SEC issues equipment tenders for major power plants

PP13 and PP14 plants will both have a capacity of 1,650MW

The Saudi Electricity Company (SEC) has issued a number of equipment packages for its planned PP13 and PP14 power plant projects.

According to sources within the kingdom, up to 40 tenders for equipment packages have been issued, which include components such as proving power islands. Both of the PP13 and PP14 facilities will have a total generating capacity of 1,650MW.

The client has not yet given an indication of when the request for proposal (RFP) main engineering, procurement and construction (EPC) contracts will be issued, according to sources close to the project.

Australia’s WorleyParsons is managing the tendering process. In April 2013, WorleyParsons was awarded the estimated $125m engineering, procurement and construction management (EPCM) contract for the PP13 and PP14 projects. The firm will provide conceptual engineering, detailed design, material procurement, project and construction management, and commissioning management services.

In November 2013, the US’ GE was awarded a $700m contract from SEC to supply turbines and generators for the two power plants.

GE will provide 12 combined-cycle gas turbines, four steam turbines and 16 generators for the PP13 and PP14 facilities. PP13 will be located next to SEC’s PP11 and PP12 plants at Dhurma, near Riyadh, and PP14 will be located next to PP10. GE’s deal also includes two contractual service agreements, one for each site, which cover maintenance of the units for a fixed 8-year period. The firm will begin shipping the equipment to the kingdom in early 2015.

In May 2012, SEC awarded an estimated SR4.7bn ($1.25bn) EPC contract to the local Arabian Bemco to build the PP12 (power plant 12) near Riyadh City, which will have a capacity of 2,175MW. Arabian Bemco will build the PP12 project at a site located 100 kilometres west of Riyadh city and adjacent to the PP11 combined-cycle power plant.

Unlike PP12, 13 and 14, which are being built under standard EPC contracts, PP11 was developed as an independent power project (IPP) by the UK/French GDF Suez Energy International with South Korea’sHyundai Heavy Industries as EPC contractor.