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Wärtsilä has signed a 10-year Guaranteed Asset Performance agreement with Malicounda Power SAS of Senegal
The contract covers the 130MW Malicounda Melec power plant located in Mbour, south of Senegal’s Dakar, scheduled to be commissioned in June 2022. The long-term service agreement targets the further strengthening of Malicounda Power’s position as a power producer for Senegal’s grid. The signing took place in February 2022, and Wärtsilä will start to recognise order intake once the plant has been commissioned and is in operation.
The Wärtsilä Flexicycle power plant will operate with seven 'Wärtsilä 50' engines. It combines the advantages of a flexible simple cycle operation with the efficiency of a combined cycle plant. The agreement will provide operational reliability with scheduled maintenance and spare parts, as well as heat rate and power output guarantees after major overhauls.
“This power plant will add much needed generating capacity to the Senegal grid. It is an example of us creating value for our customers with industry leading availability and uptime, which is critical for the grid. This agreement will deliver high efficiency and productivity, together with cost predictability for the owners. Our strong presence in the country, along with our remote support capabilities, allow us to provide the essential performance guarantees required,” added Marc Thiriet, director of Africa West, Wärtsilä Energy.
Remote support from Wärtsilä’s Expertise Centres is central to meeting the objectives of the agreement with Malicounda Power SAS. Commissioning of the power plant is scheduled for June 2022. The plant will initially operate with heavy fuel oil (HFO) but there is an option to convert to gas fuelled operation as soon as a gas supply becomes available. Currently, there is an inter-governmental cooperation agreement between Senegal and Mauritania to develop significant gas resources, which will be shared by the two African countries. The power plant is expected to help Senegal bring down energy costs and integrate more renewable energy.
Wärtsilä is Senegal’s leading provider of power generating equipment, has 543MW of installed capacity in altogether 20 power plants in the country. With the Malicounda Melec power plant included, 458MW of this capacity is under Wärtsilä long-term service agreements.