Alkhorayef-Veolia alliance to establish subsidiary for water services in Riyadh

Logo of Alkhorayef Water and Power Technologies

Alkhorayef Water and Power Technologies Co.’s (AWPT) board of directors approved, on Oct. 24, to establish a limited liability company, Erwaa Water Co., in Riyadh, with a capital of SAR 500,000, according to a bourse filing.

AWPT will own 49% of Erwaa Water, while the remaining 51% will be owned by France’s Veolia.

Erwaa Water will specialize in managing the operation and maintenance of water and environmental treatment services in Riyadh, by raising operational efficiency, technical knowledge, quality and availability of services and maintenance requirements in the sector.

The step comes in line with the company's strategy to expand and diversify its activity, after obtaining the necessary approvals and licenses from the relevant authorities, AWPT stated.

It indicated that any developments in this regard will be announced in due course.

In September 2021, National Water Co. (NWC) said that the consortium of AWPT and Veolia won a seven-year management, operation, and maintenance (MOM) contract worth SAR 358 million, Argaam reported.

Under the contract, the consortium will undertake the management, operation and maintenance of water and environmental treatment services in the Riyadh region.