EWA gets bids for Al Dur 2 IWPP
Electricity and Water Authority (EWA) has received bids from two consortia for the Al Dur 2 IWPP project in Bahrain.
The project, a BOO concession that involves construction of a 1354MW combined cycle power plant and a 218,200m3 per day desalination plant, is expected to cost around $1.5 billion. EWA will be the sole offtaker from Al Dur 2 under a PWPA, expected to be around 20-years in length. Bahrain’s Ministry of Finance will provide a guarantee backing EWA’s payment obligations to the project company. Bahrain’s National Oil Company, BAPCO, will supply the project with fuel under a gas supply agreement.
EWA is tendering the project with support from KPMG Fakhro as financial adviser, Trowers & Hamlins as legal counsel, and WSP as technical adviser. The two bids received are offers from ACWA Power with Mitsui, and from a Sumitomo-led consortium.
The ACWA-led bid is backed by a Hermes-covered KfW tranche and local debt provided by Apicorp and a mix of Saudi and local banks. The Sumitomo-led team has support lined up from JBIC, NEXI and Kexim. BNP Paribas, SMBC, Societe Generale, KfW IPEX-Bank and Standard Chartered will be debt providers for the proposed NEXI tranche.
