Oil & Gas

Two leading energy companies from the United Arab Emirates, Mubadala Investment Company and TAQA, have finalized the acquisition of a key gas-fired power plant in Uzbekistan. The plant, located within the Talimarjan Power Park, is part of Uzbekistan’s broader initiative to attract foreign investment and expand its energy infrastructure.

As of May 29, 2025, the companies announced they now hold a 40% stake each in the 875 MW TB1 combined-cycle gas turbine plant, operating under the newly established project entity, Talimargan Power Plant 1. They also hold identical shares in a separate operation and maintenance company dedicated to running the facility.

The remaining 20% stake in both the power plant and its operation company is retained by Talimarjan Isiqlik Electric Stansisi, a state-owned entity under the Uzbek government. This public-private partnership reflects Uzbekistan’s commitment to privatizing parts of its energy sector while leveraging the global experience of UAE-based firms.

The facility is backed by a 25-year power purchase agreement with Oz Energu Sotech, Uzbekistan’s state electricity procurement agency, ensuring long-term stability and revenue for the plant's operations.

The acquisition underscores growing cooperation between Uzbekistan and the UAE in the energy space. Mubadala and TAQA’s entry is expected to boost energy capacity, support economic growth, and facilitate knowledge transfer in the region.

Hammad Rahman, Head of Infrastructure Asia Pacific at Mubadala, emphasized that efficient natural gas power plants like TB1 are crucial for transitioning toward cleaner energy, while also meeting urgent power needs in rapidly developing countries like Uzbekistan.

Frank Bosmayer, Chief Investment Officer of TAQA’s Generation and Water Desalination Division, highlighted the strategic importance of this acquisition in helping Uzbekistan privatize its energy sector. He noted that the deal contributes to TAQA’s goal of expanding its generation capacity to 150 gigawatts by 2030.

The project is also expected to attract foreign direct investment, enhance operational efficiency, and support community development through improved energy services and localized knowledge-sharing efforts.