ALSTOM, a global leader in power generation equipment and service, has won a $972-million contract to supply equipment for the Yanbu Three power and desalination plant on the Red Sea coast of Saudi Arabia.

The contract was awarded by Al Toukhi Company for Industry, Trading and Contracting, which is leading the consortium in charge of the engineering, procurement and construction (EPC) of the HFO (heavy fuel oil) fired steam power plant.

This will be one of the first supercritical power plants in the country to run on heavy fuel oil. This investment is part of Saudi Arabia’s objective to expand its power generation base while minimising impact on the environment.

The $3-billion new plant, which is expected to enter into commercial operation in 2016, is being developed for the Saline Water Conversion Corporation (SWCC), one of the leading power and water utilities in the region.

Alstom’s part in the contract includes the basic engineering of the power block, advisory services during detailed engineering and procurement, supervision services during construction and commissioning and delivery of main equipment for five 620 MW units including the steam turbines and generators, the HFO-fired supercritical boilers, electrostatic precipitators and the flue gas desulphurisation system.

The plant will produce 3,100 MW of power to meet the increasing demand for electricity. It will also supply desalinated water and feed the grid in the Western Province of Saudi Arabia.