The Central Tenders Committee (CTC) recommended in late November that the contract to build the first phase of the proposed Subiya desalination plant be awarded to a Korean/Japanese team comprising Hyundai Heavy Industries, Hyundai Engineering & Construction Companyand Sasakura Engineering Company (MEED 13:9:02; 28:6:02).
The CTC recommendation is the latest twist in the Subiya bidding process. Despite the Hyundai group being the original low bidder the client, the Ministry of Electricity & Water (MEW), had originally recommended the award of the engineering, procurement and construction (EPC) contract to South Korea's Doosan Heavy Industries & Construction Company, the second lowest bidder. Following the MEW recommendation, the CTC asked the Kuwait Society of Engineers to prepare a technical study on the bids submitted by the two groups (MEED 30:8:02).
Five groups of companies submitted two sets of prices by the end-June deadline, with the Hyundai/Sasakura team offering low bids for both options - a base price and an alternative offer.
The South Korean/Japanese team quoted a base price of KD 76.7 million ($247 million), about 3.6 per cent lower than Doosan's offer of KD 79.6 million ($256 million). For the alternative quote, the Hyundai team offered a price of KD 100.3 million ($323 million), some 8 per cent less than Doosan's quote of KD 109.8 million ($353 million).
The first phase of the proposed Subiya desalination plant calls for the supply and installation of two 12.5 million-gallon-a-day units, with an option to add a further two units of the same capacity using multi-stage flash (MSF) technology. The units are expected to be commissioned in just under 30 months (MEED 15:3:02).
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