Va Tech Wabag Wins $317M Mega Desalination Contract in Saudi Arabia

On September 6, 2024, Va Tech Wabag Ltd announced a major contract worth approximately USD 317 million (SAR 1,190 million / ₹2,700 crore) from the Saudi Water Authority (SWA). This order was awarded for the Engineering, Procurement, Construction, and Commissioning (EPCC) of a 300 Million Litres per Day (MLD) Mega Sea Water Reverse Osmosis (SWRO) Desalination Plant in Yanbu, Saudi Arabia. It solidifies WABAG’s leadership position in the Middle East.

The SWA, previously known as the Saline Water Conversion Corporation (SWCC), regulates water services and advances water sustainability as part of Saudi Arabia’s Vision 2030. The authority manages over 40 desalination plants producing more than 11 million cubic meters of water per day and 139 ground and surface water purification stations.

The contract entails the design, engineering, supply, construction, and commissioning of the Mega Desalination Plant, which will be situated on a greenfield site on the west coast of Saudi Arabia, south of the Red Sea city of Yanbu al-Bahr. Scheduled for completion within 30 months, the plant will utilise Dual Media Filters followed by a two-pass Reverse Osmosis process and Re-mineralization to produce high-quality potable water. It will be built with advanced desalination technologies, ensuring superior energy efficiency and compliance with KSA’s environmental regulations.

WABAG has been operating in Saudi Arabia for over 4 decades, building and managing water and wastewater treatment plants. Globally, since 1995, WABAG has constructed over 60 desalination plants across 17 countries, significantly advancing water security.

Mr. Rohan Mittal, Head of Strategy and Business Growth – GCC, commented, “We are extremely honoured and proud to secure this mega order from prestigious customer SWA, which will contribute to the ambitious Saudi Vision 2030. This mega order is a testament to our expertise and commitment to delivering high-quality, sustainable water solutions worldwide. This win reinforces our position in the desalination sector and we are confident that WABAG’s Global Leadership in Desalination will grow further with this win.”

On September 6, 2024, the share price of Va Tech Wabag Ltd opened at ₹1,386.00, touching the day’s high at ₹1,394.00, as of 10:29 AM on the NSE.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.