Projects Energy and Infrastructure in The GCC - What Does 2024 Have in Store
Projects Energy and Infrastructure in The GCC - What Does 2024 Have in Store
Projects Energy and Infrastructure in The GCC - What Does 2024 Have in Store
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Long-term carbon sequestration finally takes off
With at least one large project likely to reach financial close this year and others looking to hit critical
development milestones, long-term carbon sequestration is due to take off in the region to help GCC
countries abate their emissions. Likely led by national oil companies, CCS provides an opportunity for
the GCC industry to reduce its carbon footprint while continuing to leverage the region’s gas supplies,
however, the industry will need support to develop. Read more about it here.
Ambitious plans for renewable energy projects will create opportunities for private funds
and sovereign investors
Global funds have started to arrive in the Middle East in force, bringing a shared interest in energy
transition, looking to raise infrastructure funds that often involve commitments from sovereign investors.
A big part of this involves increased allocations of big-ticket funding to renewable infrastructure, such as
wind, solar and carbon capture and storage. In March 2023, Rakiza announced that it had raised
USD 1 billion for its first investment vehicle. The announcement came after PIF and BlackRock agreed to
jointly explore infrastructure projects in the region. There has been an accompanying surge in M&A activity,
with a robust pipeline of renewable asset joint ventures and other transactions setting up the market
infrastructures required for carbon trading and driving the energy transition – read our article on
private capital’s moment in the Middle East’s energy transition.
Read our report Perspectives on the energy transition in emerging markets. Our insights paint a picture of how
emerging markets are approaching decarbonisation, and the challenges they face. It explores global themes that will
help create a transition pathway that supports economic growth alongside reducing emissions.
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