Overseas Market Information UAE. Overseas Information. New Projects conducted by Abu Dhabi Water and Electricity Authority (ADWEA)

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1 Overseas Market Information UAE New Projects conducted by Water and Electricity Authority (ADWEA) Water and Electricity Authority (ADWEA) unveiled its 5-year strategic plan. As part of the plan, a number of new projects have been lined up. In the near future, ADWEA shall receive tenders concerning Al Showayhat Project S2 for the production of 1500 Megawatt and 100 million water gallons per day. aims to raise power generation capacity by 35 percent within five years, but may face challenges in attracting foreign firms as competition for projects across the Gulf Arab region heats up. Demand will rise almost 80 percent in the same period to 10,600 MW, while capacity reaches 12,503 MW in 2010, Director of Privatisation Abdulla Al Nuaimi stated that industry was facing challenges to meet growth needs due to a lack of contractors to build new power plants. Demand for power in the world s largest oil-exporting region is surging on population growth and commercial and industrial expansions fuelled by record oil prices. Projects across the region have increasingly suffered delays over the last two years as soaring construction costs, labour shortages and a lack of qualified contractors have hit market. To mitigate those challenges, ADWEA is staggering the bid process for two new power plants to the west of the emirate and in the process of constructing the world s largest drainage system, starting from Corniche Road, passing through Airport Road until it reaches the new sewage treatment plant at AL Wathba. Contact details of Water and Electricity Authority (ADWEA) : Water & Electricity Authority P.O. Box 6120, Tel. : Fax : pr@adwea.com Web : Planning & Development : Tel.: Fax : Privatisation : Tel. : Fax : UAE Firm Won the Contract for Supplying Buses to Australia Hafilat Industries, the region s leading manufacturer of quality aluminium buses licensed by Australia s Volgren, won a Dh 30 million contract to produce and export European-quality buses to Australia. Production will commence at Hafilat s 10,000sqm factory located in ICAD, Mussaffah,, and will take approximately four months to complete before the buses are exported to Australia. The contract states that Hafilat will build Volgren s New Generation City Bus on a Euro IV Mercedes Benz chassis originating from Spain, all of which will feature multiplexed electrics, sophisticated video surveillance, electronic signage, and a full aluminium body. UAE is the first country in the GCC to be building European-quality buses. Hafilat uses Swiss technology which is further enhanced by its Australian partner Volgren. 16 Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4, 2008

2 Contact details of Hafilat Industries : For Mailing : Office : Factory : Hafilat Industries L.L.C. P.O. Box 91207,, UAE Tel. : Fax : info@hafilatme.com Web : Mina Free Port Area Plot No. 181,, UAE ICAD 1 Sector M-41 Plot No. C2 (22, 23, 24, 25, 26) Al Musaffah,, UAE Temporary Factory : M17 Plot No. 70, Al Musaffah UAE Tel. : Fax : Sales : Mr. Motaz Al Sahili Mobile : motaz.sahili@hafilatme.com Contact details of Volgren : Melbourne Hammond Road Dandenong VIC 3174 Tel. : Fax : Perth 47 Beringarra Avenue Malaga WA 6090 Tel. : Fax : For further details about the firm, please visit at Investment in Solar Energy Technologies Masdar, the Future Energy Company, fully owned by Government will invest US$ 2 bn in solar energy technologies. Earlier this, the government committed a US$ 15 billion to help explore, develop and commercialize clean energy sources. Between the two plants for manufacturing solar energy panels, the first will be set up in Germany and will become operational by next year. The second plant will be set up in and will be operational in Contact details of Masdar : Masdar Future Energy Company Mina Road, ADPC Admin Bldg Second Floor P.O. Box: Tel. : Fax : Web : Major Investments of Steel in Gulf Region According to latest industry research, more than US$ 18 billion is being invested in 46 steel manufacturing plants throughout the Gulf region in an attempt to close the widening gap between supply and demand for steel. The database of research company Proleads, which monitors major construction projects across the region from initial study to completion informed that Saudi Arabia with 17 and the UAE with 16 are leading the way in steel plant projects individually varying in value from US$ 2 billion to US$ 15 million. Oman has plans for six steel plants, Bahrain for four and Qatar has three. Topping Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4,

3 the list of projects is an integrated complex of steel factories in Saudi Arabia which will turn out 500,000 tons a year of railway track, three million tons a year of iron and steel processing and production plant and 800,000 tons a year of pipeline manufacturing plant. Of the top ten projects, four are in Saudi Arabia, three in the UAE, two in Qatar and one in Oman. A Joint Venture between a German & UAE Company for Air Separation Plants in Linde AG, the world s second-largest producer of industrial gases and a partner will invest $ 800 million to build two air separation plants in. A joint venture named Elixier has been signed between Linde and the National Oil Corporation (ADNOC) to build the factories to produce oxygen for natural gas exploration. The plants will be ready at the end of ADNOC holds 51 percent of Elixier and Linde holds 49 per cent. Contact details of Linde AG : Linde AG Leopoldstrasse Munich Germany Tel. : Fax : info@linde.com Web : Contact details of National Oil Corporation (ADNOC) : National Oil Corporation (ADNOC) P.O. Box 898 Tel. : Fax : Web : Pearl Energy Acquines Abu Energy PJSC Mubadala Development Company (Mubadala) an investment and business development company of completed the acquisition of the Southeast Asia oil and gas exploration and production company, Pearl Energy (Pearl) from Aabar Energy PJSC. This transaction is part of Mubadala s strategy to become an active operator in the international upstream petroleum sector. Mubadala s interests include oil and gas assets in Qatar, Oman, Libya and Algeria, as well as power utilities and renewable energy solutions through the Masdar initiative. Contact details of Mubadala Development Company : Mubadala Development Company PO Box Tel. : Fax : Web : 18 Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4, 2008

