Oman to set up two new IPPs

MUSCAT, May 16, 2016 – Oman Power and Water Procurement Company awarded an international consortium a contract for the construction of two new independent power plants on Sunday, to be established in Ibri and Sohar.

The work, which will see Oman’s power generation capacity increase by nearly 3.22 GW, will be carried out by a consortium of Mitsui & Co, Saudi Arabia’s ACWA Power and local Dhofar International Development and Investment Holding Company. Valued at some USD 2.3 billion, the project comprises two gas-fired power plants. The Ibri facility will have a power generation capacity of almost 1.51 GW, while the Sohar-3 plant will add 1.71 GW. The latter is expected to come on line in the first quarter of 2019, followed by the Ibri plant in the second quarter of that year.

Japan’s Mitsui will head the consortium on a 50.1% stake, followed by ACWA with 44.9%. Dhofar International Development and Investment Holding Company, commonly referred to as DIDIC, holds the remaining 5%.

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