Mitsui enters into Power Purchase Agreement in Jordan

Dec. 18, 2012

Main Contents

Mitsui & Co., Ltd. ("Mitsui", Head Office: Tokyo, President & CEO: Masami Iijima) and AES Corporation ("AES"), one of the largest power companies in the United States, through a jointly established project company, entered into a 25-year Power Purchase Agreement ("PPA") with National Electric Power Company ("NEPCO") of the Hashimite Kingdom of Jordan on December 17, 2012. The total project cost is approximately US$ 350 million and the project company is indirectly owned 40% by Mitsui and 60% by AES.

This is the 4th IPP project in Jordan, involving the construction and operation of a 240MW tri fuel fired diesel engine power plant located at Al Manakher, 25km east of the capital city of Jordan, Amman. The project company will supply electric power to NEPCO for 25 years from the start of commercial operation, planned to occur in July 2014, in order to meet the growing power demand in Jordan. This is the second IPP project for Mitsui in Jordan, as Mitsui and AES were awarded the first IPP project in Jordan in February 2006 and are operating and maintaining it since July 2008.

In addition to the PPA, Mitsui and AES also entered into financing agreements with Overseas Private Investment Corporation ("OPIC", US governmental financial institution) and European Bank for Reconstruction and Development ("EBRD") on December 17, 2012.

Mitsui has a substantial track record and abundant expertise in power and water projects globally including the Middle East, and Mitsui's total net generation capacity of IPP assets will reach 5,860MW including projects under development and construction. Mitsui will continue to seek participation in further projects, including large scale IPP/IWPP projects in the Middle East region.

Outline of the Project Company

Name AES Levant Holdings B.V./Jordan PSC
Place Jordan
Representative Mohammed Meftaur Rahman
Business Description Tri fuel fired diesel engine power project in Jordan
Shareholder Mitsui 40% (thorough a holding company)
AES 60% (thorough a holding company)
Foundation April, 2012

Outline of AES

Name AES Corporation
Place United States
Representative Andres Gluski
Business Description Power generation and distribution around the world mainly in North, Central and South America
Foundation January, 1981

Project Scheme

Project Scheme

This announcement contains forward-looking statements. These forward-looking statements are based on Mitsui's current assumptions, expectations and beliefs in light of the information currently possessed by it and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, financial position or cash flows to be materially different from any future results, financial position or cash flows expressed or implied by these forward-looking statements. These risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest Annual Securities Report and Quarterly Securities Report, and Mitsui undertakes no obligation to publicly update or revise any forward-looking statements.
This announcement is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.


For inquiries on this matter, please contact

Mitsui & Co., Ltd.
Corporate Communications Division
Telephone: +81-80-5912-0321
Facsimile: +81-3-3285-9819
Contact form