US$2.7m power plant demo contract up for auction

A contract for the sale and dismantling of equipment at two former power plants in the Kingdom of Bahrain has been put up for auction.

Aluminium Barhain's headquarters and power generation site in Bahrain Alba’s headquarters and power generation site in Bahrain. (PHOTO: Aluminium Bahrain)

The PS1 and PS2 power plants located in Aska on the southeastern coast of Bahrain, are two of five such plants own by Aluminium Bahrain BSC (Alba). Their equipment is to be dismantled as part of a plan to expand the company’s existing PS5 facility.  

According to an impact assessment published on Alba’s website, PS1 is largely decommissioned and no longer operational, while PS2 is non-operational, but is currently being kept in a black start state as emergency reserve capacity for Alba’s PS3 and PS4 facilities.

The PS1 and PS2 project listing has been published on the digital channels of public auction specialist Mazad, with a starting bid of 1,000,000 Bahraini dinars (US$2.67 million).

Talal Al Araifi, Chief Executive Officer of Mazad, said: “Our partnership with Alba reflects our efforts to offer a fair auction to all bidders, in accordance with the highest standards and the most up-to-date digital practices.

“We want to put Alba’s former power plants up for sale on Mazad’s digital platform in order to reach as many potential buyers as possible through a homogeneous, reliable and transparent platform.”

The former power plants house a range of equipment, including steam and gas turbines with generators and accessories, cooling systems, transformers and a large number of spare parts.

The auction listing states: “The buyer will be responsible for dismantling all equipment and structures offered for sale, cleaning up the site after demolition and removing all materials, as well as providing the tools and machinery necessary for the execution of the project.”

Additionally, the successful bidder will be responsible for removing all dismantled machinery and equipment, with the dismantling and transportation processes to be carried out according to relevant Kingdom of Bahrain Health, Safety, Environment and Security Authorities and their respective Rules & Regulations.

“The Purchaser shall also take the responsibility of housekeeping the site after dismantling and removal of all materials as per the requirements,” the auction listing states, and must “comply with all local Industrial laws, statutes, and ordinances related to the execution of the work”. 

It further says that the plants’ owner Alba will evaluate the bids on the basis of the bidder’s capability to handle this scale of project, as well as the highest price offer.

Comprehensive details about the power plants and the scope of works have been published in the auction listing, which is set to end on 7 February, 2024.

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