Veolia JV set to expand desalination plant in Oman
Debt refinancing paves the way for additional 10 MIGD of capacity at Sur.
Veolia-led Sharqiyah Desalination Company has successfully refinanced its existing debt of $120.8mn and raised new debt of $42.7mn to fund the expansion of its reverse osmosis water desalination plant in Sur, Oman.
A consortium of international banks purchased the loans from the existing lenders, the company said in a statement to the Muscat Securities Market.
All financial conditions have now been met to expand the existing desalination plant, located 160km south west of Muscat, from 18.4 million imperial gallons per day (MIGD) to 29MIGD.
Major shareholders Veolia Middle East SAS and National Water and Power played a key role as developer, investor and operators in fostering the transaction.
Xavier Joseph, board member and CEO of the company said: “I am very pleased and proud of this major achievement, which I view not only as a recognition of what we have accomplished to date, but also as an exhortation to further succeed in Oman’s being a place of opportunities.”