Algerian Energy Company (AEC)opened on 19 July technical bids from two firms - Germany's Siemensand Canada's SNC Lavalin- for the engineering, procurement and construction (EPC) contract on the 1,200-MW combined cycle power plant at Hadjret Ennous, in the Tipasa region. A third offer, from France's Alstom, was also received but subsequently rejected as it did not conform to the tender's specifications.
The successful bidder will construct the estimated $600 million project, as well as take a 25 per cent stake in the project company to build, own and operate the plant with AEC, state energy company Sonatrachand state power company Sonelgaz. AEC will invite the two contractors to submit commercial offers once technical evaluation is completed. Work on the project is expected to start by the end of the year, with the power plant scheduled to come on stream in 2008 (MEED 21:11:03). Siemens and SNC submitted technical quotes in February for the post of foreign partner in the project company. However, AEC cancelled the tender when it became clear that other companies were reluctant to bid for the EPC contract in the belief that the foreign partner would not accept a separate EPC contractor. The two tenders were merged as a result (MEED 2:7:04; 20:2:04). Siemens and SNC were among the three companies and groups that submitted technical bids for the EPC contract on the Berroughia gas-fired power plant last December. Statepower company Sonelgaz has requested the bidders for the 400-500-MW plant to extend the validity of their technical proposals to February 2005 (MEED 19:12:03).