A consortium led by Saudi International Company for Water and Power (Acwa) is close to winning a contract worth at least $500m to build a new 160MW concentrating solar power (CSP) plant located in Morocco.

Acwa has teamed up with Spanish engineering firm Aries IS and TSK EE to design, finance, construct, operate and maintain the solar thermal plant near the southern city of Ouarzazate.

"We are going to opt for the offer made by the consortium of Acwa," said an anonymous source, familiar with the discussions about the contract, to Reuters. The official announcement is still pending.

The deal would make Morocco Acwa’s 5th international market, and its 2nd in Africa after it secured a 50 MW contract to build a Concentrating Solar Power plant in Bokpoort, South Africa in May.