Orascom, Siemens win contract to rebuild 1.6GW power plants in Iraq
The agreement was signed with Iraq’s Ministry of Electricity to redevelop the Baiji 1 and Baiji 2 power plants in 28 months
Egyptian contractor, Orascom Construction is set to team up with German conglomerate, Siemens to revamp two power plants in Iraq, after signing an agreement with the countries' Ministry of Electricity.
In a statement published on its website, the Munich-headquartered firm said that the Baiji 1 and Baiji 2 power plants, which are located in northern Iraq, have a combined generation capacity of 1.6GW.
According to the contractor, work on the plants are set to be completed “within 28 months”.
Work at Baiji will begin once the contracts are approved by Iraq’s Council of Ministers and a financial agreement is reached with the Ministry of Finance.
Commenting on the contract award, chief executive officer of Orascom Construction, Osama Bishai, said: “We are pleased to return to Baiji, where we constructed one of the original power plants, to work on an important project that will help rebuild Iraq’s power sector and economy."
He added: “This award is testament to our ability to capitalize on our strong expertise as an EPC contractor in the power sector along with our ability to raise attractive financing packages on behalf of our clients.
"Our partnership with Siemens is a continuation of a successful relationship following the remarkable achievements on the mega power projects in Egypt," Bishai added.