Structured via borrowing vehicles Kahone Solaire and Kael Solaire, the financing comprises €38 million of senior debt – a €7 million IFC direct loan and up to €7 million from the Finland-IFC Blended Finance for Climate Program, €13 million from the EIB and €13 million from Proparco. The projects are backed by 25-year PPAs with state-owned Senelec at tariffs of 3.8 euro cents per kilowatt hour for Kahone and 3.98 for Kael.