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Doosan Heavy to take part in Oman’s $200mn desalination project

A consortium led by Japanese engineering company JGC Corp. and Oman’s UICD has clinched the engineering, procurement and construction deal to build a seawater desalination facility in Oman by April 2021

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The desalination plant is expected to be built in Oman’s Sharqiyah region, 220 kilometers southeast of the capital Muscat
The desalination plant is expected to be built in Oman’s Sharqiyah region, 220 kilometers southeast of the capital Muscat

South Korea’s Doosan Heavy Industries & Construction Co. will take part in a 230 billion won ($203.9 million) desalination project in Oman, the latest in a series of winning streak for the world’s biggest desalination plant builder.

The Korean company has said its consortium led by Japanese engineering company JGC Corp. and Oman’s UICD has clinched the engineering, procurement and construction deal to build a seawater desalination facility in Oman by April 2021.

The consortium members will set up a special purpose company called Al Asilah, with JGC to fund 75 percent, UIDC 20 percent, and Doosan Heavy 5 percent. The newly established company will be in charge of overall development and operation of the plant.

The desalination plant is expected to be built in Oman’s Sharqiyah region, 220 kilometers southeast of the capital Muscat. The plant will be designed using the reverse osmosis method, an increasingly preferred method of desalination because of its low energy consumption. When completed, it will be able to supply 80,000 tons of fresh water, enough to meet the water demand of 200,000 people a day.

With the deal, Doosan Heavy has re-entered Oman, whose desalination market has been expanding by more than 5 percent per year on rapid urbanization and population growth. “We’ve broadened our business scope from construction to development and operation, and expect to collect a steady stream of rental fees over the next 20 years,” said a company official.

Doosan Heavy has won 28 desalination projects over the past 30 years across the Middle East and Latin America, including Saudi Arabia, United Arab Emirates, Oman, Kuwait and Qatar.

According to Global Water Intelligence, a data provider on the global water industry, the world’s desalination market is projected to reach $7 billion by 2022, with the Middle East and North Africa region to account for $4.3 billion.

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