MUSCAT: Al Dhahirah Power Generating Company (AGC) announced the completion of 99.4 per cent of the largest energy project in the Wilayat of Ibri with a production capacity of 1,509 megawatt. The plant is being developed by a consortium of Mitsui and Co Ltd holding 50.1 per cent of shares, ACWA Power and Dhofar International Development and Investment Holding Company (DIDIC) with 44.9 per cent and 5 per cent, respectively. It is expected to commence commercial operations — on schedule — after the completion of the efficiency testing phase in April 2019.
Ali bin Mohammed al Raeesi, Chief Executive Officer of Al Dhahirah Power Generating Company (AGC), representing the consortium, said that the plant is “the largest investment project in the Governorate of Al Dhahirah” with foreign capital to contribute to the development of the Sultanate. He said that the company is keen to maximise the economic returns from the project and the local community will benefit a lot, through contracts to local companies, providing training opportunities for students and employment opportunities for graduates. “Total contracts awarded to local companies amounted to RO 65 million including procurement, logistics services or technical contracts,” he said, which represent 17 per cent of the total investment of RO 372 million ($967 million).
“The company also pledged to provide training opportunities for engineering and technical colleges students in the Governorate of Al Dhahirah, providing training rooms and trainers in the field,” Al Raeesi said. CEO Ali bin Mohammed al Raeesi (pictured) stressed the vital role played by this project as a catalyst for economic boom in the governorate, and to meet the increasing demand for electricity in light of urbanisation in the governorate in particular, and in the Sultanate in general. He also assured that the commercial operations of the plant start by early April 2019.
The two gas-fired combined cycle power plant operates according to the latest global standards to increase the efficiency of operation and production of electricity at a lower price and reduced costs. The energy produced will be pumped to the National Electricity Transmission Network to supply the National Grid with power capacity to meet the increasing demand for electricity. The company will also contribute to the national economy by offering part of its shares on Muscat Securities Market with an initial public offering (IPO) next year, providing a promising investment opportunity in a sector characterised by sustained growth and returns, especially in light of the company’s acquisition of power purchase contract for 15 years with the state-owned Oman Power and Water Purchase Company (OPWP). — ONA