By April-May, Saudi Arabia plans to prequalify among companies from two or three countries that want to take part in the construction of nuclear reactors in the kingdom, said a consultant to the government body of the country working on these plans.
Saudi Arabia, the world’s largest oil exporter, wants to diversify energy resources in the field of nuclear energy, which will allow it to export more oil, rather than to burn it while generating electricity.
The Kingdom plans to increase 17.6 gigawatts (GW) of nuclear capacity by 2032, and this is approximately 16 reactors. This could be one of the biggest prospects for an industry that is trying to survive after the 2011 disaster in Japan.
“Currently we are in the process of evaluating RFI, and next month we will negotiate with suppliers,” said consultant Abdul Malik al-Sabery.
Saberi said that a joint agreement between the government of Saudi Arabia and the developers who will win the tender will be signed in 2019. By 2027, the first plant with two reactors with a total capacity of 2 to 3.2 GW is expected to be commissioned.
Last month, Saudi Energy Minister Khalid al-Falih said he expected to sign contracts for the construction of two nuclear reactors by the end of 2018.
Saudi Arabia sent a request for the necessary information to international suppliers on the eve of the start of construction of the two reactors, which is the first step towards the start of the formal tender.
Sabery states that Riyadh is currently considering the demands of five countries: China, Russia, South Korea, France and the United States.
Russian and South Korean companies said they plan to participate in the auction, and sources familiar with the situation said that American company Westinghouse, owned by Toshiba, is negotiating with American competitors to create a consortium for tenders. The French state company EDF also intends to participate in the tender.
Saudi Arabia is interested in achieving a peaceful agreement on cooperation in nuclear energy with Washington. Riyadh invited American firms to participate in the development of the first nuclear power program of the kingdom.
