Korea’s Doosan inks $900 mln deal to build Fadhili plant

Doosan Heavy Industries & Construction, South Korea's power equipment maker, said it has signed a $900 million deal to build Fadhili combined heat and power plant in Saudi Arabia.

The engineering, procurement, construction (EPC) contract was signed by Doosan and global energy supplier Engie, whose affiliate holds a 40 percent stake in the power plant, Doosan said in a statement on Monday.

Saudi Aramco owns 30 percent of the power plant through its affiliate and Saudi Electricity Co. (SEC) holds 30 percent.

Doosan will be in charge of the EPC work and commissioning of the cogeneration facility within the Fadhili gas plant, which is located northwest of Jubail Industrial port.

The Fadhili gas plant project is part of the kingdom’s initiative to meet the growing energy needs by shifting from oil to gas for power generation.

Scheduled for completion by November 2019, the 1,509 megawatt (MW) plant will supply 400 MW of electricity and steam for the Fadhili gas plant itself, and the remaining 1,100 MW will supply electricity to 1.1 million households nationwide, the statement said.

In October, SEC said France’s Engie had won a contract to develop the Fadhili gas-processing project at a total value of $1.2 billion.