Saudi and Chinese firms in power and desalination tie up

WATER WORLD

File image.

by Staff Writers
Riyadh (AFP) Feb 11, 2009
A Chinese electric power giant and a Saudi power company on Wednesday announced an alliance to work together on power and desalinisation projects around the world.

Shanghai Electric Power Generation Group (SECPG) and Saudi Arabia's ACWA Power International said in a press conference that they already have two projects to cooperate on, one in Saudi Arabia and the other in a nearby Gulf country.

ACWA is a specialist in building both power stations and desalinisation plants in Saudi Arabia, while the SECPG, a division of Shanghai Electric, manufactures power generation equipment.

"The agreement to cooperate with the Chinese is to take advantage of their considerable expertise in the implementation of water desalination and electric power generation projects," said ACWA chief executive Mohammed Abunayyan.

He added that SECPG could bring huge savings and advanced technology to such projects, which normally cost in the billions of dollars.

The companies declined to provide details on any of the projects they will be involved in.

The announcement was made on the occasion of Chinese President Hu Jintao's three-day visit to Saudi Arabia. During the visit several projects involving Chinese investments and contracts in Saudi Arabia have been announced, including a deal for China Rail Corp to build a monorail in the holy city of Mecca.

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WATER WORLD

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