meed-logo

line1 line2 line3
SIGN IN / REGISTER

Two consortiums eye Jubail 4 & 6 IWP contract

23 August 2024

 

At least two consortiums are expected to submit bids for a contract to develop an independent water project (IWP) in Jubail in Saudi Arabia's Eastern Province.

The contract covers two plants – Jubail 4 and Jubail 6 – with a total combined capacity of 600,000 cubic metres a day (cm/d) using reverse osmosis technology.

According to industry sources, teams led separately by local utility developer Acwa Power and France's Engie are expected to submit proposals for the contract.

One of the sources suggested that a third team, led by Saudi Arabia's Power & Water Utility Company for Jubail & Yanbu (Marafiq), could also be preparing to bid for the contract by 12 September.

The state water offtaker requested proposals for the Jubail 4 & 6 IWP in January this year, four months after it qualified nine individual companies and consortiums to bid for the contract.

The following utility developers and investors were qualified to bid for the contract: 

  • Abu Dhabi National Energy Company (Taqa)
  • Acciona (Spain)
  • Acwa Power (local)
  • Ajlan & Bros (local) / Rawafid Industrial Company (local)
  • Al-Jomaih Energy Water Company (local)  / Sogex Oman Company (local) 
  • GS Inima (Spain/South Korea)
  • International Power (Engie, France)
  • Marubeni Corporation (Japan)
  • Power & Water Utility Company for Jubail & Yanbu (Marafiq, local)

The desalination plant 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.

As with the previous seawater reverse osmosis (SWRO) IWP contracts that have already been awarded in the kingdom, the successful bidder, through a project company, will develop the project 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 project comprises Netherlands-headquartered KPMG Professional Services as lead and financial adviser, UK-based Eversheds Sutherland as legal adviser and Canada’s WSP as technical adviser.

It also appointed UAE-based Future Water & Power Consulting to assist with the project tender and with finalising the site studies required for the bid.

Recent IWPs

SWPC has so far awarded the contracts for six IWP projects: Rabigh 3, Shuqaiq 3, Yanbu 4 (Ar-Rayis 1), Jubail 3A, Jubail 3B and Rabigh 4. A seventh contract for developing the Shuaibah 3 SWRO plan was also directly negotiated and awarded in 2022.

The seven IWP schemes have a total combined capacity of 3.3 million cm/d.

SWPC received two bids in April for a contract to develop the 300,000 cm/d Ras Mohaisen IWP scheme.

The bidders were Spain’s Acciona and a team comprising the local firms Acwa Power, Haji Abdullah Alireza & Partners Company and AlKifah Holding.

https://image.digitalinsightresearch.in/uploads/NewsArticle/12389972/main.gif
Jennifer Aguinaldo

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Egypt signs $420m Gabal El-Zeit wind agreements

    10 June 2026

    Egypt has signed agreements worth $420m for the investment, operation and power purchase of the 580MW Gabal El-Zeit wind power complex in the Red Sea region.

    Gabal El-Zeit 1 has a capacity of 240MW, while Gabal El-Zeit 2 and 3 have capacities of 220MW and 120MW, respectively.

    The agreements were signed between Egypt’s New and Renewable Energy Authority (NREA), the Egyptian Electricity Transmission Company (EETC) and Dubai-based Alcazar Energy.

    Under the agreements, Alcazar Energy will invest in, operate and manage the farms through a project company established under Egyptian law.

    The company will be responsible for technical operations, maintenance and efficiency upgrades while maintaining a minimum capacity of 580MW throughout the contract period.

    The Egyptian Electricity Transmission Company will purchase the electricity generated by the plant.

    The agreements follow earlier efforts to privatise the Gabal El-Zeit wind complex, involving a deal with UK-headquartered private equity firm Actis.

    According to the Egyptian government, the project supports the country’s state ownership policy and national energy strategy, which aim to increase the share of renewable energy in the electricity mix to 45%.

    The Gabal El-Zeit area on Egypt’s Red Sea coast is one of the country’s most established wind power development zones. The latest Gabal El-Zeit wind farm was completed in 2014, according to MEED Projects data. Germany’s Siemens Gamesa was the main contractor. 

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

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17170360/main.jpg
    Mark Dowdall
  • Majid Al-Futtaim awards $545m Ghaf Woods contract to ECC

    10 June 2026

    Majid Al-Futtaim Properties has appointed Engineering Contracting Company (ECC) as the main contractor for the Capria East, Capria West and Maravelle Residences developments at its Ghaf Woods community in Dubai, in a deal valued at AED2bn ($545m).

    The contract covers the construction of one-, two- and three-bedroom apartments and duplex residences across the two Capria clusters.

    The award adds to a series of major construction contracts Majid Al-Futtaim has issued across its Dubai communities in recent years.

    In May, local contractor Al-Sahel Contracting was awarded a AED700m contract for the Distrikt development, also at Ghaf Woods.

    In 2024, Majid Al-Futtaim awarded AED3bn in contracts for its Tilal Al-Ghaf community, appointing Innovo Build to build 94 waterfront villas at Elysian Mansions and United Engineering Construction (Unec) to deliver 130 villas at the Alaya development.

