Bid & Tender

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Project Summary
Project Name: SWPC’s Yanbu 4 IWP
Facility Type: Independent Water Project (IWP)
Client: Saudi Water Partnerships Company (SWPC)
Budget (US $): 880,000,000
Project Initiation: Jan 09, 2018
Project Completion:: Dec 04, 2023
Status: EPC Awarded,
Location: Yanbu
Project Current Status

Engie announces the successful energization of the Yanbu 4 substation and Yanbu 4 desalination plant, a pivotal milestone in the Yanbu 4 IWP project. This cutting-edge substation will power the Yanbu 4 desalination plant, energize the Rayis Yanbu and Rayis Rabigh transmission systems. The transformer station is connected to 4 circuits at 380 kV by 110 overhead power line transmission towers with a combined length of more than 40 km. Following completion of the project, the total storage capacity will be 1,240,000 m3, supplying potable water to the cities of Madinah and Makkah. Yanbu 4 is set to become Saudi Arabia’s first integrated solar plant and water transmission pipeline within a desalination asset. (January 2024)

Project History
  • Saudi Arabia’s WEC has invited developers to submit expressions of interest (EOI) by 11 April, 2019 for its planned Yanbu 4 independent water project (IWP). (March 2019)
  • 71 companies, which include 30 local companies, have submitted expressions of interest for Yanbu 4 desalination project. (April 2019)
  • WEC has issued the RFQ to interested developers for its planned IWP. The global companies eyeing the project include: Abengoa of Spain, Adani Infra (India) Limited of India, Bechtel of US, Doosan Heavy Industries & Construction of South Korea, Engie of France, Fisia Italimpianti of Italy, JGC Corporation of Japan, Shanghai Electric Group of China, SNC Lavalin of Canada, Suez International of France, Sumitomo Corporation of Japan, Tecnicas Reunidas of Spain, VA Tech Wabag of India. Among the regional players, major companies that submitted EOI are: Abdul Ali Al Ajmi Company, Abdullatif Jameel Commercial Development Company, Abu Dhabi Future Energy Company (Masdar), Acwa Power of Saudi Arabia, Alblagha Holding Company, Alfanar Company, Aljomaih Holding Company, AlKawther and Almashariq Al Bawani Company, Aqua Treat Group, GS Inima Environment, Gulf Investment Corporation, Haji Abdullah Alireza & Company, Malakoff International, Marafiq, Mubadala Investment Company of UAE, Orascom Construction of Egypt, Saudi Binladin Group, Utico, and Veolia Middle East/France. (April 2019)
  • The pre-qualified firms have been invited to submit bids by 30 September, 2019 for the planned Yanbu 4 IWP. The consortia pre-qualified are - Cobra Instalaciones y Servicios, S.A., FCC Aqualia SA / Haji Abdullah Alireza & CO. LTD. / Alfanar Company, GS Inima Environment S.A., International Company for Water and Power Projects, International Power S.A., Dubai Branch, Marubeni Corporation / Power and Utility Company for Jubail and Yanbu, Sacyr Servicios S.A., Suez Groupe, Utico FZC, Veolia Middle East. (June 2019)
  • SWPC has extended the bids submission deadline to 7 October, 2019 from the previous deadline of 30 September, 2019 for its planned Yanbu 4 IWP. (September 2019)
  • Client has received proposals for the construction contract of the IWP. The bidders are: Acwa Power / Gulf Investment Corporation G.S.C / Al-Babtian Contracting Company, Engie / Mowah Company, FCC Aqualia SA / Haji Abdullah Alireza & CO. LTD. / Alfanar Company , Marubeni Corporation / Power and Utility Company for Jubail and Yanbu / Marafiq, Utico FZC, Veolia Middle East / Alkhorayef Group Company / Al Bawani Water & Power Company. (October 2019)
  • The development contract for the planned Yanbu 4 independent water project (IWP) has been awarded to a consortium of Engie of France and Mowah Company of Saudi Arabia, who submitted a low bid of SR1.7446 ($0.473) a cubic metre for the project. (February 2020)
  • The construction contract for Saudi Water Partnership Company’s (SWPC) planned Yanbu 4 independent water project (IWP) has been awarded to Doosan Heavy Industries & Construction of South Korea. (March 2020)
  • The Yanbu 4 independent water project nears financial close. (April 2020)
  • Engie and Mowah consortium has pushed back the targeted financial close date of the Yanbu 4 IWP project to August, 2020. (June 2020)
  • The targeted financial close date of the Yanbu 4 IWP project has been pushed back. (August 2020)
  • The developer team has yet to reach financial close on the project due to a slight change in scope. (October 2020)
  • Doosan Heavy Industries & Construction will execute the EPC works of the project. The company has reached financial closure of $708 million. (January 2021)
  • SWPC has signed an agreement with a consortium of Engie of France, Mowah Company of Saudi Arabia and NESMA for the water transmission pipeline project Yanbu-Rayis under Public-Private Partnership. As part of the agreement, the consortium will provide water transmission pipeline of length 39km with a transmission capacity of 600,000 cu.m/day. (February 2021)
  • SWPC signed the WSF agreement with the consortium. The project will be built and operated by the private sector for a period of 25 years from the Commercial Operation Date, while the WSF will be transferred after construction to the Saline Water Conversion Corporation. (February 2021)
  • SWPC has announced that it has successfully achieved the financial close for Yanbu-4 IWP. Four banks, including Korea Development Bank, Standard Chartered Bank, and the Saudi-based National Commercial Bank and Riyadh Bank will provide financing that includes an 80% senior debt for the IWP. (March 2021)
  • Doosan Heavy Industries & Construction of South Korea, the main contractor of the planned 450,000 cu m per day Yanbu 4 IWP, has awarded a contract to build a turnkey substation to GE Renewable Energy’s Grid Solutions unit. A consortium of GE’s Grid Solutions and Al Sharif Group will provide the full turnkey solution for Yanbu-4 including a 380-110 kV gas-insulated switchgear (GIS) substation, which will provide the power required by each load center at the plant. (June 2021)
  • SWPC has announced that steady progress is being made on the Yanbu 4 Independent Water Project - located 140 km west of Madinah, near the town of Ar Rayyis, on the Red Sea coast of the kingdom - and it is on track to launch commercial operations by Q4 this year. It is the first renewable integrated, seawater reverse osmosis project in the kingdom that includes storage facilities for two operational days. (January 2023)
Project Contract Awards - Feed
Contractor Prequalified Contractor Bids Submitted Contractor Awarded | Contract Value
Project Contract Awards - PMC
Contractor Prequalified Contractor Bids Submitted Contractor Awarded | Contract Value
  • Not yet tendered
Project Contract Awards - EPC
Contractor Prequalified Contractor Bids Submitted Contractor Awarded | Contract Value
  • International Power
  • GS Inima Environment of South Korea
  • Utico of UAE
  • Cobra Instalaciones y servicios of Spain
  • Suez Groupe
  • Sacyr Servicios S.A.
  • Marubeni Corporation / Power and Utility Company for Jubail and Yanbu
  • FCC Aqualia SA / Haji Abdullah Alireza & CO. LTD. / Alfanar Company
  • Acwa Power / Gulf Investment Corporation G.S.C / Al-Babtian Contracting Company
  • Engie / Mowah Company
  • Veolia Middle East / Alkhorayef Group Company / Al Bawani Water & Power Company
  • Acwa Power / Gulf Investment Corporation G.S.C / Al-Babtian Contracting Company
  • Engie / Mowah Company
  • FCC Aqualia SA / Haji Abdullah Alireza & CO. LTD. / Alfanar Company
  • Marubeni Corporation / Power and Utility Company for Jubail and Yanbu
  • Utico of UAE
  • Veolia Middle East / Alkhorayef Group Company / Al Bawani Water & Power Company
  • Engie / Mowah Company
Related Projects
Saudi Arabia WEC’s Shuqaiq 3 Independent Water Project (IWP)
Project Schedule

