20 June 2012
MUSCAT -- Seven international utilities eyeing a licence to develop a major Independent Water Project (IWP) at Ghubrah in Muscat Governorate have set up consortiums and partnerships with investors and engineering contractors ahead of next month's deadline for the submission of bids for the water desalination scheme.

A June 4, 2012 target initially set for the Tender Board for the submission of technical and commercial offers for the IWP licence has since been extended to July 9, 2012. The roughly five-week extension was granted at the request of some of the bidders who had sought more time to submit their offers. A further extension has not been ruled out, it is learnt.

Of nearly 15 international companies that had sought to prequalify to participate in the competitive tender for the licence, seven leading developers were invited by the Tender Board to submit their proposals for the IWP.

The seven in question are Japan-based international conglomerate Marubeni Corporation; Hyflux Ltd, a Singapore based integrated water and environmental solutions provider; Spanish based international potable water and wastewater utility Acciona Agua; Malakoff International -- a subsidiary of Malaysia's largest independent power and water producer; Spanish-based international general contractor Tecnidas Reunidas; Grupo Cobra -- a Spanish based water utility; and Valoriza Agua, also a Spanish water treatment company.

Marubeni Corporation has joined hands with the wholly Omani government owned energy and infrastructure investment vehicle Oman Oil Company and National Power and Water to bid for the IWP licence. JGC Corporation of Japan has signed on as the Engineering-Procurement-Construction (EPC) contractor in the bid.

Malakoff International has teamed up with Sumitomo Corporation along with Spain's Cadagua, a leading engineering and construction firm specialising in the establishment of water desalination plants.
Tecnidas Reuinidas is the lead developer of a consortium that includes water management firm Aqualia, Egypt-based EPC contractor Orascom Construction, and Spanish water and wastewater company Aqualia Infraestructuras.

Acciona Agua has formed a partnership with Samsung Engineering of Korea, and Sogex, to bid for the licence. Grupo Cobra has roped in Spanish water desalination leader Inima OHL and Zubair Corporation of the Sultanate. Partnering with Hyflux in its bid are Mitsui Corporation and Al Tahir Group, while Valoriza Agua has joined forces with Septech, Brookfield Multiplex and Bahwan Trading (Oman).

The state-owned Oman Power and Water Procurement Company (OPWP) is overseeing the procurement of the Ghubrah IWP on behalf of the Public Authority for Electricity and Water (PAEW).

The successful bidder will be granted a licence to design, construct, own, finance, operate and maintain a 42 million imperial gallons per day (MIGD) capacity desalination plant based on seawater reverse osmosis (RO) technology. Project costs are estimated at $350-400 million.

The project will be constructed within the complex of the existing Al Ghubrah Power Generation and Water Desalination Plant in Muscat Governorate. The latter facility, built in phases over many years, is itself planned to be decommissioned in line with OPWP's seven-year planning process, as well as for environmental considerations.

© Oman Daily Observer 2012