Contract to establish Hamrawin coal-plant to be signed in China-Africa summit next month

Mohamed Farag
3 Min Read
Sumitomo has presented an offer to establish a 2,000 MW coal-fired power plant equipped with a supercritical steam generator in Sidi Shabib in Marsa Matruh

The Egyptian Electricity Holding Company (EEHC) will be signing a contract to establish the first electricity plant operating with coal in the area of Hamrawin with the Shanghai Electric Dongfang Hassan Allam alliance next month.

Government sources told Daily News Egypt that the EEHC company will sign the main contract with the alliance in China, in the presence of President Al-Sisi on the sidelines of his participation in the China-Africa summit in September.

Sources added that the Chinese alliance has provided many offers by local and international banking bodies to fund the project. The project is being discussed by officials of the EEHC. It was agreed that the funding would be in local components through Chinese funding bodies. Local components are still in the negotiations phase.

“Shanghai Electric alliance is re- sponsible for bringing offers from banking bodies. EEHC has the right

The Chinese alliance has provided many offers by local and international banking bodies to fund the project

to accept or reject the offer after looking into all its conditions and the funding method. The project would be implemented in the EPC+Finance system,” the sources added.

The Shanghai ElectricDong Fang Hassan Allam alliance won a contract to establish a coal-fired power station in the Hamrawin area after a $4.4bn financial offer was made to produce 6,000 megawatts (MW). The establishment period is six years.

Hamrawin operates with super- critical pressure technology. It is

one of the most modern systems to generate electricity from coal. A port will be established to receive coal directly to the closed area to store it in accordance with the envi- ronmental conditions stipulated by the Egyptian law.

According to the agreement with EEHC, the Shanghai Electric-Dong Fang-Hassan Allam alliance will carry out the construction, design, installation and operation of the Hamrawin plant, as well as provide banking entities to finance the project.

The coal-fired power plant will provide millions of pounds for fuel generation, and the Electricity Hold- ing Company has a plan to diversify sources of energy and rely more on fuel, according to the sources.

The Ministry of Electricity plans to produce 7, 000 M W from coal- fired plants by 2023, along with the project to be implemented by Emirati Al-Nowais. It will be reviewed this year. The project will also start before the end of this year, Until 203

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