(EnergyAsia, March 25 2011, Friday) — Singapore Exchange-listed Sembcorp Industries said it has awarded a S$900 million engineering, procurement and construction (EPC) contract to Alstom Power Singapore and Alstom Switzerland for the development of the company’s second cogeneration plant on Jurong Island. (US$1=S$1.27).

Work on the combined-cycle gas turbine cogeneration facility is due to begin later this year, with the plant’s first phase of 400MW capacity expected to start up by the second half of 2013.

The plant will be eventually expanded to produce 800 MW of power and 400 tonnes per hour of process steam, roughly doubling Sembcorp’s total power capacity in Singapore to 1,615 MW, up from the current 815 MW.

The plant will operate under a generation licence granted to Sembcorp by the Energy Market Authority and will be fuelled by piped natural gas as well as liquefied natural gas (LNG) for which Sembcorp has signed a long-term supply agreement with BG Singapore.

The project is expected to be funded through a mix of bank borrowings and internal sources.

Sembcorp is a leading energy, water and marine group with total assets of over S$10 billion, and more than 8,500 employees spread across 19 countries worldwide.

The group provides essential energy and water solutions to both industrial and municipal customers, with 5,600 MW of gross power capacity and over six million cubic metres of water per day in operation and under development.

Sembcorp’s energy business includes facilities in operation and under development in Singapore, China, Vietnam, India, the UAE and Oman.