Preliminary Agreement Reached With Chinese Builder for Oil Shale Power Station in Jordan ({{commentsTotal}})

Eesti Energia announced it has found a builder and financing for its oil shale power plant project in Jordan, reported uudised.err.ee.

The project developer, Attarat Power Company, which is partially owned by Eesti Energia, says it has signed tentative agreements with the Bank of China and the Industrial Commercial Bank of China. The 1.4-billion-dollar loan will be guaranteed by China's export credit agency, Sinosure.

Having received six bids, the developer awarded the 540-megawatt power plant to Guangdong Power Engineering Corporation, which belongs to the state-owned China Energy Engineering Group. Guangdong Power proposes to subcontract planning to the engineering bureau WorleyParsons. Boilers would be provided by Foster Wheeler and the turbine by Siemens.

Attarat Power Company presented its proposal to the government of Jordan this morning. A binding contract with Guangdong Power can be signed after a tariffs agreement is reached with the government and financing plans are finalized. Eesti Energia says that could take about a year.

Eesti Energia has said that geological studies show that Jordan has some of the world largest oil shale reserves, around 40-70 billion tons. Currently, Jordan produces a large portion of its power with diesel and oil. The Attarat Power Company project would be Jordan's first oil shale-fired power plant.



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