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Wednesday, January 30, 2008       Free Headline Alerts

Booming Gulf oil states eye coal power to fuel energy surge

ABU DHABI — Oman may construct a coal-fired power plant, a first for the oil-rich the Persian Gulf region. But other states in the region, including Saudi Arabia, are considering similar plans.

The Middle East Economic Digest reported that the coal plant would fulfill a rising need for power and water services amid the economic boom sparked by record crude oil prices.

The Nicosia-based weekly said the state-owned Oman Power and Water Procurement Co. was considering building a coal facility to fuel its next power and water project.

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"There is an option to do a feasibility study," an industry source told MEED.

MEED said the proposed coal-powered facility would have the capacity to generate 700 megawatts of power and 26 million gallons a day of desalinated water. The coal would be imported to Oman. Bahrain, Saudi Arabia and the United Arab Emirates were said to be examining similar plans.



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