Saudi Arabia invites firms to express interest in sewage outfall project
Saudi Water Partnership Company (SWPC) has invited firms to submit expressions of interest (EOI) in the project to develop an outfall pipeline for the Dammam West Independent Sewage Treatment Plant (ISTP) in the Eastern province of Saudi Arabia
Saudi Water Partnership Company (SWPC) has invited firms to submit expressions of interest (EOI) in the project to develop an outfall pipeline for the Dammam West Independent Sewage Treatment Plant (ISTP) in the Eastern province of Saudi Arabia.
Companies have until 18 July to submit EOI for the project, which is being developed under an engineering, procurement and construction plus finance (EPC+F) model.
The outfall pipeline is required to convey treated sewage effluent (TSE) from the ISTP to the disposal location in the Arabian Gulf. The approximate length of the pipe will be 29km for the land and marine sections, and will have the capacity to carry up to 350,000 cubic metres a day (cm/d).
SWPC will select a developer or developer consortium to develop, finance, engineer, procure and construct the outfall pipeline following a competitive tendering process. The pipeline will be transferred to the National Water Company (NWC) after construction.
NWC will then assume responsibility for operation and maintenance (O&M). SWPC will sign an outfall pipeline development agreement (OPDA) with the selected developer/ developer consortium, with payments to be made over a term to be determined commencing from the date of the transfer to NWC.
SWPC’s obligations under the OPDA will be supported by a credit support from the Saudi government.
SWPC has appointed Deloitte Financial Advisory Services as lead and financial adviser, Atkins Global as technical adviser and Pinsent Masons as legal adviser.
Details of how to submit EOI can be found on the SWPC website.
SWPC awarded a contract to a consortium of Metito Group, Orascom Construction and the local Mowah to develop the Dammam West ISTP in January 2019. The project reached financial close in May 2020.
The Dammam West ISTP will have an initial capacity of 200,000 cm/d with a design that will allow expansion of up to 350,000 cm/d in the future.
The consortium has formed a special-purpose vehicle (SPV) called Dammam West Company for Water to build and operate the plant. The project will be developed under a build-own-operate-transfer (BOOT) model under a 25-year sewage treatment agreement (STA).
SWPC’s obligations under the STA will be guaranteed by a credit support agreement from the Saudi government.
Energy & Utilities - Middle East and Africa Market Outlook Report 2024.
This must-have report for industry players offers a thorough understanding of the latest developments, challenges, and opportunities in the region, supported by data, analysis, and expert insights.
Latest News
E&U Podcast
Subscribe to our Market Talk podcast for the latest on the key issues and trends in the energy and utilities sector
