Jan. 29, 2019
Shikoku Electric Power Company, Incorporated
Hamriyah Independent Power Project (“Project”) / First Independent Combined Cycle Power Plant in the Emirates of Sharjah, United Arab Emirates
Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Masayuki Hyodo; hereinafter, “Sumitomo”) jointly with GE Energy Financial Services (“GE EFS”), Shikoku Electricity Power Company and Sharjah Asset Management, the investment arm of the Government of Sharjah (together “Sponsors”) have agreed to form an equity consortium to build, own, and operate a gas-fired combined cycle power plant located in Hamriyah in the Emirates of Sharjah, United Arab Emirates. A long term power purchase agreement with Sharjah Electricity & Water Authority (“SEWA”) was entered into on December 31st, 2018 in connection with the project.
The Project will be the Emirate of Sharjah’s first large scale independent combined cycle power project under a BOOT (Build, Own, Operate and Transfer) scheme, with a plant capacity of approximately 1,800 megawatts. The Sponsors will be responsible to operate and maintain the power plant and supply electricity for a period of 23.5 years following the commencement of full project commercial operation scheduled in 2023.
General Electric (“GE”) will be responsible for the engineering, procurement and construction of the power plant. The power plant will be equipped with GE’s state-of the art HA technology, the world’s most efficient heavy-duty gas turbine. The plant will be a highly efficient combined cycle power plant with low CO2 emissions and will actively contribute to Sumitomo’s initiative for environmentally friendly and sustainable business operations.
Sumitomo currently has ownership interests in two assets in the United Arab Emirates; Shuweihat S1 Independent Power and Water Project (Power capacity: 1,500 megawatts/ Water capacity: 100 million imperial gallons per day) and the Shuweihat S3 Independent Power Project (Power capacity: 1,600 megawatts), both in Abu Dhabi. Sumitomo remains committed to supporting the continuing economic growth in the United Arab Emirates through the delivery of reliable, cost effective, clean and sustainable power from both our existing and new combined cycle power plants.
■Sumitomo Corporation’s Material Issues
Sumitomo Corporation Group positions “Six Material Issues to Achieve Sustainable Growth with Society” as an important factor in developing business strategies and in the decision-making process for individual businesses. Going forward, we will pursue sustainable growth by resolving these issues through our business activities. This project especially contributes to “Achieving Harmony with the Global Environment”, “the Development of Local Communities and Industries” and “Establishing a Foundation for Comfortable and Enriching Lifestyles”.