- Aljomaih Energy and Water Company (AEW) from Saudi Arabia has recently confirmed the successful completion of financing agreements for the Zuluf water treatment facility. AEW, known for its expertise in power and water assets, will deliver water injection services to the significant Zuluf Oil block situated in the Arabian Gulf. The project, valued at $425 million and capable of processing 185,000 cubic meters per day, was officially granted to the AEW and Almar consortium by Aramco in the previous year.
- The water treatment plant will be established through a 25-year BOOT (build, own, operate, and transfer) arrangement. This comprehensive scheme encompasses the entire process, from design and financing to construction, commissioning, operation, maintenance, and ownership transfer. Moreover, the project is in alignment with IKTVA requirements, emphasizing the utilization of local workforce, procurement of local services, and contributing to the economic and social advancement of the region.
Why it matters
The Zuluf water treatment facility in the Kingdom will be funded through a combination of senior project finance debt and equity contributions. The required senior debt will be obtained through a US dollar-denominated soft mini-perm facility provided by a consortium of four GCC banks: Arab Petroleum Investments Corporation, Riyad Bank, Saudi National Bank, and Warba Bank.