Saudi expected to award concession for desalination project in Q3

Project to developed on BOO basis

  
Image of a desalination plant used for illustrative purpose.

Image of a desalination plant used for illustrative purpose.

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Saudi Water Partnership Company (SWPC) is expected to award the Build Own Operate (BOO) contract for the 570,000 cubic metres per day (m3/day) Jubail 3B Independent Water Producer (IWP) project in Jubail City in the third quarter of 2020, according to a source.

"The prequalified companies are to submit the bids by 17 May 2020 with the project award expected by the end of August 2020," the source told Zawya Projects, adding that the project value is estimated at $400 million.

He said SWPC had issued a Request for Proposal (RFP) for Jubail 3B on 20 January 2020 to the pre-qualified companies with a bid deadline of 17 April, which was later extended to 17 May but didn't elaborate on the reason for the extension.

Last week, Zawya Projects had reported that a consortium comprising of ACWA Power, Gulf Investment Corporation and Al Bawani Water & Power Company was appointed as the preferred bidder for the 600,000 cubic metres per day (m3/day) Jubail 3A IWP.

65 companies had submitted prequalification documents for Jubail 3A and 3B.

The 10 companies prequalified to bid for the Jubail IWP projects include ACWA Power; a consortium of FCC Aqualia, Haji Abdullah Alireza & Co (HAACO) and Alfanar; a consortium of Marubeni Corporation and Power and Utility Company for Jubail & Yanbu (Marafiq); Mitsubishi Corporation; Suez Group; Veolia Middle East; Utico; Cobra Instalaciones Y Servicios; Engie Middle East and Malakoff International, according to an August 2019 report by the Dubai-based Utilities Middle East magazine.

Jubail 3B IWP is scheduled for completion in the fourth quarter of 2023, according to SWPC's website.

Synergy Consulting is the FEED and financial consultant and leads the project's consultancy services consortium, which includes DLA Piper as legal advisor and Atkins as technical advisor for transaction advisory services.

(Reporting by Senthil Palanisamy; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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