CCGT plant

France-based GDF Suez has officially launched the Sohar 2 and Barka 3 gas-fired combined cycle gas turbines (CCGT) plants in Oman.

The two power plants, with a capacity of 744MW each, have incurred an investment of $1.7bn (€1.2bn).

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In 2009, Oman invited bids for developing the two power projects for fulfilling the nation’s energy requirements.

In 2010, a consortium led by GDF Suez won the contracts for both of the facilities.

Commercial operation for the Barka 3 and Sohar 2 facilities started in 2013. The projects added significant capacity to the Sultanate’s Main Interconnected System (MIS).

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GDF Suez Energy International CEO Willem Van Twembeke said, "Over the last 20 years, GDF SUEZ has been a reliable, efficient and long-term supplier of power and water to the people of Oman.

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"In partnership with the Government of Oman, we remain committed to meeting the growing future energy and water needs of the Country."

State-owned Oman Power and Water Procurement Company (OPWP) is the sole customer for both project companies under two different 15-year power purchase agreements.

"Demand for electricity is expected to increase at an average rate of 9.5% each year."

OPWP said that demand for electricity is expected to increase at an average rate of 9.5% each year, driven by population growth, general economic development and infrastructure expansion.

The consortium led by GDF Suez also included Suhail Bahwan Group, the Public Authority for Social Insurance (PASI), Sojitz Corporation and Shikoku Electric Power Co., Inc.

According to GDF Suez, 35% of the shares in Sohar 2 (Al Batinah Power) and Barka 3 (Al Suwadi Power) will be offered for sale in May 2014.

The sale is being offered in accordance with the project founders agreement that requires the shareholders to offer 35% of the shares to the public within four years from incorporation of the company.

Image: GDF Suez starts operations at two CCGT plants in Oman. Photo: courtesy of GDF Suez.

Energy