Saudi Arabian utility developer ACWA Power, has signed an agreement with Senegal with 3 billion riyals ($800 million).

The Saudi company, partly owned by the sovereign Public Investment Fund, signed the water purchase agreement with Senegal's ministry of water and sanitation and Société Nationale des Eaux du Senegal (SONES) for a 400,000 m3/d desalination plant in Dakar, Senegal.

ACWA will develop, finance, build and operate the Grande Côte seawater desalination plant in Senegal, as well as design and construct the associated infrastructure. The desalination plant will be constructed in two phases of 200,000 m3/d capacity for each phase.

The contract duration is 32 years, and the financial impact is expected to materialize after the first phase becomes operational by Q1 2028, the Saudi Tadawul-listed ACWA said in a bourse filing.

(Writing by Brinda Darasha; editing by Seban Scaria)