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  Abu Dhabi selects team for 3.3GW Al-Nouf IPP

  9 June 2026

  

   

  State utility Emirates Water & Electricity Company (Ewec) has selected a preferred developer and contractor for the 3.3GW Al-Nouf independent power producer (IPP) project in Abu Dhabi, according to sources.

  Located within the newly established Al-Nouf complex, the facility will be the largest single-site, carbon-capture-ready, combined-cycle gas turbine plant in the UAE. 

  Japan’s Sumitomo Corporation has been selected as the preferred developer, with the power-purchase agreement (PPA) expected to be signed in the coming weeks, sources said.

  It is also understood that a joint venture of Spain’s Tecnicas Reunidas and Egypt’s Orascom Construction has been picked as the preferred engineering, procurement and construction (EPC) contractor.

  Three developer consortiums submitted bids earlier this year, along with Sumitomo as the only company to bid individually.

  The bidders included:

  • Aljomaih Energy & Water (Saudi Arabia) / Sembcorp Industries (Singapore) / EDF Power Solutions (France)
  • Engie (France) / Korea Overseas Infrastructure & Urban Development Corporation (Kind) / Korea Western Power Company (Kowepo)
  • Korea Electric Power Corporation (Kepco) / Etihad Water & Electricity (EtihadWE) (UAE)
  • Sumitomo (Japan) 

  Ewec issued a request for proposals for the project last August. It had previously received statements of qualifications for the contract in April 2025.

  This follows confirmation earlier this month that Ewec has signed a PPA with a developer consortium for the 2.5GW Taweelah C IPP project.

  A team of UK-based Alderbrook Finance and US-based Sargent & Lundy is providing financial and technical advisory services to Ewec for the Taweelah C IPP.

  As MEED previously reported, both projects are following the model of Abu Dhabi’s IPP programme, in which developers enter into a long-term agreement with Ewec as the sole procurer. 

  This involves the development, financing, construction, operation, maintenance and ownership of the plant, with the successful developer or developer consortium owning up to 40% of the entity. The remaining equity will be held indirectly by the Abu Dhabi government.

  The project site for the Al-Nouf plant was selected for its ability to accommodate both seawater-cooled power generation and reverse osmosis desalination technologies. The plant will have the capacity to support several utility-scale energy and desalination projects in the future.

  The facility is scheduled to begin commercial operations in the third quarter of 2029.

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  > Be recognised among the best in the industry at the MEED Projects Awards 2026 …

  

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  Mark Dowdall
• 
  Lebanon taps foreign players to assess resource potential

  8 June 2026

  

   

  Lebanon’s oil and gas sector received a major boost in January this year when French energy major TotalEnergies, Italy’s Eni and QatarEnergy signed an agreement with the Lebanese government to enter the Block 8 concession in the country’s territorial waters and explore for gas reserves.

  Under the terms of the deal, TotalEnergies will operate Block 8 and hold a 35% interest, while Eni and QatarEnergy will hold 35% and 30% stakes, respectively.

  Block 8 has long been considered the most promising exploration area in Lebanese waters, but previous efforts to award the exploration permit were repeatedly delayed amid concerns over border tensions and political instability.

  The block lies along the previously disputed maritime boundary between Lebanon and Israel. In 2022, the two countries signed an agreement to resolve the long-running maritime border dispute.

  In a statement, TotalEnergies said: “The consortium's initial work programme on Block 8 consists of the acquisition of a 1,200-square-kilometre 3D seismic survey in order to further assess the area’s exploration potential.”

  Exploration efforts

  The Lebanese Petroleum Administration hopes that international oil companies will make discoveries that will help bolster the country’s struggling economy.

  Lebanon signed its first offshore oil and gas exploration and production agreement in February 2018, awarding Blocks 4 and 9 to a consortium comprising TotalEnergies, Eni and Russia's Novatek following a licensing round in 2017.

  In January 2023, QatarEnergy replaced Novatek in the consortium.

  Under the agreement, QatarEnergy acquired Novatek’s 20% stake, as well as 5% each from TotalEnergies and Eni, giving the Qatari company a total stake of 30%. TotalEnergies and Eni each retained a 35% interest.

