Arab Republic of Egypt

El-Ain El-Sokhna Power Generating Station
Loan No: 539 Interest Rate: 3.0 %
Beneficiary: East Delta Electricity Production Company Grace Period: 6 years
Project Cost: KD 533.5 million Maturity: 25 years
Amount of Loan: KD 55.0 million Repayment: 39 semi-annual installments
Date of Board Approval: - First Installment: 6 years following the first disbursement
Date of Loan Agreement: 2009-03-31 Date of Loan Effectiveness: 2009-10-09

Objectives:

The project aims at satisfying  the increasing demand for electric power in Egypt. This will be accomplished through increasing the installed power generating capacity in the East Delta area by 1300 MW, by constructing a new super-critical steam power generating station which runs on  natural gas as the primary fuel and on heavy fuel oil as the alternate fuel.

Description:

The project, which is expected to be completed in the third quarter of 2013, consists of two steam power generating units, each rated at 650 MW, and includes a super-critical steam generator, an indoor steam turbine operating at 250 bar and about 565 °C, in addition to a power generator and condenser. The project includes the following main components:

  1. Steam Generators, Turbines and their Accessories: This includes design, acquisition and installation of  two steam generators, two steam turbines and two electric generators, heat exchangers, pumps, valves and critical piping, and all accessories and auxiliaries. 
  2. Water Treatment and Environmental Pollution Monitoring Systems: This includes acquisition and installation of water treatment systems and a seawater desalination unit, and environmental pollution monitoring equipments. 
  3. Switchgears: This includes acquisition and installation of 500 kV and 220 kV switchyard equipments and accessories, and MV and LV switch gears.  
  4. Transformers: This includes design and acquisition of two generator step-up transformers rated at 850 MVA each, in addition to three auxiliary transformers. 
  5. Measurement and Control Systems: This includes design  and acquisition of measurement and control systems, computers, software and their accessories. 
  6. Electric Works and Equipments: This includes acquisition and installation of batteries, UPS systems, distribution panels, in addition to the installation of equipments such as transformers, MV switchgears, motor control centers and DCS. 
  7. Mechanical Works and Pipes: This includes acquisition and installation of a fire protection system, air compressors, heat exchangers, pipes and accessories. 
  8. Civil Works and Associated Construction: This includes carrying out civil and marine construction, site services, and fuel tanks yard.
  9. Consultancy Services and Insurance: This includes the technical and consultancy services required for project design and environmental impact study, for preparing tender documents, assistance in bid evaluation and contracting, project supervision, participation in factory acceptance tests, supervision of project commissioning, coordination of installation works, and project insurance.

Financing:

The Arab Fund’s loan covers about 13.8% of the total project cost. The World Bank and the African Development Bank provided two loans for the project equivalent to KD 160.8 million (about 40.3%) and KD 147.4 million (about 37.0%), respectively. The Egyptian Government will cover the remaining cost of the project and any additional cost that may arise.