Sembcorp Industries has successfully completed the acceptance tests for its US$1 billion Salalah Independent Water and Power Plant (Salalah IWPP) in Oman.
The facility will provide power and water under a 15-year power and water purchase agreement with the Oman Power and Water Procurement Company, which is wholly-owned by the Government of Oman.
The Salalah IWPP consists of a gas-fired power plant with a total gross capacity of 490 megawatts and a seawater desalination plant with a total water production capacity of 69,000 cubic metres per day.
“This facility will enable us to provide essential power and water to meet the growing demand in Dhofar,” Tang Kin Fei, Sembcorp’s group president and CEO, said.
“With the completion of the Salalah IWPP, our second project in the Middle East, we look forward to continue expanding our presence in this region.”
Sembcorp Salalah Power and Water Company is a joint venture between Sembcorp’s wholly-owned subsidiary Sembcorp Utilities, the Oman Investment Corporation and Bahrain-based Instrata Capital.
Sembcorp holds a 60 per cent stake in Sembcorp Salalah Power and Water Company, making it the single largest investment by a Singapore company in Oman.
It also owns a 70 per cent stake in Sembcorp Salalah O&M Company, which is the joint venture company that will maintain and operate the Salalah IWPP.