Indian firm wins $48m contract for Saudi PPP sewage project

The Saudi Water Partnership Company (SWPC) signed contracts in February 2019 with a consortium comprising local firms Power & Water Utility Company for Jubail, Al-Amwal al-Khaleejiah and France’s Veolia to develop the Jeddah Airport 2 ISTP.

India’s VA Tech Wabag has been awarded a contract worth $48m for works on the Jeddah Airport 2 independent sewage treatment plant (ISTP) in Saudi Arabia.

The Indian firm received the order from the Saudi Services for Electro Mechanical Works (SSEM), the engineering, procurement and construction (EPC) contractor for the consortium developing the 500,000 cubic metres a day (cm/d) ISTP.

The Saudi Water Partnership Company (SWPC) signed contracts in February 2019 with a consortium comprising local firms Power & Water Utility Company for Jubail, Al-Amwal al-Khaleejiah and France’s Veolia to develop the Jeddah Airport 2 ISTP.

India/US-based Synergy was the financial adviser to the winning consortium.

The Jeddah Airport 2 project is one of three ISTP projects which SWPC awarded contracts for in 2019.

The first ever ISTP contract in the kingdom was awarded in January 2019 when SWPC signed agreements with a consortium of Metito Group, Orascom Construction and the local Mowah to develop the plant.

Energy & Utilities recently reported that the Dammam West ISTP had reached financial close. The ISTP will have an initial capacity of 200,000 cm/d with a design that will allow expansion up to 350,000 cm/d in the future.

In December last year, SWPC awarded a contract to a consortium of Spain’s Cobra Instalaciones y Servicios and local company Tawzea to develop the Taif ISTP.

The winning team had submitted the lowest tariff of SRhalala 107.9 ($cents2.87) a cubic metre during a competitive bidding process in August. The Taif ISTP will have a treatment capacity of 100,000 cubic metres a day (cm/d), and will be developed operated under a 25-year sewage treatment agreement.