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Neom to tender desalination plant

1 May 2023

A consortium comprising Neom subsidiary Enowa, Japan’s Itochu and France’s Veolia is expected to tender the engineering, procurement and construction (EPC) package for the planned zero liquid discharge (ZLD) seawater reverse osmosis desalination plant in Neom soon.

This follows the signing of a joint development agreement between the three companies to develop the scheme in December. 

MEED reported in November last year that the detailed technical design was under way for the project and that the EPC tender would be issued upon its completion.

The project is understood to require an investment of between $1.5bn and $2bn, according to an industry source. 

In June last year, Enowa signed a memorandum of understanding (MoU) with Itochu and Veolia to develop a desalination plant powered by renewable energy in Oxagon, the development’s industrial cluster.

The proposed plant is expected to produce early water in 2024, according to Enowa.

The project’s commercial operation date is set for 2025. It is expected to meet about 30 per cent of Neom’s projected total water demand once complete. 

Advanced technology

In addition to using 100 per cent renewable energy, the proposed state-of-the-art desalination plant will use advanced membrane technology to produce separate brine streams.

This will enable the production of brine-derived products, which will be developed and monetised downstream.

Related read: Neom seeks investors for $20bn brine complex

The project will convert brine, the main waste output of desalination, into valuable industrial materials that can be used locally or exported internationally.

According to Enowa, brine generated from the desalination plant will be treated to feed industries utilising high-purity industrial salt, bromine, boron, potassium, gypsum, magnesium and rare metal feedstocks.

Neom appointed Japan’s Sumitomo Mitsui Banking Corporation as financial adviser for the project. UK-based DLA Piper is the legal adviser and Canada’s WSP is the technical adviser. 

In March this year, Australian consultancy Worley said it had commenced work to provide engineering and advisory services to Enowa for the project, which will deliver up to 2 million cubic metres of desalinated water a day (cm/d) to Neom.

The services will be executed by both Advisian, Worley’s global consulting business, and Worley staff.

Advisian will focus on advisory, consulting and pre-front-end engineering and design (feed) activities, while Worley will deliver feed, detailed engineering, procurement and project management services.

The project scopes relate to water production, brine beneficiation, management and storage.

More on Neom:

> SITE REPORT: World’s largest piling project shifts to The Line’s marina
> INTERVIEW: Neom to fix construction
> ANALYSIS: Neom becomes real-world building project
> PILING: Chinese firm wins Neom marina piling work
> MOVIE SET: Neom advances plans to be leading movie destination
> TUNNELS: Neom tenders Delta Junction tunnel contracts
> OXAGON: Work to start for $1.5bn Oxagon wind turbine plant
> OPINION: Neom is a challenge and an opportunity

Read the May 2023 issue of MEED Business Review

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Jennifer Aguinaldo

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