NWC awards $425m Long Term O&M Contracts

NWC awards $425m Long Term O&M Contracts

National Water Company (NWC), Saudi Arabia announced the awarding of two Long Term Operation and Maintenance “LTOM” contracts for the rehabilitation, operation and maintenance of sewage treatment plants “STPs” at Makkah city and Jeddah Governorate.

The combined value of the contracts are 1.592 billion Saudi Riyals (equivalent to about 425 million US Dollars).

The projects awarding is under the objectives of the National Water Strategy to achieve environmental sustainability, increase investments in the water sector, and tender opportunities for partnerships with the private sector as part of an innovative agreement model that saves NWC’s investment in its brownfield strategic assets.

Eng. Abdulrahman bin Abdulmohsin Al-Fadhli, Minister of Environment, Water and Agriculture “MEWA”, Chairman of NWC Board, patronized the two-contract signature ceremony between Eng. Nemer Al-Shebel, CEO (Interim), NWC and representatives of the French-Saudi consortium comprising Veolia Middle East, Civil Works Company Ltd. and Awael Modern Contracting Ltd., while the second contract was concluded with the local consortium of Miahona Group and Thabat Construction Company.

Eng. Nemer Al-Shebel, CEO (Interim), NWC, said “The value of the first contract with Veolia-CWC-Awael is 1.200 billion Saudi Riyals (equivalent to some 320 million USD, at a levelized tariff of SR 0.43/m3 i.e. about USD 0.11/m3”.

Al-Shebel indicated that the