Morocco seeks contractors for LNG terminal and power station
25 June 2025
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Morocco’s Ministry of Energy Transition & Sustainable Development has issued an invitation for expressions of interest in a major liquefied natural gas (LNG) infrastructure project.
The project includes an LNG import terminal, pipelines and a gas power station, according to documents released by the ministry.
Contractors have been set a bid deadline of 2pm on 23 July 2025.
The project is located at Morocco’s Nador West Med Port and will include a gas power station with a capacity of approximately 1,200MW, according to the newly released documents.
The power plant will be developed under Morocco’s independent power production (IPP) regime, in accordance with National Office of Electricity and Drinking Water (ONEE) Law, according to the ministry.
The project will also include a pipeline network that will supply industrial consumers in Nador, Kenitra and Mohammedia.
The scope of the LNG terminal portion of the project includes the design, construction, equipment, operation and maintenance of all offshore and onshore infrastructure elements of the terminal. It also includes all high-pressure gas systems.
A dedicated berth is expected to be developed at Nador West Med Port.
The terminal will either be a floating storage and regasification unit (FSRU) or a floating storage unit (FSU) that has the regasification element developed on the jetty.
Nador West Med Port is currently under construction and is expected to achieve commissioning by the end of 2026, according to the ministry.
The LNG terminal is expected to have the capacity to import 500 million standard cubic feet a day (mmscfd).
The pipelines are expected to have a diameter of 48” and the capacity to transport 750 mmscfd.
In the documents, the ministry said that “the launch of several procurement procedures is currently being considered”.
It said that Morocco’s updated gas roadmap provided for the “gradual development” of critical gas network infrastructure necessary to support the importation of LNG.
It also said that the roadmap provided for the development of infrastructure to boost domestic gas production and supply, and the delivery of natural gas to consumers throughout the country, “enabling the growth of the national gas market”.
Phase one of the roadmap is due to be executed from 2025 to 2027 and includes three modules.
These are:
- The tender, construction and commercial operation of the planned LNG terminal at Nador West Med Port
- The tender, construction and commercial operation start of natural gas pipelines from Nador West Med Port to the Maghreb Europe Gas Pipeline (GME) and from the GME to Mohammedia
- The update of a pre-feasibility study of an LNG regassification terminal on the Atlantic coast
Phase two of the roadmap is expected to be executed after 2030 and also includes three modules.
These are:
- Delivery of the Atlantic coast LNG regasification terminal
- The development of an LNG regasification terminal at Dakhla Atlantic port
- Construction of further pipelines to connect the gas network
Phase three is a long-term plan that includes connecting to the Mauritanian and Senegalese gas networks through the Gazoduc Afrique Atlantique pipeline.
It also includes the development of green hydrogen infrastructure.
The latest request for expressions of interest follows a memorandum of understanding (MoU) signed in March 2024.
The MoU was signed by five Moroccan governmental bodies in Rabat as part of the push to expand the country’s LNG infrastructure.
This MoU was followed by announcements by the Minister of Energy Leila Benali, who said the project would include a gas pipeline network to connect the new terminal to the Maghreb Europe Gas Pipeline.
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The number of UAE-based power projects awarded under the traditional engineering, procurement and construction (EPC) model has fallen to its lowest level in the past decade.
Admittedly, this does not include the Covid year of 2020, but the point stands. Across the GCC, capital is still flowing into the sector at record levels. What has changed is how that capital is being deployed.
In a recent analysis, I revealed 2025 to be a record-breaking year, with the UAE’s power market recording its highest annual total for contract awards on record. Yet instead of a broad spread of smaller contracts, governments and utilities are concentrating investment in fewer larger and more complex schemes that are reshaping how the region’s energy systems are built and financed.
In 2025, a single solar and battery storage independent power project (IPP) in Abu Dhabi accounts for 67% of the country’s total power contract value. EPC contracts, once the mainstay of the market, have been eclipsed by developer-led models as the preferred route for large-scale power generation.
Saudi Arabia is moving in the same direction, albeit at a different pace. While EPC work remains central to grid expansion, the kingdom’s largest investments are now in utility-scale IPPs backed by the Public Investment Fund.
In my recent annual ranking of private power developers across the GCC, the surge in power generation capacity owned by Saudi Arabia’s Acwa Power was telling. Not only did the firm’s net equity grow by 70% in a single year, but it now eclipses the combined equity of the other leading developers in the region, a direct result of its dominant role in PIF-backed schemes. These projects, including multi-gigawatt solar and wind developments, are redefining the scale and structure of procurement.
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For governments, they deliver capacity without requiring large upfront capital commitments. For developers, they offer stable, long-term returns through secure offtake agreements.
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Competition is intensifying for fewer projects, and entry barriers, ranging from balance sheet strength to technical capabilities, are rising.
Smaller EPC contractors, once central to power delivery across the GCC, risk being pushed to the margins. Some will adapt by partnering with larger developers, but others may find fewer opportunities to participate.
Which takes me back to the UAE. In the water sector, 2026 is already shaping up to be a landmark year, with nearly $31bn-worth of projects in tender. A single project, Dubai’s $22bn Strategic Sewerage Tunnel scheme, accounts for over 70% of this total.
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Saudi crown prince launches King Salman Gate project
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HRH Crown Prince announces the launch of #King_Salman_Gate, a transformative multi-use development in the Holy City of Makkah. pic.twitter.com/JLxCi8J50W
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