SUEZ Announces Major Desalination Contract In The Middle East
Paris, France — On December 11, 2006, SUEZ Energy International, in a consortium gathering Mubadala Development and National Trading Company, and benefiting from Degrémont's reverse osmosis technology, won the Barka 2 IWPP (Independent Water and Power Project) in the Sultanate Oman.
Awarded by Oman Power and Water Procurement Company ("PWP"), the contract won by the SUEZ Energy International-led consortium calls for the construction and operation of a 678 MW power plant and a seawater desalination plant with a capacity of 120,000 m3/day.
The sale of the facility's electricity and potable water production is guaranteed for fifteen years by a Power and Water Purchase Agreement with Oman Power and Water Procurement Company.
The contract also provides for the purchase of an existing 665 MW power plant (Al-Rusail Power Company), from Electricity Holding Company ("EHC"), owned by the government of Oman. It is the first state-owned power plant to be privatized in the Sultanate of Oman. Electricity produced by the Al-Rusail plant is covered by a Power Purchase Agreement with Oman Power and Water Procurement Company that runs until 2022.
With this new project, the Group will have almost 1,400 MW of additional power generation and 120,000 m3/day capacity in the Middle East, bringing its electricity generating capacity in the region to 5,500 MW (i.e. half of the installed capacity in Belgium) and its potable water production capacity to over 1,000,000 m3/day.
Present in the Sultanate of Oman since 1994 with the Al Manah power plant, SUEZ has progressively expanded to become a leading player in the Middle East in electricity generation and water desalination. In 2000, the Group became co-owner and co-operator of the Al Taweelah A1 facility, one of the largest electricity generation and water desalination plants in the world. Since 2004, SUEZ has strengthened its position in Oman with the Sohar electricity and water desalination plant and, in Bahrain, has won contracts for the El Ezzel and Al Hidd power plants.
Special precautions were taken to reduce the Barka seawater desalination plant's impact on the marine environment. Brine resulting from seawater filtration will be recycled within the cooling system of the power plant in order to reach a seawater output quality level without any impact on the environment. Cooperation between the professionals of SUEZ Energy International and Degrémont and their collective innovation capacity were determining factors in this contract award, making it possible for the Group to propose a solution that blends advanced techniques with environmental preservation.
Following contracts with Fujairah (United Arab Emirates), Perth (Australia), Barcelona and El Atabal (Spain), this new contract for water desalination through reverse osmosis, by its scope, strengthens Degrémont's leadership position in a market that is expected to double in size in the coming 10 years.
SOURCE: SUEZ