$348 million loan expected for Omani power project

Published May 2nd, 2001 - 02:00 GMT

A loan agreement for $348 million will be signed in London on Wednesday for an independent power and water project in Oman, project officials told AFP. Lead arranged by ANZ Investment Bank and Arab Banking Corporation, the loan with a tenor offer for 16 years will be the longest debt instrument to come out of Oman. Seven international and local banks are participating as underwriters. 


US energy giant AES Corporation and local Multitech company are developing the 427-megawatt and 20-million-gallons a day Barka power and water project awarded by the government on a build, own and operate (BOO) basis with a 15-year concession. 


The $411 million project will augment the power and water supply in the northern Batinah region where construction is progressing on a new port and huge gas-based industrial projects are planned as well as an oil refinery. 


Work has also begun on two other independent power projects in Oman. 

Britain's National Power won the contract to develop a 285-megawatt plant at Al-Kamil in the eastern Sharqiyah region, while PSEG Global from the United States is developing a 200-megawatt project in the southern region of Salalah. —(AFP)  


© Agence France Presse 2001 


© 2001 Mena Report (www.menareport.com)

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