April 2019: RFQ issued for the main contract

October 2019: Bids Submission for main contract

February 2020: Developer contract awarded

March 2020: Construction contract awarded

Q4, 2023: Expected Commissioning & start-up 

Project Scope

The project scope involves the construction of an independent water project (IWP) at Yanbu near the town of Ar Rayyis (140 km west of Madina), on the Red Sea coast of the Kingdom of Saudi Arabia. It will be designed using reverse osmosis seawater desalination technology. 

 

The project will include water storage and solar photovoltaic units. 

 

The contractor’s scope will include development, financing, procurement, implementation, operation and maintenance of a desalination plant of 450,000 m3/day potable water capacity, together with associated infrastructure and facilities. 

 

Under a 25-year water purchase agreement, the winning developer or developer consortium will sell the entire capacity and output to WEC.

 

The client is studying to link Yanbu 4, with the potential acquisition of the existing Yanbu plants, namely Yanbu phase 1, Yanbu phase 2, Yanbu RO and Yanbu Expansion – which is dubbed as the bundle and owned by the Saline Water Conversion Corporation (SWCC). 

 

The project is part of Saudi Arabia’s programme to increase its desalination capacity through partnerships with the private sector.

Project Structure:
The project is owned, operated and managed by the Saudi Water Partnerships Company (SWPC). Sumitomo Mitsui Banking Corporation DIFC Branch is the lead and financial advisor for the transaction, while DLA Piper Middle East LLP is the legal advisor and ILF Consulting Engineers is the technical advisor.
Mr. FehiedFahad Al Shareef
Designation: Governor
Department: SWCC
Phone: +966 463 0503
Fax: +966 465 0852
Email: rdc@swcc.gov.sa