Chinese firm to build RM9b JEC power plant
November 6 2008 -
Malaysian Reserve
MMC Corp, Saudi Binladin Group and Chalco are awarding the power plant construction job to CPI Power Engineering
MMC Corp Bhd, Saudi Binladin Group and Aluminum Corp of China Ltd (Chalco) are awarding a US$2.5 billion (RM8.82 billion) power plant construction job to CPI Power Engineering Co Ltd of China.
A letter of intent for the proposed project was signed in Jazan, Saudi Arabia Tuesday by MMC’s wholly-owned unit MMC International and the other three parties to kick-start the construction of the 2,400MW captive power plant for an aluminium smelter in Jazan Economic City (JEC).
MMC International CEO Feizal Ali said the construction of the power plant and aluminium smelter is scheduled to begin next year and to be completed in 2013.
“MMC’s investment in this project will ensure a significant reccuring income stream for us once these plants become operational,” he said in a statement.
Apart form this, MMC Ports, Binladin and JEC Ltd (co-owned by MMC and Binladin), also signed a port development agreement to develop a port at JEC.
It said by the end of the year, JEC would also award contracts for earthworks and the construction of major roads as well as an integrated housing complex for JEC’s workers.
To date, the JEC has attracted US$30 billion worth of investment in two years, ahead of the 25-year timeframe originally set during the project’s launch in 2006.
According to MMC, among the industries which will be set up in the economic city are primary industries such as a US$1.4 billion aluminium smelter; steel cluster (US$2 billion) and an US$12 billion oil refinery.
Other secondary industries such as steel (US$500 million), automotive (US$200 million) and ship-building (US$900 million) would also be established in the city.
|
