Jordan awards power plant contract to Finnish-Korean consortium

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Amman East Power Plant is a combined cycle gas-fired power plant in Al Manakher, Jordan. It was the first independent power plant in Jordan. Photo –

A consortium consisting of Finnish giant Wärtsilä and Lotte Engineering & Construction of South Korea, has been awarded a contract by Amman Asia Electric Power Company to supply a 573 MW power plant to Jordan. The total value of the EPC (Engineering, Procurement, Construction) contract is said to be worth $552 million, of which Wärtsilä’s share will be $334 million.

Amman Asia Electric Power is owned by Korea Electric Power Corporation, Mitsubishi Corporation and Wärtsilä Corporation. When completed, the power plant will supply electricity to NEPCO to be fed to the country’s national grid.

Once completed, the facility will be the largest trifuel plant in the world and will be capable of running on natural gas, heavy fuel oil and light fuel oil. Initially powered by heavy fuel oil, it will switch to natural gas once the infrastructure is in place.

In September 2012, Amman Asia Electric Power signed a 25 year power purchase agreement with NEPCO.

In January 2012, Wärtsilä announced that a bid consortium consisting of Korea Electric Power Corporation, Mitsubishi Corporation and Wärtsilä Corporation, had been selected by National Electric Power Company of Jordan to build IPP3, an independent power producer project in Jordan.

Young Jin Bae, CEO of Amman Asia Electric Power Company, said: “KEPCO has worked together with Wärtsilä and Mitsubishi in an outstanding co-operation to ensure this project is a success.

“As the leading global supplier of flexible and efficient power plant solutions, Wärtsilä suggested this efficient multi-fuel combustion engine technology solution to meet the requirements of the proposal, which was the critical success factor in the bid. We also trust Wärtsilä to professionally and competently lead the EPC consortium for the successful completion of this major project.”

Vesa Riihimäki, group vice-president of Wärtsilä Power Plants, said the contract was a landfmark deal for the company.

“The tri-fuel capability provides unmatched flexibility, and ensures that Jordan will have a safe, affordable and reliable energy supply. When the gas infrastructure is in place, the plant will switch to natural gas and its environmental footprint will be minimised,” he added.

The plant will be built at Al Manakher – around 30 km outside Amman. It will be delivered in three phases, with commercial operations beginning in February 2014 ahead of a full commissioning in September 2014.

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