China’s Sepco 3 wins Riyadh power plant deal

Saudi Electricity Co. (SEC) has awarded a contract to Chinese contractor Sepco 3 to build a main power island component of the PP14 power plant in Riyadh, Middle East Economic Digest (MEED) reported.

The planned 1,755 megawatt (MW) facility is part of SEC’s recent strategy of procuring and delivering major power generation plants.

Earlier this month, MEED revealed that the contractor was identified as the frontrunner for the deal after it submitted a low bid of SAR 1.1 billion for the deal in May.

The plant has been tendered under the engineering, procurement and construction management (EPCM) model. SEC has split the project into multiple construction packages and has appointed a project engineer to manage the schemes.

Australia’s WorleyParsons managed the tendering process. In April 2013, the engineering consultancy was awarded the estimated $125 million EPCM contract for the PP14 and PP13 projects.

In November 2013, U.S.-based GE was awarded a $700 million contract from SEC to supply turbines and generators for the two power plants.