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Mon 23 Mar 2015 03:09 PM

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Saudi's ACWA, Mitsui win $630m Oman power plant deal

Oman's government awards contract to build and operate natural gas-fired power plant in Raysut

Saudi's ACWA, Mitsui win $630m Oman power plant deal
(Photo for illustrative purposes only)

Saudi Arabia's ACWA Power and Japan's Mitsui & Co said on Monday they had won a contract from Oman's government to build and operate a $630 million, 445 megawatt natural gas-fired power plant at the city of Raysut.

The contract was won along with Dhofar International Development and Investment Holding Co, which will take 10 percent of the project, Mitsui said in a statement. The Saudi and Japanese companies will each take 45 percent.

The partners will sell electricity to Oman under a 15-year agreement with the new plant to be operational in January 2018. As part of the deal, the consortium will acquire Dhofar Generating Co, which owns and operates an existing 273 MW gas-fired power plant.

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