Emal requests new bids for power plant expansion

29 April 2015

Samsung C&T recently completed second-phase expansion of Abu Dhabi captive power plant

  • Contractors originally submitted bids in February
  • Client has asked bidders to submit lower prices
  • Expansion will increase capacity of plant by 235MW

Emirates Aluminium (Emal) has requested bidders to submit new prices for the third-phase expansion of the captive power plant at its complex in Khalifa Industrial Zone Abu Dhabi (Kizad).

Emal received bids from contractors on 26 February for the deal to expand the power plant by a further 235MW. However, according to sources close to the project, due to prices being too high the client has asked bidders to resubmit bids in early May. It is believed that fewer than five bids were submitted for the expansion.

South Korea’s Samsung C&T recently completed work on the $625m second-phase expansion of the captive power plant at the Emal complex. The expansion has increased the capacity of the facility from 2,000MW to 3,100MW. Samsung C&T was the engineering, procurement and construction (EPC) contractor for the second-phase expansion, and the US’ GE provided turbines for the project.

The second-phase expansion of the Emal smelter will boost its output by 550,000 tonnes a year (t/y) to 1.3 million t/y by mid-2014.

In November last year, the US’ GE Power & Water was awarded a long-term agreement to provide services on turbines that power the aluminium smelter complex in Taweelah, Abu Dhabi.

The contractual services agreement (CSA) will extend its current services for three of the GE-supplied 9FA turbines and add the maintenance and support of two 9FA standby units. The CSA will cover requirements of spare parts, repairs and field services

Dubai Aluminium (Dubal), a subsidiary of Emirates Global Aluminium, is also undertaking a project to boost the capacity of its captive power plant.

Dubal has invited prequalified contractors to submit bids by 19 May for the deal to expand the capacity of its power plant by 450-550MW.

According to sources close to the project, 17 companies attended a site visit at the launch of the tender, although it is unclear how many bidding groups have been prequalified.

In January, MEED reported that Dubal had raised a $1.8bn seven-year syndicated corporate loan to help fund its investment plans.

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