4 UAE Company invests in Pakistan Mr. Salah Khamas, Director of Khamas Group of Companies, a UAE-based company has visited Pakistan to finalise a $ 100 million housing project in the city. The project consists of commercial markets, residential schemes, playgrounds, swimming pools, a community centre, a recreational park and several modern facilities. He said that other cities, including Karachi, Gwadar and Islamabad also had potential for investment, especially in construction projects. He said that after the completion of the project, the Khamas Group planned to launch another housing project targeting the low-income level groups. Contact details of Khamas Group of Companies : Khamas Group of Companies PO Box 2118 Dubai Tel. : +971(4) Fax : +971(4) India reached Second Position to Export to UAE Emirates Industrial Bank (EIB), citing official UAE statistics show that India has reached the second position in the list of exporters to the country for the first time since the UAE was created 37 years ago. Official figures show that China was the top exporter to the UAE in 2007, while India became the second supplier of goods to the Gulf country for the first time after its exports to the UAE rocketed by nearly seven times in five years. From only Dh 9.2 billion in 2002, the UAE s imports from India shot up to around Dh67bn in 2007.India s exports last year accounted for nearly 16 per cent of the UAE s total imports of around Dh418.7bn. The figures showed India is rapidly narrowing the gap with China and at current growth, it could be a serious threat to Beijing s bid to maintain that position. The report said that there are several factors for this increase, mainly the decline in the dirham against other currencies, mainly the UK pound and the euro by more than 40 per cent and because of the sharp fall in the US dollar, to which the dirham is pegged. This made imports from other countries, mainly Asian, more competitive.eib figures showed China, which has been storming into lucrative markets in the oil-rich region, maintained its position as the largest exporter to the UAE, with its exports to the emirates soaring to an all-time high of Dh69.9bn in 2007, an increase of around 33.9 per cent over the Dh 52.2 bn export value in The 2007 value accounted for nearly 16.7 per cent of the UAE s total imports. From around Dh bn in 2006, the UAE s total imports jumped by nearly 31 per cent to Dh418.7bn in 2007 to turn the country into the largest market in the Middle East by overtaking Saudi Arabia.A surge in crude prices over the past few years has allied with a sharp expansion in the non-oil sector to largely boost the UAE s economy and catapult it to the second place in the region after Saudi Arabia. First Copper Rod Factory & New Cable Factory in UAE : Dubai Cables Co. Ltd. (Ducab) inaugurated its first copper rod plant and the new cable factory at the Mussafah Industrial Area. The $ 45 million copper rod plant, which is the first copper rod factory in the UAE, has a capacity of 110,000 tonnes per annum which can be increased to 160,000 tonnes in the future. The two facilities were unveiled by Shaikh Hamed bin Zayed Al Nahyan, Chairman of the Crown Prince Court and Chairman of the Higher Corporation for Specialised Economic Zones (Zonescorp). A large number of dignitaries, including ministers, senior officials were present on the occasion. Mr. Andrew Shaw, the Managing Director of Ducab said the new copper rod plant will take the raw copper cathode and convert it to high quality 8mm diameter copper rod the key raw material for cable manufacture. By launching the two new plants, Ducab, which is jointly owned by the Dubai and governments, is on course Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4,

5 to achieving its strategic plan of meeting the growing demand of the local and regional markets for copper rod and power cables of various voltages. Contact details of Dubai Cables Co. Ltd. (Ducab) : Dubai Cable Company (Private) Limited Head Office and Factory P.O. Box Dubai, Tel. : Fax : ducab@ducab.com Toll Free : 800-Ducab ( ) Web : Ducab () Factory P.O. Box 9171 Tel. : Fax : ducab@ducab.com Toll Free : 800-Ducab ( ) sales office P.O. Box 9171, Tel. : Fax : ADsalesoffice@ducab.com ADNOC started Sulphur Production National Oil Company (ADNOC) Marketing and Refinery Directorate Sales Manager Dagher Al Murar has told that mega gas projects under way in the UAE will nearly quadruple sulphur production within five years to more than six million tonnes per year and turn UAE into one of the top producers of the substance. Sulphur output by ADNOC is currently estimated at around 1.7 million tonnes and most of it is exported to North Africa and southeast Asia. As a result of ambitious expansion plans by ADNOC and its group of companies, especially the sour gas field developments, ADNOC is set to be among the largest sulphur producers worldwide by 2013, nearly four times the current production of around 1.7 million tonnes per year. He said around 800,000 tonnes of the emirate s sulphur output are exported to end-users, mainly Morocco, Tunisia, Senegal and Jordan. Other quantities are destined to various Asian and African markets such as India, South Africa, South East Asia, and China, which is considered the main driver in sulphur demand, with an import of around 10 million tonnes per year. According to Al Murar, current sulphur prices have jumped more than 10 fold over the average price of the first-quarter of 2007, reaching a record US$ 600 per metric tonne, the highest level through history. He attributed the unprecedented price rise to a sharp increase of fertiliser demand worldwide, led by the surge in bio-fuels production and the efforts to avoid shortfall in food and grain supply worldwide, which in turn contributed to a sharp growth in sulphur demand and lack of sufficient supply. 20 Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4, 2008

