The Al-Khairan Phase 1 and Az-Zour North Phase 2 and 3 Integrated Water and Power Project (IWPP) tenders have both been canceled by the Kuwait Authority for Partnership Projects.
Additionally, it has reissued the list of qualified firms/groups to take part in a tender for the two projects’ development, funding, design, procurement, engineering, construction, testing, commissioning, operation, maintenance, and transfer.
Az-Zour North Phase 2 and 3 IWPP Project
A power and water desalination facility, the Az-Zour North Phase 2 & 3 IWPP project has a net capacity of at least 2,700 MW of power and 120 MIGD of desalinated water.
It will be located at the Az-Zour North location, about 100 kilometers south of Kuwait City on the coast of the Arabian Gulf, close to the west boundary of the Az-Zour North 1 IWPP plant now in operation and to the north boundary of the existing Az-Zour South power complex.
The Project is anticipated to run on a combination of liquified natural gas and high-pressure natural gas with gas oil serving as a backup fuel, according to a statement made by KAPP (Kuwait Authority for Partnership Projects).
The Energy Conversion and Water Purchase Agreement (the “ECWPA”), with MEWRE as the offtaker for a 25-year term, will be advantageous to the Project. Ernst & Young serves as the lead and financial advisor, Addleshaw Goddard as the legal advisor, and Atkins as the technical and environmental advisor for KAPP and MEWRE.
Al-Khairan Phase 1 IWPP Project
A power and water desalination facility, the Al-Khairan Phase 1 IWPP project has a net capacity of at least 1,800 MW of power and 33 MIGD of desalinated water.
“The Project will benefit from an Energy Conversion and Water Purchase Agreement (the “ECWPA”) with MEWRE as the offtaker for a 25-year term from PCOD,” stated another statement made by KAPP. Ernst & Young serves as the lead and financial advisor, Addleshaw Goddard as the legal advisor, and Atkins as the technical and environmental advisor for KAPP and MEWRE.
The Project will be built adjacent to the southern border of the current Az Zour South conventional thermal power and desalination plant, about 100 kilometers south of Kuwait City.
It is anticipated that the Project will run on a combination of liquified natural gas and high-pressure natural gas with gas oil serving as a backup fuel.
According to a 2021 article in Smart Water Magazine, the KAPP had an agreement for transaction consulting services for these two large-scale infrastructure projects with a group managed by Ernst & Young.
Source: The Kuwait Authority for Partnership Projects
