Bidders wait for results for Yanbu desalination project

Four consortiums submitted proposals for the 250,000 cubic metre a day (cm/d) Yanbu 1 desalination project in March

The four consortiums which submitted proposals for the planned 250,000 cubic metre a day (cm/d) Yanbu 1 desalination project in March are still waiting for news from the client, Saline Water Conversion Corporation (SWCC).

According to sources close to the scheme, the bidders have not received any information from the client on the ranking of bidders or when the contract will be awarded.

The following consortiums (in alphabetical order) submitted proposals for the engineering, procurement and construction (EPC) contract in March:

• Abengoa (Spain)/Saudi Services for Electromechanical Works (SSEM)
• Acciona (Spain)/ Al-Rashid Trading & Contracting (RTCC)
• Doosan (South Korea)
• Metito (UAE)

SWCC recently received proposals from contractors for two other desalination projects which are planned to be developed under EPC contracts.

Energy & Utilities previously reported that SWCC had received proposals for the 400,000 cm/d Shuqaiq 4 plant on 26 August and the 600,000 cm/d Shuaiba 5 plant on 13 September.

While SWCC has received bids for three major desalination projects this year, most of the planned desalination capacity in the kingdom will be developed through the independent water producer (IWP) model in partnership with the private sector. The public-private partnership (PPP) programme of desalination plants in the kingdom is being overseen by the Saudi Water Partnership Company (SWPC).

SWPC is overseeing the development of two IWP schemes at Jubail, phases 3A and 3B.

Energy & Utilities reported earlier in September that a consortium led by the local Acwa Power has reached financial close for the $650m Jubail 3A IWP.

The reverse osmosis (RO) Jubail 3A IWP will have a desalination capacity of 600,000 cubic metres a day (cm/d) and is due to be commissioned towards the end of 2022.

The engineering, procurement and construction (EPC) contract has been awarded to a consortium of Sepco 3 (China), Power China and Spain’s Abengoa.

The Acwa Power consortium saw off competition from three other groups to win the Jubail 3A IWP deal, with SWPC having prequalified 10 groups to participate in the tenders for the Jubail 3A and Jubail 3B IWP tenders.

 The Jubail 3B IWP is planned to have a capacity of 570,000 cm/d. India’s Synergy Consulting has been appointed as lead and financial adviser for the Jubail 3 A and B projects. UK-based law firm DLA Piper has been appointed as legal adviser and UK-based Atkins is technical adviser for the planned projects.

The Jubail 3 scheme had originally been planned as one independent water and power project (IWPP) with a 1.17 million cm/d desalination capacity and a power component of 3,000MW. However, the client decided to drop the power generation component and proceed with the projects as two separate IWP projects.