SINGAPORE (April 12): Hyflux has clinched an engineering, procurement and construction (EPC) contract worth $672.3 million for the Ain Sokhna Integrated Water and Power Project in Egypt.

The company received the letter of award from the General Authority for the Suez Canal Economic Zone, following the receipt of the letter of intent announced on March 9.

Under the letter of award, Hyflux will be the EPC contractor and the operations and maintenance service provider over the 25-year concession period.

The Ain Sokhna Integrated Water and Power Project is a desalination plant designed to produce 150,000 cubic metres of water per day.

An on-site 457 MW combined cycle gas turbine power plant will be constructed to generate power and supply electricity to the desalination plant. Excess power will be dispatched to the grid.

Hyflux says the project marks its maiden entry into the Egyptian market and its first integrated water and power project abroad.

Shares of Hyflux ended flat at 59 cents on Tuesday.