ACWA Power, a global leader in water desalination and power generation, announced signing a Memorandum of Understanding with the Bangladesh Power Development Board (BPDB) for a LNG-based power plant and terminal in Bangladesh. As part of the agreement, ACWA Power will target the development of 3,600 MW gas fired Independent Power Plants representing a total investment amount of approx. USD $2.5 billion, that will help meet the country’s growing power demand.
The project will consist of the intended power plants as well as a regasification terminal on-ground with an expected additional investment of approximately USD $500 million. The plant will potentially be located in Maheshkhali, or an alternate location, upon completion of the feasibility study.
BPDP Chairman Engineer Khaled Mahmood and ACWA Power Chairman Mohammed Abunayyan, signed the agreement for the Natural Gas/R-LNG Based Combined Cycle Power Plant, one of the largest deals for Bangladesh’s power sector. The signing took place in the presence of Salman F Rahman, the Bangladesh Prime Minister’s Adviser for Private Industry and Investment, Nasrul Hamid Bipu, State Minister for Power, Energy and Mineral Resources and Dr. Ahmad Kaikaus, Senior Secretary for Power Division, Golam Moshi Bangladesh Ambassadorin Riyadh Also present were Rajit Nanda, Chief Investment Officer at ACWA Power, Ayad Al Amri Executive Director for Gas to Power and Abdulsalam Al Hazmi VP Performance and Business Development, Aramco LNG Trading Unit.
Bangladesh’s power sector is one of the fastest growing in South Asia, with a current installed capacity of around 24,000 MW electricity from 3,200 MW in 2009.