RO 385m power, desalination plant to come up in Mirbat -The foundation stone for 385 million rials power and water desalination plant in A’shur Plain in the Wilayat of Mirbat, a joint venture between Oman Investment Corporation and Sembcorp of Singapore, was laid yesterday.

A ceremony held under the auspices of Shaikh Mohammed bin Marhoon al Maamari, Minister of State and Governor of Dhofar.

Mohammed bin Abdullah al Mahrouqi, Chairman of the Public Authority for Electricity and Water and Chairman of Dhofar Power Company, said that the project comes within the framework of the efforts undertaken by the government in a bid to increase local and foreign investment in power and water projects and establish an economic base that rely closely on the participation of the private sector.

He added that Sembcorp Salalah Power and Water Company was established to carry out the project — a joint venture between Sembcorp of Singapore and Oman Investment Corporation. The company has to offer 35 per cent of its shares for public subscription at MSM during four years from the date of its registration.

He pointed out that as per the agreements signed with Sembcorp Salalah Power and Water company, a build own and operate (BOO) power and water plant will be set up in the Wilayat of Mribat in Dhofar Governorate. Oman Power and Water Procurement Company (OPWP) will purchase the generated power and desalinated water for 15 years from the date of commercial operation of the project.

The production capacity of the plant is 445 megawatts of power and 15 million gallons of desalinated water per day. He pointed out that the full operation of the stages of the project is expected to take place in April 2012. He affirmed that Dhofar Power Company will establish and enhance the electricity transport and distribution network to link the new plant and meet the growing demand for electricity. The approved capital cost for enhancing the power network during the next five years is more than 200 million rials.

Tang Kin C, Sembcorp Group CEO, said that with the signing of the 15-year power and water purchase agreement with Oman Power and Water Procurement Company (OPWOP), Sembcorp Salalah Power and Water Company will supply 455 megawatts of power and 15 million gallons of potable water per day from the new facility to be built.

This facility will be the largest and most efficient power and water plant in Dhofar and will play a major role in meeting the region’s growing power and water needs and in supporting the continued growth and development of the region. Kalat bin Ghalum al Balushi, CEO for Oman Investment Corporation, said that the project, which is one of the major investments for Oman Investment Corporation, is the first investment for Sembcorp in the Sultanate. He also affirmed the commitment of the company as an investor and a partner in power and water projects in the Sultanate.

He pointed out that the Sembcorp is one of the international companies specialised in power generation, water desalination and industrial utility services. The company has built and developed a number of power plants in different parts of the world, including the UK, China, Indonesia, UAE and Singapore.

After this, the chief guest laid the foundation stone for the power and water desalination plant in A’shur Plain in the Wilayat of Mirbat and was briefed on the project. The ceremony included recitation of poems and traditional art performances. The ceremony was attended by a number of ministers and Dr Yaqoub Ibrahim, Minister of Environment and Water Resources of Singapore. — ONA