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OPWP, ACWA Power and Mitsui sign Salalah 2 IWPP

Trio sign off on 445MW gas-fired power plant expansion in Oman.

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ACWA, IPP, Mitsui, OPWP, Salalah, News

Oman Power and Water Procurement Company has signed off on the deal to develop the second phase of the Salalah Independent Power Plant.

ACWA Power of Saudi Arabia and Japan’s Mitsui & Co won the contract for the expansion in March.

They will each hold 45% of the project while Dhofar International Development and Investment Holding Co. will hold 10%.

The agreements include the acquisition of the existing Dhofar Power Plant, which has an output of 273MW.

At a cost worth over OMR 240mn ($630mn) the new natural gas-fired combined cycle power plant will have an installed capacity of 445 MW and will be connected to the existing Salalah grid.

The plant is planned to enter commercial operations by Q1 2018.

Speaking at the event Engineer Ahmed Bin Saleh Al Jahdhami, CEO of OPWP said: “This new capacity will contribute to the growing power demand to meet the needs of urban, industrial and tourism development in the governorate of Dhofar as well as enhancing the efficiency of gas consumption.”

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