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Projects Monitor 

Covering major construction projects in the Middle East
Updated: 15May12
 
Kuwait MEW - Subiya Power Plant
Country : Kuwait
Project Value : USD 2,650,000,000
Sector : Power and Water | Power Generation
Contractor : Consortium of General Electric and Hyundai Heavy Industries (EPC)
Profile Type :  Standalone Project
Phase:
Commissioning
Completion: Jun 2012
 
 
Owner : Ministry of Electricity and WaterMinistry of Electricity and WaterLoading... - Kuwait
Location :
Subiya, Al Jahraa, Kuwait
Contract Type : EPC - Engineering, Procurement, Construction
Payment Terms : Lump Sum Turnkey (LSTK)
Facility Type : Combined cycle power plant
Capacity : 2,000 MW
Background The Kuwaiti Ministry of Electricity and WaterMinistry of Electricity and WaterLoading... (MEW) plans to build a gas-fired combined cycle power plant in Subiya, North of Kuwait.

The plant will have a capacity of 2,000 MW.

The project will consist of two phases. The first phase will add a capacity of 1,300 MW to the electricity grid in 2011. The second phase will increase the capacity by 700 MW in 2012.

The primary fuel will be natural gas, with distillate as the second fuel. Mina Al Ahmadi refinery will supply the fuel feedstock by a pipeline.
Expected Events
Schedule Contract Phase/Phase Description
Jun 2012 CompletionPhase 2 expected to be completed
Latest Events In June 2011, phase 1 of the project was completed.

In June 2012, phase 2 is expected to be completed.
Previous Events At the end of Q2 2010, GEGELoading... started shipping equipment.

In October 2009, the site preparation works started.

On 13 September 2009, the Kuwaiti MEW signed the EPC contract with GEGELoading... and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading... for the construction of the Subiya power plant.

On 17 August 2009, the EPC contract was awarded to the consortium of GEGELoading... and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading....

On 14 June 2009, bidders submitted their proposals for the EPC contract. The consortium of GEGELoading... and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading... was the lowest bidder (USD 2.65 billion).

On 26 April 2009, a new tender was issued for the Subiya power plant. The new tender release was delayed twice from March 2009 to 19 April 2009. The MEW re-tendered the project in order to get better financial terms (more stable currency exchange rates). The six previously pre-qualified companies were invited to bid again (GEGELoading..., Siemens, Iberdola, Mitsui, Mrubeni and SNC Lavalin).

At the end of February 2009, the Ministry of Electricity and WaterMinistry of Electricity and WaterLoading... (MEW) canceled the power plant due to the high prices submitted.

In November 2008, bidders submitted their proposals for the EPC contract. Siemens submitted the lowest bid (USD 2.7 billion).

On 27 April 2008, the ITB for the EPC contract was issued.

On 18 November 2007, the Ministry of Electricity and WaterMinistry of Electricity and WaterLoading... (MEW) invited local and international contractors to submit pre-qualification applications for the re-tendered EPC contract.

In September 2006, the consortium of General ElectricGeneral ElectricLoading... (GEGELoading...) and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading... won the EPC contract, however the contract was canceled and the project was re-tendered.

In October 2005, the ITB for the EPC contract was issued.
Scope of Work Engineering, procurement, construction and commissioning of a single shaft gas-fired combined cycle power plant with a total capacity of 2,000 MW, consisting of:

