ACWA Power Consortium led by Mitsui Wins Largest Single Tendered Independent Power Project in Oman Producing 3,219 MW

ACWA Power Consortium led by Mitsui Wins Largest Single Tendered Independent Power Project in Oman Producing 3,219 MW
  • Project to involve construction of two natural gas-fired combined cycle power plants with total capacity of 3,219MW
  • Power plants to supply approximately 30% of electricity that will be consumed in the Sultanate of Oman once commercial operation is achieved
  • Signing ceremony held under the patronage of His Highness Sayyid Taimur Bin As’ad Al Said

Dubai, UAE, 15 May, 2016: Oman Power and Water Procurement Company SAOC (“OPWP”) announced that a consortium led by Mitsui & Co., Ltd., ACWA Power, and Dhofar International Development and Investment Holding Co. SAOG (“DIDIC”) has been awarded the 3,219 MW Ibri Sohar-3 power generation project, which is the largest single tendered Independent Power Project in Oman in the official signing ceremony commencing held on the 15th of May 2016 at Muscat. Oman. The ceremony was held under the patronage of His Highness Sayyid Taimur Bin As’ad Al Said.

The project includes two natural gas-fired combined cycle power plants of 1,509 MW and 1,710 MW each, located at Ibri and Sohar in Northern Oman. Mitsui is the lead investor and the managing member of the project, owning 50.1% of the project, with ACWA Power having a further 44.9% of the shares and DIDIC, 5%.

Both plants will be owned and operated under a 15-year power purchase agreement with OPWP and will be connected to the Main Interconnected System (“MIS”) in the Sultanate of Oman.

Commenting on the award, Paddy Padmanathan, President and CEO of ACWA Power, said: 

 

Once commercially operational in early 2019 the plants will supply approximately 30% of electricity demand in the Sultanate of Oman.

ACWA Power has operations in 12 countries across three continents, including Oman, Saudi Arabia, the UAE, South Africa, Egypt, Morocco, Jordan, Mozambique, Turkey and Vietnam. Last year saw the company close project financing of eight IPP projects with a total capacity of 1,650MW (excluding this project). These include a total of 770MW for renewable energy projects at a total project cost of USD 5 billion.