Orascom Construction Limited (NASDAQ Dubai: OC; EGX: ORAS) announces the formal inauguration of the first phase of New Capital and Burullus (pictured above) Power Plants, which will be the largest gas-fired combined cycle power plants in the world once complete. The ceremony was attended by German Chancellor Angela Merkel and Egyptian President Abdel Fattah El Sisi, and celebrated a new worldwide benchmark for the fast-track execution of power projects.
Orascom and its consortium partner, Siemens, already connected a total of 2,400 MW to Egypt’s national grid at both power plants, exceeding delivery targets by 20%. Once complete, each power plant will generate a total of 4,800 MW.
These two projects build on Orascom’s integral role in the recent development of Egypt’s power sector. Orascom completed in Q3 2015 the 1,500 MW simple cycle phase of Assiut and West Damietta Power Plants in less than 8 months as part of Egypt’s emergency power program, and is currently converting both power plants from simple to combined cycle, increasing capacity by 50%.
Orascom’s involvement and achievements in Egypt’s power projects has established the Group as a major player in the power EPC market. The total capacity currently under construction exceeds 10,000 MW.
Enterprise.press had a quick talk with Orascom Construction CEO Osama Bishai to ask: How you exceed delivery target by 20% on something like a power plant?
Osama Bishai: The original plan from Siemens was for a staggered target based on the delivery sequence of the equipment: First Beni Suef, then Burullus, then the New Capital. It turns out that the New Capital site is almost ideal in its closeness to Cairo — and it had none of the onsite challenges of Burullus or Beni Suef. We added an additional 400 MW over the target capacity at the New Capital. Meanwhile, we’re also involved in other power plant projects and are converting 1,500 MW simple cycle plants we delivered in 2015 to combined cycle by adding an additional 750 MW. We’re also in final negotiations on a 250 MW wind farm with French and Japanese partners.
(Sources: Orascom Construction & Enterprise.press)