Agreement signed to build power plant in Oman

Oman Monday 23/August/2021 13:35 PM
Agreement signed to build power plant in Oman
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Muscat: A Power Purchase Agreement (PPA) was signed by the Central Utilities Company (Marafiq), a member of OQ Group, and the Rural Areas Electricity Company “Tanweer” a member of Nama Group.

The agreement was signed by Hamad Ali Al-Wahibi, General Manager of Business Development at Marafiq, and Ahmed Said al-Harthy, Acting CEO of Tanweer.

Through the agreement, Marafiq Company will build and operate a power plant consisting of gas fuel turbines with a capacity of more than 80MW to meet the energy requirements of Tanweer in Duqm. The power production is expected to start in November 2021.

On this occasion, Abdullah A-Hashimi, Executive Director of Marafiq, expressed his thanks and appreciation for completing this agreement saying that “This agreement will meet the requirements "economic procurement" of the sector’s law and will create high value to meet the increasing demand in the zone. In addition, the plant will contribute to reducing emissions.

Hilal Al-Kharusi, Chairman of Marafiq, highlighted the importance of this agreement, “This agreement emphasises the importance and necessity of complementary work between the competent authorities to reach the national strategic goals.”

Marafiq received natural gas in the Special Economic Zone at Duqm in April 2021 and started the commissioning activities of the integrated power and water plant, which has reached a completion rate of 92 per cent, and all work on the 132 kV high voltage transmission line has been completed.