Saudi utility giant Acwa Power has announced that its consortium - Gulf Alliance for Power and Water - has signed an energy conversion and water purchase agreement for the Az-Zour North Phase 2 & 3 IWPP in Kuwait.
A major development for the region, the $4.1 billion Az Zour North 2&3 Project boasts a Combined Cycle Gas Turbine (CCGT) plant with a power capacity of 2,700 Megawatts (MW), said Acwa Power in its filing to Saudi bourse Tadawul.
Furthermore, the project will comprise a desalination component that will utilise Seawater Reverse Osmosis (SWRO) technology to produce 545.5 thousand cu m/day.
The agreement was signed between MEWRE and Gulf Alliance for Power and Water consortium, which is owned by Kuwait Authority for Partnership Projects (KAPP) along with Acwa Power and Gulf Investment Corporation.
Acwa Power’s effective share in the project is 24%, it stated in the bourse filing.
As per the deal with the Ministry of Electricity and Water and Renewable Energy State of Kuwait (MEWRE), the consortium will be implementing the project on a Build, Operate and Transfer (BOT) basis.
The Energy Conversion and Water Purchase Agreement is for a 25-year period starting from the project commercial operation date, it added.-TradeArabia News Service
