GDF Suez has signed the 25-year Power and Water Purchase Agreement (PWPA) for the Mirfa Independent Water and Power (IWPP) project with the Abu Dhabi Water and Electricity Company (ADWEC), the Single Buyer and Seller of Water and Electricity of Abu Dhabi, United Arab Emirates.

GDF Suez holds a 20% equity interest in the project with the remaining 80% held by Abu Dhabi Water and Electricity Authority (ADWEA).

Located 120 km from Abu Dhabi, the Mirfa project is the Emirate's tenth facility to be built under the public private partnership (PPP) model. The project will be built at a capital cost of approximately US$1.5 billion and will involve the acquisition of certain existing water and power facilities, the development, design, engineering and construction of new power and water facilities, as well as the operation of the plant. When finished, and with the existing and new facilities fully integrated, Mirfa IWPP will have a total power capacity of 1,600MW and a seawater desalination capacity of 52.5 MIGD (238,665 m³/day).

Gerard Mestrallet, Chairman and CEO of GDF Suez, stated:

We are pleased to successfully formalise the framework for our exclusive partnership with ADWEA for the Mirfa project, our sixth development in the United Arab Emirates. This new project will allow us to pursue our growth strategy in the region and to meet the increasing demand for both electricity and water in the United Arab Emirates.

GDF Suez has selected a turnkey EPC contractor consortium comprising Hyundai Engineering & Construction Co. Ltd and Hyundai Engineering Co. Ltd. from Korea and Ansaldo Energia SpA from Italy. Degremont, a subsidiary of Suez Environnement, will be responsible for the new seawater Reverse Osmosis (RO) facility as a subcontractor to the EPC contractor.

Commercial operation of the project is expected on a phased basis between 2016 and 2017. The project is targeted to satisfy Abu Dhabi's rising demand for electricity and water as well as supporting the development of the UAE's Northern Emirates.

GDF Suez has five power and water plants in operation in the UAE: Al Taweelah A1, Shuweihat S1, Umm Al Nar, Fujairah F2 and Shuweihat S2. Together these assets contribute 8.8 GW of power and 557 MIGD (2,500,000 m³/day) of desalinated water. Once the Mirfa project is completed, GDF Suez will operate 10.4 GW (gross) power capacity and 609.5 MIGD (gross) (2,770,000 m³/day) water capacity.