ACWA Power will build LNG facilities, regasification terminal
ACWA Power said it has an agreement with the Bangladesh Power Development Board (BPDB) to build a liquefied natural gas (LNG)-based power plant and terminal in Bangladesh. As part of the agreement, ACWA Power will target the development of 3600 MW gas-fired independent power plants representing a total investment amount of US$2.5 billion, which will help meet the country’s growing power demand.
The project will consist of the intended power plants as well as a regasification terminal on-ground with an expected additional investment of approximately US$$500 million. The plant will potentially be located in Maheshkhali, or an alternate location, upon completion of the feasibility study, the company said.
BPDP Chairman Engineer Khaled Mahmood and ACWA Power Chairman Mohammed Abunayyan, signed the agreement for the natural gas/R-LNG based combined cycle power plant, one of the largest deals for Bangladesh’s power sector.
“As we continue to expand our global operations, we are proud to embark on this ambitious project with the Bangladesh government,” said Paddy Padmanathan, chief executive officer of ACWA Power. “We have a long legacy of working collaboratively with leadership in growing economies to sustainably supply their power and water needs at low cost in order to accelerate their socio-economic and financial development. In line with the Bangladesh Vision 2021 and Vision 2041, we will be contributing to the energy security of the country and ensuring the foundations of its success for generations to come.”
The signing will also mark ACWA Power’s largest gas-to-power development and its initial foray into the Bangladesh power.
Bangladesh’s power sector is one of the fastest growing in South Asia, with a current installed capacity of around 24 000 MW electricity from 3200 MW in 2009.market. ACWA Power will also work with Saudi Aramco for the first time for such a project.
Saudi-based ACWA Power is a developer, investor, co-owner and operator of a portfolio of power generation, renewable energy and desalinated water production plants.