Najm al-Jazeera wins $266m Saudi power deal

10 October 2008
The local Najm al-Jazeera Contracting Company, a subsidiary of Al-Arrab Contracting Company, has won a SR1bn ($266m) contract for the construction of a 300MW power plant in Tabuk, in the northwest of the kingdom.

Najm al-Jazeera will install four gas turbines procured from German’s Siemens.

German-based ILF Consulting Engineers is the consultant on the project and will carry out the design and procurement planning management work.

The project duration is two years and the plant is expected to be operational by October 2010, after which it will provide power to Tabuk and its neighbouring areas.

The scope of work covers the equipment, fuel tanks, installations and plant works, on an engineering, procurement and construction (EPC) basis.

It is the second contract awarded to Najm al-Jazeera in recent months.

In June, the company won a SR400m contract to construct a 50MW power plant in the city of Duba, north of Jeddah on the Red Sea coast.

The second power plant will begin operating by March 2010. The project was awarded on an EPC basis and includes all the equipment and plant works.

The Saudi Electricity Company (SEC) is the client for both projects.

Elsewhere in the kingdom, Najm al-Jazeera emerged as the low bidder for a 132/13.8kv substation at Hail University in April.

The work is scheduled to take 24 months. The client is the University of Hail, but the work will be supervised and managed by SEC (MEED 22:4:08).

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