Spain's Tecnicas wins $1.7bn Saudi power deal

Energy contractor says it has been picked by Saudi Aramco to build power complex in Jazan Province
(Photo for illustrative purposes only)
By Andy Sambidge
Sun 04 May 2014 02:31 PM

Spanish energy contractor Tecnicas Reunidas said on Sunday it had been awarded a contract worth close to $1.7 billion to build a large power complex in Saudi Arabia's Jazan Province.

In a statement, Tecnicas Reunidas said it had been hired by Saudi Aramco, the state-owned oil company, to execute the Jazan IGCC (Integrated Gasification Combined Cycle) complex in the south western region of Saudi Arabia.

The Jazan IGCC complex, which is to become the largest gasifier-based power facility  in the world, will convert vacuum residue to be produced in the adjacent Jazan refinery into synthesis gas.

The company said the contract has a value of approximately $1.7 billion, adding that the facilities will  be operational in 2017. This new contract is the second one for the power generation business of Techicas with Saudi Aramco after the successful completion of the Manifa cogeneration plant.

The scope of the project awarded includes the development of the utilities and off-sites facilities for the IGCC complex under a contract covering the services for engineering, procurement, construction, precommissioning and commissioning support for the facilities.

Técnicas Reunidas said it has designed and constructed over 1,000 industrial plants, spanning more than 50 countries in the six continents.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.