CMH’s Role: Arranger and Main Sponsor

Al Dur Power & Water Company is a US$2.1 billion gas fired greenfield power generation and seawater reverse osmosis desalination plant located on the south east coast of Bahrain. GDF Suez Energy International, the French global energy company and Gulf Investment Corporation, the Kuwaiti based investment company owned by governments of GCC countries were selected as preferred bidders by the Electricity and Water Authority of Bahrain (EWA). In 2008, a Power & Water Purchase Agreement was signed by the consortium with the EWA to build, own and operate the 1,234 MW power plant, with the plant expected to come into full operational production by 2011. The Power & Water Purchase Agreement extends for 25 years after the commencement of commercial operations.

CMH formed a consortium consisting of financial institutions to acquire an equity stake in the project. CMH successfully negotiated with the project sponsors and completed the acquisition in July 2009. CMH also sourced Islamic financiers to participate in the project finance of the project.