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Govt. looking for firms to operate and maintain portions of Gas-to-Energy project
Kaieteur News – The Government of Guyana (GoG), through the Office of the Prime Minister on Saturday issued a Request For Proposals (RFP) for firms to Operate and Maintain (O&M) portions of Phase One of the Gas-to-Energy (GTE) project.
An artist’s impression of the Gas-to-Energy project
The O&M contract relates specifically to the 300 megawatt (MW) power plant and related auxillary facilities which are expected to be commissioned in the second half of 2025.
It was explained that the contract will not extend to O&M of the Natural Gas Liquid (NGL) fractionation plant to extract liquids (C3, C4, CS+), as this will be addressed separately. Likewise, the pipeline being constructed by ExxonMobil Guyana Limited (EMGL) to transport the gas to the Wales Development Zone is not included.
It was explained, “Operations and Maintenance of the Power Plant and Balance of Plant (BOP) is based on: (i) a combined-cycle power plant consisting of four (4) Siemens Energy gas turbines and two (2) waste Heat Recovery Steam Generators (HRSGs) together generating 300 MW of power which will be sold to Guyana Power and Light (GPL), the national electricity company via a Power Purchase Agreement (PPA); (ii) Balance of Plant (BOP) including deaerators, cooling water system, boiler feed water pumps and entire BOP related to the Natural Gas Liquids (NGL) plant and Power Plant.”
The power plant and balance of plant are located on a 100-acre integrated plant site located within the Wales Industrial Zone approximately 25 kilometers (km) inland on the West bank of the Demerara River.
Notably, the O&M contractor will be subject to a rigorous screening process, though government has reserved the right to “select any Party for any specific element of the RFP and to annul the process at any time without further direction, without thereby incurring any liabilities to the affected interested parties.”
Bidders will be required to show O&M experience of at least five combined cycle power plants, comparable to that being constructed in Guyana. Firms must also have a strong Health, Safety and Environment (HSE) culture and demonstrate capabilities in workforce training, particularly focusing on local content, use of advanced technology for efficient operations and safety monitoring and the financial capacity to manage large-scale operations.
Only firms and consortia with experience in operation and maintenance of comparable facilities will be ranked. These will be required to list the relevant experience and reference projects, past and current, with similar operations over the last 15 years.
In proving their financial strength, audited financial statements or other forms of evidence must be submitted, along with a template of contract from an ongoing or similar O&M project.
Meanwhile, government has also required that fee structures for comparable projects, costs for the power plant and BOP and template of projected O&M costs in dollar-value and on a unit cost per kilowatt hour (kWh). The RFP will close on October 15, 2024.
Additional details on the RFP can be obtained from the Permanent Secretary of the Office of the Prime Minister.
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