SAR 2.54 billion desalination project planned for Saudi Arabia
Apr 17 2023
ACWA Power has signed water purchase agreements for the Rabigh 4 Independent Water Plant (IWP) in Saudi Arabia, which will have a capacity of 600,000 cubic meters per day. The Saudi Water Partnership Company (SWPC) will be the sole buyer of services for the project, located on the Red Sea coast in Saudi Arabia.
"These agreements will achieve the goals for water production projects in partnership with the private sector that supply industries, communities, and people across the Kingdom of Saudi Arabia. We expect that Rabigh 4 will directly serve pilgrims from around the world in the holy cities of Makkah and Madinah and serve households in the wider region. We hope that this project serves as a testament to this vital sector and shows how the private sector can improve the quality of services, realise investment efficiencies, and foster innovation—all of which are objectives of Vision 2030," said His Excellency Abdulrahman Al-Fadli, Minister of Environment, Water and Agriculture.
The reverse osmosis plant, valued at approximately SAR 2.54 billion, will service the Makkah and Madinah regions, which typically see a spike in demand during the Ramadan and Hajj season. "Rabigh 4 has been designed to use less electricity, lower operating costs, and support local content across both supply chain and employment. When this plant is operational in 2026, we will see the impact of reverse osmosis technology in action," said Eng. Khalid bin Zuwaid Al-Quraishi, CEO of SWPC.
ACWA Power currently operates Rabigh 3 IWP in the area with the same capacity as Rabigh 4. "We are honored to partner with the SWPC and leverage our expertise as a market leader in water desalination. Our commitment to developing efficient and reliable projects that meet the practical water needs of the community has played a significant role in our contribution towards Saudi Arabia's clean water strategy, including supplying nearly a third of the nation's water needs. As we move forward, we remain dedicated to advancing our support with our upcoming facility, which will set a new standard in terms of capacity and sustainability," said Mohammad Abunayyan, Chairman of ACWA Power.
With Rabigh 4 IWP, ACWA Power will double its desalination capacity in the Rabigh Area. Financial close for the project is expected during the third quarter of 2023. ACWA Power now operates 16 desalination plants in four countries, ten of which are in Saudi Arabia. The company fulfils 30% of the Kingdom’s water demand. In 2022 alone, the company added 2.4 million cm3/day of water desalination capacity via four desalination plants in Saudi Arabia, Bahrain and the UAE—the highest in its history."
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