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

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17170744/main.jpg
    Colin Foreman
  • Saudi Arabia and Turkiye sign railway agreements

    10 June 2026

    Register for MEED’s 14-day trial access 

    Saudi Arabia and Turkiye have signed two memorandums of understanding (MoUs) to strengthen bilateral cooperation in the railway and logistics sectors, advancing Riyadh’s ambitions to become a global logistics hub.

    Transport and Logistics Services Minister Saleh Al-Jasser and Turkish Transport and Infrastructure Minister Abdulkadir Uraloglu signed the agreements at the ministry’s headquarters in Riyadh on 9 June, following ministerial talks held with a high-level Turkish delegation. Transport General Authority president Fawaz Al-Sahli and officials from the kingdom’s transport and logistics sector were also present.

    Agreement scope

    The first MoU covers logistics services and operations, including the exchange of expertise, policies and regulations. The second focuses on railway technologies, signalling and communication systems, railway digitalisation, human capacity development, the localisation of the railway industry and measures to reduce the sector’s environmental impact.

    More broadly, the agreements cover cooperation on railway standards and related innovations, the exchange of expertise on the design, operation and maintenance of rail projects, and engineering, infrastructure and safety standards.

    The two sides will also cooperate on research and development, with provision for joint workforce training through specialist railway academies.

    Riyadh said the agreements will help support its National Strategy for Transport and Logistics Services and Saudi Vision 2030, which seeks to position the kingdom as a logistics bridge connecting three continents.

    Turkish projects

    Turkish contractors have already established themselves as key players in the region’s rail sector. In 2012, Yapi Merkezi secured a $2.1bn contract for work on the Haramain high-speed rail network in Saudi Arabia, while Turkish firms Mapa and Limak are leading the ongoing civil works on Dubai’s $5.5bn Metro Blue Line project as part of a China Railway Rolling Stock Corporation (CRRC) consortium. Turkish consultancy Proyapi Muhendislik ve Musavirlik Anonim Sirketi has also won design contracts for the 111km Kuwait National Rail Road project.

    The agreements signed by Saudi Arabia and Turkiye may also give momentum to longstanding discussions around a rail corridor linking the GCC with Turkiye. The route, which has been discussed for years, has gained renewed impetus in recent months as the effective closure of the Strait of Hormuz has pushed regional governments to accelerate the development of overland trade alternatives.

    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:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17169958/main.gif
    Colin Foreman
  • Joint venture tenders Algeria field development contract

    10 June 2026

     

    Register for MEED’s 14-day trial access 

    Hassi Bir Rekaiz Group (GHBR), which operates Algeria’s Hassi Bir Rekaiz field, has issued a tender for phase 2A of the asset’s field development project.

    GHBR is a joint venture of Algeria’s national oil and gas company Sonatrach and Thailand’s national exploration and production company PTTEP.

    The scope of the contract focuses on the “provision of engineering and supervision services”, according to documents published by Sonatrach.

    The tender has been issued with a bid deadline of 16 June 2026.

    In May, GHBR signed a $1.1bn contract for phase two of the Hassi Bir Rekaiz development project.

    The contract was won by a consortium of Egypt’s Petrojet and Italian engineering and contracting company Arkad.

    Petrojet’s portion of the project was estimated to be worth around $600m, and Arkad’s portion was estimated to be worth $500m.

    The contract used the engineering, procurement, construction and commissioning model.

    The scope of the project contract is focused on the construction of a central processing facility (CPF) capable of processing crude oil and associated gas.

    It also includes developing off-plot pipelines, as well as related utilities and infrastructure.

    The CPF will have the capacity to process 32,000 barrels a day (b/d) and will be designed to support future expansions.

    The related infrastructure will include an extensive pipeline network spanning approximately 217 kilometres, as well as a road network.

    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:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17163750/main3325.jpg
    Wil Crisp
  • Algeria extends deadline for urea-formaldehyde project

    10 June 2026

     

    Algeria’s national oil and gas company Sonatrach has extended the bid deadline for a project to develop a new concentrated urea-formaldehyde unit in its Arzew industrial zone.

    The latest bid deadline is 15 June.  

    The contract uses the engineering, procurement, construction and commissioning model, and the bid deadline for technical tender submissions was originally set for early April.

    The condensed urea-formaldehyde unit will be located at the CP1-Z facility.

    The CP1-Z facility began operations in 1975 and has a capacity of 152,000 tonnes a year. It produces products including methanol, resin and formol.

    It is a two-phase tender. The first phase is a technical bid submission, and the second phase is a commercial bid submission.

    To be eligible to win this contract, companies must specialise in petrochemical industrial installation projects.

    They also need to have a share capital of at least $7m and more than 15 years of relevant experience.

    The new unit, UFC85, will have the capacity to produce 40,000 metric tonnes of concentrated and condensed urea-formaldehyde annually.

    The project’s scope also includes the development of auxiliary equipment and installations.

    Urea-formaldehyde has a wide range of uses, including the production of laminates, textiles and paper.

    In the wood industry, it is used as a thermosetting adhesive to bond wood to create plywood and particleboard. In agriculture, urea-formaldehyde is widely used as a slow-release fertiliser.

    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:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17163657/main.jpg
    Wil Crisp