WorleyParsons Ltd announces Saudi Electricity Company contract award

2013-5-7

Saudi Electricity Company (SEC) has awarded WorleyParsons an Integrated EPCM Services Contract for two of its new greenfield combined cycle gas turbine based power plants, Power Plant 13 and Power Plant 14. Each of these two power plants will be capable of generating 1650 megawatts under reference site conditions.

The Kingdom of Saudi Arabia is planning a major power generation and transmission expansion program in the next 10 years which includes approximately 40 gigawatts of new capacity additions. This will be achieved through gas and oil based power projects, replacement/ conversion/modernisation of existing power plants, interconnection of transmission grids and extra high voltage substations.

The scope of work to be provided by WorleyParsons under this contract includes conceptual engineering, detailed design, material procurement and management, project management, construction management and commissioning management. Services provided under this contract will be delivered in accordance with the principles of developing and training the Saudi workforce through building local capability/capacity as well as the delivery and execution of SEC’s power projects consistent with their expectations around high reliability, cost and schedule.

The estimated revenue under this Cost Reimbursable Integrated EPCM Services Contract will be approximately USD 125m with over 1.4 million man-hours of services to be performed.

Signing of this Contract is considered a first step in a long term relationship between SEC and WorleyParsons, which could involve entering into other contracts in the future.

Commenting, WorleyParsons’ CEO Andrew Wood stated “This Contract shows a clear commitment by Saudi Electricity Company to the importance of not just increasing the Kingdom of Saudi Arabia’s generation capacity and infrastructure but also to the further development of a skilled and professional Saudi workforce within the Kingdom. WorleyParsons is delighted to be part of these new arrangements and is committed to its future success.”