  In TotalEnergies’ latest statement, chairman and CEO Patrick Pouyanne said: “Although the drilling of the Qana 31/1 well in Block 9 did not yield positive results, we remain committed to pursuing our exploration activities in Lebanon.

  “We will now focus our efforts on Block 8, together with our partners Eni and QatarEnergy and in close cooperation with the Lebanese authorities.”

  Futile attempts

  More broadly, Lebanon’s offshore oil and gas sector faces an uncertain outlook, characterised by persistent delays, regional conflict and limited exploration activity.

  Despite hopes that maritime agreements and improved diplomatic relations would trigger an energy boom, Lebanon currently produces virtually no oil or natural gas. Political bottlenecks, regional instability and previous dry wells have increasingly shifted attention towards alternative domestic energy solutions.

  Lebanon’s ambition to become a hydrocarbon producer remains unfulfilled due to a combination of commercial and political obstacles. Initial optimism was tempered when consortiums led by TotalEnergies announced that no commercially viable gas discoveries had been made in either Block 4 or Block 9.

  Despite holding licences for potentially prospective acreage, international companies have remained largely inactive in pursuing further deepwater exploration.

  Meanwhile, Lebanon’s third offshore licensing round, launched in 2024, has continued to face delays. Nine offshore blocks within the country’s exclusive economic zone were offered, but interest from exploration and production companies has been limited. As a result, the government has repeatedly extended submission deadlines.

  Although the landmark 2022 maritime boundary agreement with Israel removed a major obstacle to exploration in southern waters, regional security concerns continue to influence the pace of development.

  In late 2025, Lebanon approved a maritime boundary demarcation agreement with Cyprus aimed at clarifying jurisdictional rights and attracting investment to offshore areas.

  Progress in northern waters also remains stalled. More than 652 square kilometres of offshore acreage overlap between Lebanese- and Syrian-claimed waters, making any resolution politically sensitive and diplomatically complex.

  Regional volatility continues to weigh on investor confidence. While periodic ceasefires may provide temporary relief, ongoing tensions across the region still make large-scale energy infrastructure investments highly risky.

  READ: Activity ramps up in Syria’s oil and gas sector

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  Indrajit Sen
• 
  EtihadWE to auction Al-Zawra power generation assets

  8 June 2026

  

   

  Register for MEED’s 14-day trial access 

  Etihad Water & Electricity (EtihadWE) is preparing to auction used power generation assets from its Al-Zawra facility in Ajman.

  The 200MW Al-Zawra gas-fired power plant was developed by the former Federal Electricity & Water Authority (Fewa), which was succeeded by EtihadWE.

  The sale includes gas turbines, generators and associated balance-of-plant equipment from the existing generation facility.

  The main equipment being offered comprises two GE Vernova / General Electric heavy-duty gas turbines. The units are PG 9171E / 9E machines designed for dual-fuel operation using natural gas and distillate. The package also includes two generators.

  EtihadWE said the assets will be sold on an “as is, where is” basis, with interested parties able to arrange site visits and inspections, subject to the relevant approvals.

  According to industry sources, the utility’s two power plants in Ajman and Ras Al-Khaimah have been out of service since 2021, and the Ajman plant was decommissioned in 2023. 

  Companies interested in taking part in the auction should contact:

  Mohamed.Shabeer@etihadwe.com
  khaled.reda@etihadwe.ae
  Horizon.PMO@etihadwe.ae

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  Mark Dowdall
• 
  Kuwait plans to award $988m upstream contract within 30 days

  8 June 2026

  

   

  State-owned upstream operator Kuwait Oil Company (KOC) is planning to officially award a $988m project contract to India’s Larsen & Toubro within 30 days, according to industry sources.

  The contract is focused on developing Jurassic Light Oil (JLO) export facilities and upgrading the existing export network.

  Kuwait’s Central Agency for Public Tenders (Capt) has approved the award of the contract for the construction of export crude storage facilities and upgrades to the country’s oil export infrastructure.

  Now, talks are expected to take place between KOC and Larsen & Toubro to finalise the contract details.

  Just two companies submitted bids for the contract in October last year.

  The bidders were:

  • Larsen & Toubro (India): KD303.5m ($988m)
  • Petrofac (UK): KD310.6m ($1.01bn)

  Following bid submission, state-owned Kuwait Petroleum Corporation (KPC) discussed the potential cancellation of the contract tender due to the bids coming in significantly over budget and Petrofac becoming ineligible to win contracts in Kuwait.

