Ghazlan II underway
Construction has started in Saudi Arabia on the Riyals6.5bn ($1.7bn) Ghazlan II power plant. Saudi Arabia`s Crown Prince Abdullah laid the foundation stone for the 2400 MW plant at a ceremony held in mid-April.
The Saudi Consolidated Electric Company-East (Sceco-East) awarded Mitsubishi Heavy Industries the contract, worth Riyals4.15bn, to construct the power plant in 1996. Together with the existing Ghazlan I power plant, total output at the site will reach 4000 MW when Ghazlan II is commissioned.
Sceco-East has borrowed $500m from a syndication of local and international banks to help finance the project, and will fund the remainder from its own balance sheets. The plant, which will consist of four 600 MW units, will come on line by the end of 1999. Full commissioning of the final unit will take place in February 2000.
The kingdom`s electricity sector has embarked on an expansion project to raise generating capacity to 60 000 MW over 25 years from the present capacity of 20 000 MW.
The Saudi Consolidated Electric Company-Central (Sceco-Central) has signed a $115m contract with a Saudi-Korean joint venture of Middle East Engineering and Development Co. and South Korea`s Hyundai Engineering and Construction Co., to construct a power line in the kingdom. The contract is worth Riyals430m and will be completed in 36 months. The companies will build the power line between Riyadh and the central Sudair and Qassim region, approximately 250 km north of the capital.