Hyflux receives LoI for Ain Sokhna Integrated Water and Power Project in Egypt
Singapore-based company Hyflux has received a letter of intent (LoI) for a $500m contract to build the Ain Sokhna Integrated Water and Power Project in Egypt.
The LoI for the engineering, procurement and construction (EPC) contract has been awarded by the Suez Canal Economic Zone's (SCZone) general authority.
After receiving the LoI, the company will now have to sign relevant contracts.
With the capacity to generate 150,000m³ of water every day, the desalination plant will include an on-site 457MW combined cycle gas turbine power plant.
This cycle gas turbine power plant is to be built to generate power that would provide electricity to the desalination plant. Excess power will be used by the governorates of Egypt.
With the finalisation of contract terms, Hyflux will be responsible for construction, operation and maintenance of the plant for a period of 25 years.
Hyflux executive chairman and group CEO Olivia Lum said: "The entry into the Egyptian market presents exciting opportunities for Hyflux.
"We are delighted to be awarded the project and honoured to be given this opportunity to work with SCZone.
"This project is significant to us because it is our first integrated water and power project abroad and demonstrates our ability to put together an innovative solution that is recognised internationally."
Hyflux is a provider of environmental solutions, especially focusing on the areas of water and energy.
The company operates and owns projects in China, India, South East Asia, Africa, Middle East and the Americas.