Law firm Eversheds has advised the Qatar General Electricity and Water Corporation (Kahramaa) on a 25 year power and water purchase agreement with a consortium comprising of the Qatar Electricity and Water Company QSC, Qatar Petroleum, Qatar Foundation and Mitsubishi Corporation as international developer.
The consortium will be responsible for the construction of a 2,520 MW and 136.5 MIGD (million imperial gallons per day) power and water plant, known as Facility D. The plant is expected to have a capital cost of approximately US$3.5bn and is scheduled to be commissioned in the second quarter of 2017.
The Eversheds team was led by Partner Tim Armsby with Nick Pinder as lead associate. The team advised Kahramaa on the tender for its power and water capacity expansion project. The firm also negotiated the 25 year power and water purchase agreement and related deals for Facility D.
Eversheds previously advised Kahramaa in relation to its US$500m Independent Water Plant at Ras Abu Fontas, the first part of Kahramaa's additional capacity strategy, which achieved financial close in September 2013. The Facility D project represents the second phase of that strategy.
Energoprojekt (technical) and PWC (financial) advised Kahramaa alongside Eversheds. Simmons and Simmons (legal) advised Mitsubishi.
Tim Armsby said:
"This is the first time that reverse osmosis technology will be used in Qatar for water desalination. We are thrilled to be involved in one of the largest power and water projects in the world which is unique in combining thermal and reserve osmosis technologies on such a huge scale."
Nick Pinder added:
"This is a major milestone for the State of Qatar in its future energy and water policy. It represents an excellent result for Kahramaa in achieving such a competitive levelised tariff through its procurement process."
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Angelina Hunt
For Eversheds
Tel: +44 (0) 207 919 4826
E-mail: angelinahunt@eversheds.com
About Eversheds LLP
Eversheds LLP and its worldwide offices have over 4,500 people who provide services to the private and public sector business and finance community. Access to all these services is provided through 55 international offices in 29 jurisdictions. Eversheds combines local market knowledge and access with the specialisms, resources and international capability of one of the world's largest law firms.
© Press Release 2015
