Desalination plant will have a capacity of 600,000 cubic metres a day
State desalination provider Saline Water Conversion Corporation (SWCC) has appointed advisers for the planned 600,000 cubic metres a day (cm/d) Rabigh 3 independent water project (IWP).
The lead adviser is the local Banque Saudi Fransi. The client has appointed Germanys Fichtner Engineering and Consulting as the technical adviser, the UKs DLA Piper as legal adviser and the UKs Alderbrook as financial adviser.
MEED reported in November last year that SWCC had invited consultants to submit proposals for the financial advisory role on the planned 600,000 cm/d Rabigh 3 IWP.
The client had originally been planning to tender and award a standard engineering, procurement and construction (EPC) contract to develop the plant. MEED reported in late 2015 that SWCC was planning to issue tender documents for the EPC deal by February 2016. However, as with the vast majority of the kingdoms major upcoming utilities project, the plant will now be delivered through a public-private partnership (PPP) model as the kingdom seeks to reduce pressure on capital expenditure caused by lower oil revenues.
The Rabigh desalination facility will service the cities of Jeddah, Mecca, Taif and surrounding villages.
SWCC is increasing the role of private investment in the desalination sector as part of the kingdoms Vision 2030. It is also preparing to privatise existing assets. SWCC forecasts it needs to increase the current desalination capacity of 5.1 million cm/d to 7.3 million cm/d by 2020 to meet growing demand.
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