(MENAFN- Muscat Daily) Oman Oil Co's (OOC) majority owned subsidiary Musandam Power Co SAOC (MPC) signed the engineering procurement and construction (EPC) contract and long-term service agreement (LTSA) with Wrtsil Muscat LLC for building a new dual-fuel fired power plant at Tibat-Wilayat Bukha in the Musandam governorate.
Under the agreement Wrtsil a complete lifecycle power solutions provider will design procure and manage the construction of the 120MW gas-fired power plant as well as provide on-going maintenance and performance monitoring during the concession period of 15 years from the commissioning date.
The EPC and LTSA agreements were formalised at OOC's head office by Eng Mohammed al Abduwani the chairman of MPC and Upma Koul business development manager and Seppo Hautajoki managing director of Wrtsil Gulf FZE.
Eng Abduwani said 'Musandam Power Co has selected an optimal reciprocating engine (RE) configuration for the Musandam's Independent Power Project (IPP) following a competitive pre-qualification and tendering process to deliver flexible and sustainable energy to the Musandam governorate. We will be able to meet the power needs of the current and upcoming projects in the governorate. We expect the power plant to directly benefit the local community and the people of the governorate.'
He added 'In partnership with Wrtsil the environmentally friendly Musandam power plant will use clean natural gas as main fuel to maintain the stability of the local electricity supply and support sustainable development in the governorate while significantly contributing to the sultanate's energy production capabilities and long-term economic diversification plans. Construction of the new power plant is expected to begin in early December 2014 and is scheduled to be ready for full operations by the last quarter of 2016.'
Wrtsil is the world's fourth-largest supplier of gas and liquid fired power plants with a proven track record of delivering high energy efficiency and operational and fuel flexibility.
MPC a joint venture between OOC and LG International was established in 2014 as Oman's first IPP in Musandam and uses fuel gas to be processed by OOC's wholly owned subsidiary Oman Oil Company Exploration and Production (OOCEP) from the adjacent Musandam Gas Processing Plant in order to integrate the value chain and meet the growing demand for energy in Musandam.
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