Doosan Heavy Industries & Construction Co., a major South Korean plant builder, said Monday it has clinched a 780 billion-won ($707.8 million) deal to build a seawater desalination plant in Saudi Arabia.
The facility will be built in Alrayyis, some 260 kilometers north of the western port city of Jeddah, with a capacity of producing 450,000 tons of fresh water per day. Doosan Heavy plans to complete the construction by 2023.
Crown Prince Mohammed bin Salman of Saudi Arabia, who has not till now shown any great enthusiasm for tackling climate chaos, is working on designs for an environmentally-friendly new city in the kingdom.
At successive international climate meetings Saudi Arabia, the world’s biggest oil exporter, has been among those states which have obstructed rather than encouraged attempts to tackle the increasingly urgent problems associated with a fast-warming world.
But recently Prince Mohammed, seen very much as the power behind the Saudi throne, has been talking of building a zero emissions city and establishing what he describes as “a blueprint for how people and planet can co-exist in harmony.”
“All desalination plants will become standalone production companies as part of our privatization strategy,” said Abdullah Bin Ibrahim Al-Abdlkareem, Governor of Saline Water Conversion Corporation (SWCC) and Chairman of newly formed Water Transmission and Technologies Co. (WTTC).
ACCIONA, the Spanish global developer and manager of sustainable infrastructure solutions, has announced that it has completed the construction of the Al Khobar I desalination plant in Saudi Arabia and that the plant is producing water beyond its nominal capacity since December 26, 2020.
In a statement, the company explained that the seawater desalination reverse osmosis (SWRO) plant, of high energy efficiency, is a key project in the modernisation program for the Kingdom’s water sector, which is currently being carried out by Saline Water Conversion Corporation (SWCC) of Saudi Arabia.
The plant, which will produce 210,000 cubic meters of drinking water per day, will supply a population equivalent of 350,000, the statement added, pointing out that it is one of the biggest desalination plants in Saudi Arabia in terms of capacity.
The upcoming tender for the privatisation of Saudi Arabia’s Ras Al Khair desalination and power plant situated north of Jubail city, will see seven groups from various parts of the world participating after they were prequalified by the country’s Saline Water Conversion Corporation (SWCC) for the project valued at an estimated $3.5bn.
The entities prequalified by SWCC to participate in the bidding process are Engie from France, Japan’s Jera and Marubeni Corporation, NTPC from India, local Saudi company Acwa Power and the joint Saudi-Chinese entity China Power International Holding/Ajlan & Bros Energy Company, as well as another unnamed consortium of Asian companies.
According to the SWCC, the winning bidder will acquire a 60% share in the Ras Al Khair project company, giving it management and operational control of the plant. According to several media reports, SWCC has not yet issued the request for proposals (RFP) for the privatisation but is expected to do so soon.
The Saudi Water Partnership Company (SWPC) has begun receiving expressions of interest (EOIs) following its issuance of requests for qualification (RFQ) for the development of its Ras Mohaisen independent water project (IWP).
UAE-based Metito Utilities Limited, and UTICO FZC; French firms ENGIE Middle East, Veolia Middle East; Egypt’s Orascom Construction, and Elsewedy Electric; Spain’s Acciona Agua; India’s Essar Power; and Japan’s Marubeni have all shown interest in the project.
Located 300 km south of Makkah on the Red Sea coast in the Western Province, the Ras Mohaisen Independent Water Project will be designed using seawater reverse osmosis (SWRO) desalination technology and include all associated infrastructure and facilities.
Head of Privatization at the Saline Water Conversion Corporation (SWCC), Ahmad Mohammad Al-Amro, said that seven regional and global companies and strategic consortia have been qualified to compete in the Ras AlKhair plant privatisation.
In an interview with Al Arabiya, Al-Amro emphasised the readiness of financing entities to collaborate with these consortia, highlighting that the competition will be offered within the upcoming days and that SWCC will receive bids in the second quarter (Q2) of 2021.
Italmatch Chemicals Group, a leading global speciality chemical group, and Biolab Arabia, part of Al-Hejailan Group, have signed a joint venture agreement for Italmatch Biolab Industrial for industrial water & process treatment in Saudi Arabia
.Italmatch, which is focused on the production and marketing of performance additives for water and process treatment, oil & gas, industrial lubricants and plastics, will hold 60% of the stake in the joint venture.
The two chemical companies join forces to create a new regional Saudi leading player focused on local manufacturing, to produce and sell ready-to-use specialty chemicals and solutions for Industrial Water & Process Treatment with a focus on Desalination (thermal and membrane based) applications in the Gulf Region as well as on Oil & Gas.