China’s Sepco III Electric Power Construction Corporation has awarded a contract to the local Teejan Trading & Contracting to deliver civil works on the Salalah independent water and power plant (IWPP) in Oman.

The agreement between Sepco III, the project’s engineering procurement and construction (EPC) contractor, and Teejan was signed on 22 April in Salalah.

Salalah IWPP is being developed by Sembcorp Salalah Power and Water Company and the Oman Investment Corporate for a total project value of $1bn.

The project, which is expected to come into commercial operation by mid-2012, is a gas-fired power and water plant, with 445MW capacity and a desalination unit which will produce 15 million imperial gallons of water per day.

The facility will be the largest power and water plant in the governorate of Dhofar and the entire electricity and water output from the facility will be sold under the 15-year power and water purchase agreement.

Work has already begun on the project after a groundbreaking ceremony in February (MEED 11:2:10).