The Saudi Arabia-based Islamic Development Bank (IDB) has agreed to provide $176m of financing for a water supply project in Oman.

The IDB financing will be used for the Wadi Dayqah water supply scheme, to distribute water from the Wadi Dayqah dam. Construction of the dam was completed in 2012.

The dam has a maximum storage of about 100 million cubic metres, with the expected yield planned to be about 35 million cubic metres. About 15 million cubic metres will be used for domestic and irrigation water supplies and the remaining 20 million cubic metres will be allocated to potable water supply in the area.

The sultanate’s Public Authority for Electricity & Water (PAEW) is currently evaluating bids for the contract to build the main 125,000 cubic metres a day water treatment plant at the dam. Nine companies submitted bids for the contract in mid-2013.