6 Contact details of National Oil Corporation (ADNOC) : National Oil Corporation (ADNOC) P.O. Box 898, Tel. : Fax : Web : Dubai Aluminium Co Increase its Production Capacity Dubai Aluminium Co (Dubal) increased output by 12.6 per cent year-on-year in 2007 to 889,548 tonnes, spurred by robust domestic and global demand. Competitively priced energy and a construction boom in the world s biggest oil exporting region, where there are more than $ 1 trillion (Dh 368 trillion) of infrastructure projects, are boosting demand. Dubal is expected to increase its production capacity to more than 950,000 tonnes by the end of this year. Dubal aims to be among the world s top five aluminium producers by Its expansion plans include the construction of the world s largest green-field aluminium smelter complex, costing $ 8 billion, a joint venture with Mubadala Development Co. The Emirates Aluminium (Emal) complex in would eventually have an output capacity of 1.5 million tonnes a year. Russia s Rusal now operates the world s biggest aluminium smelter at Bratsk with a capacity of 976,000 tonnes per year. Dubal s only competitor in the Gulf Arab region, Aluminium Bahrain (Alba), which produces 830,000 tonnes of the metal a year, said last year it has plans to raise its output by up to 45 per cent to about 1.2 million tonnes. For further details about Dubai Aluminium Co (Dubal), please visit at Investments in Sewerage System : Alan Thomson, Managing Director of Sewerage Services Company (ADSSC) stated that is investing Dh 12 billion in expanding its heavily over-loaded sewerage system in the next five years so as to meet the needs of fast growing emirate. Under the master plan for the emirate of, which was finalised early this year, the sewerage capacity of 400,000 cubic metres per day would be multiplied to 1.2 million cubic metres, to expand the growing requirements of new communities being developed on Al Reem, Saadiyat, Yas and other islands. ADSSC chief said that the sewerage master plan which had been devised according to the needs of s Vision 2030, envisages Dh 12 billion investments into the sector in the coming five years. Sewerage Services Company (ADSSC) has awarded a Dh 160 million contract to Concorde Industries to design, fabricate, construct, and commission a membrane bioreactor sewage treatment plant for the largest planned labour accommodation facility in the UAE. The facility will treat waste water from the Construction Workers Residential City (CWRC), a planned Dh 418 million labour compound in the Al Mafraq area of Abu Dhabi. The plant will have the capacity to recycle used water and sewage of up to 30,000 cubic metres a day and will treat the waste water produced by up to 32,000 workers, technicians and supervisors. Once the water is purified almost to the level of potable water, it will be re-used in the machinery and cooling facilities within the CWRC. Concorde recently delivered a Dh 30 million, two million-gallon-per-day pot-able water project on s Al Yasat island. Contact details of Sewerage Services Company (ADSSC) : Sewerage Services Company (ADSSC) C/O Water and Electricity Authority Building Al Najda Street P.O. Box 6120 Tel. : Fax : Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4,

7 Agreement in Energy Sector National Energy Company PJSC (TAQA), a global energy company, and THEOLIA, a leader in the production of electricity from wind energy, signed a strategic partnership agreement in the renewable energy sector in Morocco. This agreement aims to create a consortium of these two prequalified companies to respond jointly to the international invitation to tender for the construction and operation of a 300 MW wind farm located in Tarfaya, Morocco. TAQA and THEOLIA further agreed a 50/50 partnership in the Compagnie Eolienne du Detroit (CED), including studying the possibility of optimizing wind sites in Morocco, notably the Abdelkhalek Torres wind farm near the current site of CED. This site, located in the North of Morocco and enjoying excellent wind conditions, offers a double opportunity: the possible repowering of the 84 turbines commissioned in 2000 and the possible extension of the wind farm by several hundred additional MWs (1). Contact details of National Energy Company PJSC (TAQA) : Water and Electricity Authority Research Center 7th Floor, Jawazat Street P.O. Box 55224, Tel. : Fax : info@taqa.ae, contact@taqa.ae Website : Contact details of THEOLIA : Theolia Parc de la Duranne 75, rue Denis Papin BP 80199, Aix-en-Provence Cedex 3 France Tel. : +33 (0) Fax : +33 (0) dolores.muniz@theolia.com (Source : Embassy of India, ) 22 Engineering Export Info-Bulletin, Vol. 10, Issue No. 31, AUGUST 4, 2008