  The financially troubled engineering company was temporarily banned from participation in tenders in Kuwait’s oil and gas sector in December last year.

  It was given the ban after the company announced that it had applied to appoint administrators, a move that potentially put thousands of jobs at risk and increased uncertainty for projects worth billions of dollars in the Middle East and North Africa (Mena) region.

  Despite holding talks about the potential cancellation of the tender, KPC ultimately decided to proceed with the contract award process because it considered the project a high priority.

  One source said: “Around the same time, projects worth around $8bn were cancelled because of bids coming in over budget, but this one has gone ahead because KPC sees it as an essential project.”

  The project was originally tendered in November 2024, with a bid deadline of 1 December the same year.

  The bid deadline was extended several times before bids were ultimately submitted.

  Kuwait’s oil and gas sector is in turmoil as a result of the ongoing regional conflict that started on 28 February when the US and Israel attacked Iran.

  Amid the ongoing conflict, Kuwait’s Ministry of Finance has stopped publishing its monthly report with details about revenues from oil exports.

  While there are no official figures available, many experts believe that the country failed to export crude oil during April and May.

  This is likely to have a severe impact on the country’s economy, which relies on oil exports for approximately 90% of government revenues.

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  READ THE JUNE 2026 MEED BUSINESS REVIEW – click here to view PDF

  GCC looks beyond the Strait; Iraq’s reform window narrows as fiscal assumptions shatter; MEED Top 100 companies.

  Distributed to senior decision-makers in the region and around the world, the June 2026 edition of MEED Business Review includes:

  > AGENDA: Gulf races to reroute trade > EXPORT ROUTES: Regional war boosts oil and gas pipeline project activity > CURRENT AFFAIRS: UAE’s Opec departure fulfils multiple ends > MARKET FOCUS: Iraq’s reform window narrows  > MEED TOP 100: Middle East stocks recover unevenly > OIL & GAS: Insurers will only cover a fraction of war damage to oil and gas facilities > LEADERSHIP: Building the infrastructure that makes net zero possible > LEGAL:  Saudi Arabia’s foreign property ownership milestone > TRADE DEAL: UK-GCC trade deal talks conclude

  To see previous issues of MEED Business Review, please click here

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  Wil Crisp
• 
  Amea Power signs 1.5GWh battery storage EPC contracts

  8 June 2026

  UAE-based Amea Power has signed engineering, procurement and construction (EPC) contracts with China Energy Engineering Corporation (China Energy) for two standalone battery energy storage system (bess) projects in Egypt with a combined capacity of 1,500 megawatt-hours (MWh).

  The contracts cover the 500MWh Horus battery storage project in Zafarana and the 1,000MWh Nefertiti battery storage project in Benban.

  The agreements were signed on 4 June in the presence of Mahmoud Esmat, Egypt’s minister of electricity and renewable energy, Sheikh Hussein Al-Nowais, chairman of Al-Nowais Investments and Amea Power, and Ni Jin, chairman of China Energy.

  The projects are part of Egypt’s wider programme to expand energy storage capacity and support the integration of renewable energy into the national grid.

  According to the Ministry of Electricity & Renewable Energy, Egypt plans to increase battery storage capacity to 14,320MWh by 2028.

  The ministry said the expansion of battery storage is required to support the growing share of solar and wind power generation, improve grid stability and reduce reliance on fossil fuels.

  The signing ceremony also included an agreement between Amea Power, China Energy and Chinese battery manufacturer Gotion to establish a battery storage manufacturing facility in Egypt.

  The planned factory will have an annual production capacity of 3,000MWh.

  Amea Power previously signed capacity purchase agreements with the Egyptian government to develop the country’s first standalone bess projects in 2025.

  In March, the government announced it had signed power-purchase agreements for several renewable energy and battery storage projects with a combined capacity of 5.6GW.

  These include a 900MW wind power project in the Red Sea Governorate, along with a 2,000MW solar power plant and a 2,000MWh battery storage facility in the Qena Governorate. 

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  > Be recognised among the best in the industry at the MEED Projects Awards 2026 …

  

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  Mark Dowdall