GDF Suez is continuing its success in the rapidly-growing Middle East power market, winning the contract to develop a major independent power and water project in Bahrain.
The recently-formed European energy major will build, own and operate the Al Dur 1 power generation and seawater desalination plant in the south of the country. The project represents the third major contract in the Middle East won by GDF Suez so far this year, and will be the largest plant in the region using reverse osmosis technology.
Al Dur 1 will be completed in 2011, when it will deliver 1234 MW of electricity and 218 000 m3/day of water. GDF Suez Energy International and the Gulf Investment Corporation (GIC) will each hold a 50 per cent stake in the project development company.
Bahrain’s Electricity and Water Authority will purchase the entire output from the plant under a 20-year power and water purchase agreement. The reverse osmosis technology will be supplied by Degrémont, a subsidiary of Suez Environment.
Earlier this year GDF Suez secured contracts for the 1500 MW, 454 610 m3 water/day Shuweihat 2 plant in Abu Dhabi and the 2750 MW, 286 000 m3 water/day Ras Laffan C plant in Qatar. It holds a 45 per cent stake in the Al Ezzel power plant, located 40 km from the Al Dur site, and is also a shareholder in the 938 MW, 136 000 m3 water/day Al Hidd power and water plant.
In order to keep pace with rapidly growing demand, Bahrain plans to develop three more power and water plants at the Al Dur site. The Al Dur 2 project, which is likely to be of a similar size to Al Dur 1, is to be launched in 2009.
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