Saudi Arabia starts Jubail water project prequalification
16 March 2023
Interested companies have responded to the request for qualifications issued by Saudi Water Partnership Company (SWPC) for the contracts to develop two new independent water projects (IWPs) in Jubail.
SWPC is understood to have received statements of qualifications from the companies on 14 March.
The planned Jubail 4 and Jubail 6 IWP schemes will each be able to treat 300,000 cubic metres a day (cm/d) of seawater using reverse osmosis technology.
The desalination plants will be located 18 kilometres south of Jubail Industrial City, adjacent to four existing desalination units – Jubail phase one, Jubail phase two and the Jubail 3A and 3B IWP facilities.
Thirty-five companies, including 16 Saudi-based firms, previously expressed an interest in the project:
They include:
- Abengoa Agua (Spain)
- Abu Dhabi National Energy Company (Taqa, Abu Dhabi)
- Acciona Agua (Spain)
- Acwa Power (local)
- Ajlan & Brothers Holding (local)
- Al-Kawther Industries (local)
- Al-Shalawi (local)
- Al-Sharif Group Holding (local)
- Alfanar Company (local)
- Alghanim International General Trading and Contracting (Kuwait)
- Aljomaih Energy and Water Company (local)
- Awad Saad Binzafrah Contracting (local)
- Buhur for Investment (local)
- China First Heavy Industries International Development (China)
- Elecnor Group (Spain)
- Fas Energy (local)
- Fisia Italimpianti (Italy)
- GS Inima (Spain/South Korea)
- Hainan Litree Purifying Technology (China)
- Kahrabel FZE (Engie Middle East)
- Kindasa Water Services (local)
- Lantania Aguas (Spain)
- Marubeni Corporation (Japan)
- Metito Utilities
- Mowah Company (local)
- Nesma Company (local)
- Orascom Construction Egypt)
- Power and Water Utility Company for Jubail and Yanbu (Marafiq, local)
- Saleh Saeed Taishan and Sons (local)
- Saudi Pan Kingdom Company (Sapac)
- Shapoorji Pallonji (India)
- Utico (UAE)
- VA Tech Wabag (India)
- Veolia Middle East (France)
- Vishvaraj Environment (India)
As with IWP contracts already awarded in the kingdom, the successful bidder, through a project company, will develop the projects and sell the entire capacity and output to SWPC under a 25-year water-purchase agreement (WPA).
A credit support agreement from the government of Saudi Arabia backs SWPC’s obligations under the WPA.
SWPC’s transaction advisory team for the projects comprises the Netherlands-headquartered KPMG Professional Services as lead and financial adviser, UK-based Eversheds Sutherland as legal adviser and Canada’s WSP as technical adviser.
The projects are among the 12 IWPs planned between 2020 and 2026 by SWPC. One of these, Jubail 3B, has been awarded, while a team led by Saudi utility developer Acwa Power has been selected as the preferred bidder for Rabigh 4. Tenders are due for another similar project in Ras Mohaisen in May.
The remaining planned IWP schemes to be tendered under the SWPC Seven-Year Planning Statement 2020-26 include Jizan 1, Ras al-Khair 1, Ras al-Khair 2, Shuqaiq 4, Tabuk 1 and Rabigh 5.
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