-three combined-cycle power blocks
-six Frame 9FA gas turbines, with the latest emission reducing technology
-three steam turbines
-nine generators
-a plant level control protection system
Financing Source In Q3 2009, the National Bank of KuwaitNational Bank of KuwaitLoading... (NBK) along with local banks provided a loan for the project.
Project News
15-Sep-2009 Kuwait seals $2.65b power agreement - The Saudi Gazette
14-Sep-2009 Kuwait Signs $2.65 Billion Electricity Agreement to Boost Power Capacity and Support Country's Continued Economic Development - Press Release
07-Mar-2009 Kuwait faces power crisis in summer 2010: Official - Kuwait Times
04-Jan-2009 Subbiya plant promised to complete before June 2010 deadline - Kuwait Times
13-Dec-2008 Subiya power station contract this week - Kuwait Times
01-Nov-2008 Sabiya power station - Kuwait Times
06-Aug-2008 Kuwait: Govt power projects on target to avoid outages - Kuwait Times
25-Jun-2008 Kuwait: Ministry of Electricity and Water unveils next five-year plan - Kuwait Times
02-Jan-2008 Kuwait: Panel to study projects - Kuwait Times
10-Dec-2006 Kuwait: Power stations - Kuwait Times
» More News
» More News

Project Schedule

ScheduleContract Phase/PhaseDescription
Oct 2005 EPCITB issued
Sep 2006 EPCContract awarded to GEGELoading... and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading...
18 Nov 2007 EPCRe-tender, contractors invited to submit pre-qualification applications
27 Apr 2008 EPCITB issued
09 Nov 2008 EPCRe-extended bids submission deadline
 
Prequalified Bidders
Feb 2009 EPCTender canceled
26 Apr 2009 EPCContract re-tendered
14 Jun 2009 EPCBidders submitted their proposals
17 Aug 2009 EPCContract awarded to General ElectricGeneral ElectricLoading... and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading...
 
Prequalified Bidders Awarded
  • Consortium of General Electric and Hyundai Heavy Industries
13 Sep 2009 EPCContract signed with General ElectricGeneral ElectricLoading... and Hyundai Heavy IndustriesHyundai Heavy IndustriesLoading...
Oct 2009 EPCSite preparation works started
Q2 2010 EPCGEGELoading... started equipment shipments
Jun 2011 CompletionPhase 1 completed
Q2 2012 CommissioningCommissioning started
Jun 2012 CompletionPhase 2 expected to be completed

Project News

15-Sep-2009 Kuwait seals $2.65b power agreement - The Saudi Gazette
14-Sep-2009 Kuwait Signs $2.65 Billion Electricity Agreement to Boost Power Capacity and Support Country's Continued Economic Development - Press Release
07-Mar-2009 Kuwait faces power crisis in summer 2010: Official - Kuwait Times
04-Jan-2009 Subbiya plant promised to complete before June 2010 deadline - Kuwait Times
13-Dec-2008 Subiya power station contract this week - Kuwait Times
01-Nov-2008 Sabiya power station - Kuwait Times
06-Aug-2008 Kuwait: Govt power projects on target to avoid outages - Kuwait Times
25-Jun-2008 Kuwait: Ministry of Electricity and Water unveils next five-year plan - Kuwait Times
02-Jan-2008 Kuwait: Panel to study projects - Kuwait Times
10-Dec-2006 Kuwait: Power stations - Kuwait Times
» More News
 
Ministry of Electricity and Water Building, South Al Sourra Street, Ministries Area, P.O. Box 12, Kuwait City Safat 13001, Kuwait, Al Assimah
Tel: +965 2537-1000 | Fax: +965 2537-1420,+965 2537-1421,+965 2537-1422 | Email: webadmin@energy.gov.kw | Website: http://www.energy.gov.kw
  • Name: Mohammad Al Busheiri
    Position: Planning Department Director
    Tel:
    +965 2-537-1758
 
Consortium of General Electric and Hyundai Heavy Industries
Contractor - EPC
General Electric
Kuwait
Tel: +965 2461-0650 | Fax: +965 2461-0651 | Website: http://www.ge.com/kw/
Building 4, 2nd Floor, Office 205, Sheikh Zayed Road, Emaar Square Area, P.O. Box 252458, Dubai, United Arab Emirates
Tel: +971 4-425-7995 | Fax: +971 4-425-7996 | Email: hhi.dxb@emirates.net.ae
  • Name: W.S. Park
    Position: Project Manager
    Tel: +85 52-202-5851
  • Name: James Park
    Position: Project Manager
    Email james807@hhi.co.kr
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