Eversheds has advised AES Corporation (AES) on the sale of its equity interest in the IPP4 Al-Manakhir power plant in Jordan, to Nebras Power QSC (Nebras).

The firm worked with AES to negotiate the agreement with Nebras, a subsidiary of Qatar Electricity and Water Company (QEWC), to sell 40% of its 60% equity interest in the IPP4 Al-Manakhir plant which has a capacity of 241 MW. Eversheds also advised AES on its ongoing shareholder relationships with the equity stakeholders.

AES owns a 60% interest in the project through its wholly-owned subsidiaries. Mitsui & Co. Ltd of Japan owns the remaining 40% stake. Pursuant to the agreement, Nebras will own a 24% effective interest in the project.

The IPP4 Al-Manakhir plant is located in Al-Manakhir, 15km east of Amman, and started commercial operations in July 2014. The plant has 16 units supplied by Wartsila who was the EPC contractor. The units are tri-fuel and work on natural gas, heavy oil and diesel, and the plant will provide additional generation to cope with the increasing peak demand for electricity in Jordan.

The transaction is expected to complete in April 2015.

The Eversheds team was led by Partner Jason Lovell, assisted by Andy Lord, with support from its Dutch (Tom van Wijngaarden and Freerk Volders), Jordanian (Farah Nabulsi) and Qatari offices (Dani Kabbani).

Jason Lovell commented:

“As the Jordan energy market continues on a buoyant path, we have picked up several new instructions to facilitate with the growth in this area. This transaction required cross-border advice from our London, Dutch, Jordanian and Qatari offices demonstrating our international capabilities. AES is committed to delivering best standards and practices in the industry and we look forward to working with them to deliver on future projects.”