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Contracts of two power projects in Oman to be extended till 2021

Business Tuesday 19/July/2016 18:54 PM
By: Times News Service
Contracts of two power projects in Oman to be extended till 2021

Muscat: The Oman Power and Water Procurement Company (OPWP) has reached a standstill agreement with the owners of Al Kamil Power for extending their contract from 2017 to December 2021, subject to regulatory approval. The total contracted capacity of the plant is 280 MW, which is expected to be available for further contract extension after 2021.
Likewise, the OPWP and the owners of Barka 1 are considering extension of a power and water purchase agreement to December 2021.
However, the 264 MW-Manah power plant’s power purchase agreement will expire in December 2020 and the plant will be transferred to the government. OPWP is considering several options for the continued operation of the plant, including a competitive tender for sale of the asset, backed by a multi-year power purchase agreement with OPWP.
Also, the Sohar 1 project, which has a generation capacity of 597 MW, is expected to be available for contracting under a new power and water purchase agreement, after the present agreement expires in 2022. Similarly, the Rusayl power project, which has a generation capacity of 689 MW, will also be available for contracting after its present PPA expires in March 2022.