Ras Al-Khair’s power plant to generate more jobs

Updated 19 February 2014
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Ras Al-Khair’s power plant to generate more jobs

Ras Al-Khair’s desalination and power plant project is considered as the largest plant for desalination of saline water in the world. Its first power plant with the capacity of generating more than 400 MW has started operating.
The plant was connected to the National Electric Power Company (NEPCO) in coordination with the National Grid Company as the first step of operating the complete system of power plant units.
Saline Water Conversion Corporation (SWCC) Gov. Abdul Rahman bin Muhammad Al-Ibrahim said the gas turbines would be running for the rest of the groups respectively according to the planned program.
The corporation intends to generate more than 800 MW during the second quarter of 2014, which will enhance the national grid to meet the demand for electric power in which the corporation is a key partner in providing it for industrial consumers and others.
Al-Ibrahim pointed out that the percentage of completing the project of Ras Al-Khair plant exceeds 80 percent, and it is expected to start producing water before the end of the first quarter of 2014.
Al-Ibrahim added that the cost of Ras Al-Khair desalination and power plant project and the transmission lines from the plant has reached SR23 billion.
The total length of the transmission lines from Ras Al-Khair plant to Riyadh and Hafr Al-Batin region is 1,290 km (double lines) with production capacity of 1,025 million cubic meters of desalinated water per day and electricity production capacity of 2,400 MW.
In addition, Al-Ibrahim stressed that Ras Al-Khair plant is the first plant established by the SWCC using compound production technology with efficient fuel consumption.
Al-Ibrahim said: "Ras Al-Khair plant project would provide 15,000 job opportunities while constructing the plant and its transmission lines to Riyadh and Hafr Al-Batin."
He said: "It will provide 3,500 job offers after establishing the plant, including 1,500 jobs in desalination department and 2,000 job offers with the contractors. These job offers represent the largest career opportunities in a project of this size."
He added: "The project will provide 14 great investment opportunities for national companies and it would contribute in supporting the national economy and provide more job opportunities for the youth in the Kingdom."


Maalem Financing raises $26m in debut sukuk

Updated 17 October 2018
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Maalem Financing raises $26m in debut sukuk

  • The sukuk from Maalem, a shariah-compliant commercial and consumer financing firm, is a small but novel deal
  • The three-year unsubordinated deal was sold through a private placement and Maalem could tap the market again

LONDON: Saudi Arabia’s Maalem Financing has raised SR100 million ($26.6 million) from a debut sale of Islamic bonds, or sukuk, as the firm seeks to develop a crowdfunding product and expand its operations, a senior executive said on Tuesday.
The sukuk from Maalem, a shariah-compliant commercial and consumer financing firm, is a small but novel deal in a market that is dominated by issuance from sovereign institutions and Islamic banks.
The three-year unsubordinated deal was sold through a private placement and Maalem could tap the market again as early as January next year, said John Sandwick, a member of Maalem’s board of directors.
“The program is for SR500 million and with 3.6 times oversubscription, there seems to be a lot of demand,” he said.
Additional sales of sukuk aimed to raise between SR100 million and SR200 million, depending on market conditions, he said, adding that Maalem may consider a dollar-denominated sukuk issuance at a later stage.
The debut transaction used a structure known as murabaha, a cost-plus-profit arrangement commonly used in Saudi Arabia. The firm hoped to use an asset-backed structure for future deals, Sandwick said.
Established in 2009, Maalem received regulatory approval to operate as a non-real estate finance company in 2016 and increased its capital in 2017 to SR150 million.
The company plans to open several regional offices by the end of 2018 and is awaiting regulatory approval for a crowdfunding license, Sandwick said.
Crowdfunding enables startup firms to collect small sums of money from many individuals as an alternative to bank loans.
Albilad Capital, the investment banking unit of Bank Albilad, served as sole lead manager and arranger of the sukuk.