Al-Jubail Petrochemical Complex 242 MW Power Station
K&M served as Lead Transaction Advisor to the Saudi Petrochemical Company (SADAF) for the development of the Jubail power station. The proposed US$150 million power plant would provide 242 MW electricity and 510 tons/hour steam. This was the first private power project undertaken in the Kingdom of Saudi Arabia. It was structured on a Build-Own-Operate-Transfer (BOOT) basis under a 20-year Energy Conversion Agreement (ECA). The project reached financial close on July 2003. The transaction is the first Saudi independent power project (IPP) to reach financial close and consequently the first Saudi IPP to be financed in the international markets on a limited recourse basis. K&M’s transaction preparation work attracted four bidders: Enelpower, CMS Energy and National Power Company (NPC), Enron and Xenel Industries, and Mitsubishi Corporation. CMA and NPC were awarded the contract in April 2001.