RO 885m Ibri, Sohar-3 power projects next week

Agreements for the establishment of the Ibri — Sohar-3 Independent Power Plants, involving an investment of over RO 885 million, will be signed here next week, according to Oman Power and Water Procurement Company (OPWP), the sole procurer of all new power generation and water desalination capacity in the Sultanate.

OPWP (Member of Nama Group) will sign the agreements with a consortium of Mitsui & Co, Ltd, ACWA Power, and Dhofar International Development and Investment Holding Co, at a ceremony scheduled to be held at Al Bustan Palace — A Ritz Carlton Hotel, on Sunday, May 15, 2016.

The project which consists of two new natural gas-fired combined cycle power plants is the largest power procurement in the Sultanate with a total installed capacity of 3,219 MW located at Ibri, and Sohar Industrial Port in northern Oman. Under the deal the consortium will build, own and operate both plants and sell power to OPWP under a 15-year power purchase agreement.

Mitsui & Co, Ltd, as the managing member will hold 50.1 per cent of the equity in the consortium, ACWA Power 45 per cent, and Dhofar International Development and Investment Holding Co SAOG (DIDIC), 5 per cent. Both plants will begin commercial operations by Q1 2019.

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