Gulf Construction Online - Metito builds on record performance

Water Management

Egypt’s Al Mahsamma plant ... the largest of its kind in the world.

Metito builds on record performance

Metito has made impressive strides in the water treatment and management sector, with its latest success in the region including the independent sewage treatment plant at Dammam West. Managing Director RAMI GHANDOUR speaks to Gulf Construction about the company’s achievements in the Middle East.

01 August 2020

Having concluded a record year in 2019 in terms of both revenue and operational profitability, Metito is geared towards achieving a similar performance this year backed by strong order intake and major contract awards in various geographies, according to its Managing Director Rami Ghandour.

A global leader and provider of choice for total intelligent water management solutions, Metito has recently been making giant inroads into the waste water sector in Saudi Arabia, having clinched the key Dammam West Independent Sewage Treatment Plant (ISTP) Project, and is now bidding for similar projects in the kingdom.

Since breaking ground on the Dammam West site in February this year, work has continued without interruption on the project, Ghandour informs Gulf Construction in an exclusive interview.

“In June 2020, the project reached financial closure despite the evolving Covid-19 pandemic which has frozen several large-scale projects around the world,” he adds with pride.

Ghandour ... eyeing another record year.

The Dammam West ISTP Project is a first-of-its-kind project to be awarded by the Saudi Water Partnership Company to investors under a build-own-operate-transfer model, with a tenor of 25 years. It was awarded in January 2019 to a consortium led by Metito Utilities together with Mowah and Orascom Construction.

The scope of work covers the entire project including financing, the engineering, procurement and construction, and operations and maintenance. The project will be executed by a wholly-owned Saudi-based company established by the consortium, the Dammam West Company for Water.

The plant has a designed capacity of 350,000 cu m per day with an initial capacity of 200,000 cu m per day. It will serve the western region of Dammam, providing additional water supply to local communities while creating new job opportunities to support the economic development of the country.

The plant plays an integral part in the plan set by the Ministry of Environment, Water and Agriculture to tender similar projects to investors in different regions across the kingdom. This is also in line with the kingdom’s Vision 2030 and the wider initiatives approved by the Cabinet of Ministers to further encourage private sector participation in economic development initiatives.

Metito is now in the process of bidding for work on the Tabuk, Buraydah and Madinah STPs, with bid submission expected in December.

As bidding is currently under way on these projects, Ghandour says he cannot comment on the technology that will used on the STPs.

Dammam West ... a key recent win for Metito in Saudi Arabia.

“The Dammam West ISTP, however, is a good indicator of what is to come with advanced technology, sustainable optimised operations and service excellence,” he continues. “In Dammam, we are using a unique combination of technologies and energy solutions: Moving bed biofilm reactor (MBBR) and anaerobic technology to generate the gas from plant sludge, solar and thermal energy.

“The plant will produce 90 per cent dry beneficial sludge – a first in Saudi Arabia. To achieve this, a large amount of energy is needed, for which we are using thermal energy and will also utilise solar energy – solar sludge drying system – as part of the process. This minimises external electric power and eliminates the need to use fossil fuel,” Ghandour explains.

In Saudi Arabia, Metito is currently executing various desalination projects with a total design capacity of 800,000 cu m per day and wastewater treatment projects with total capacities of 400,000 cu m per day.

“It is worth noting that some of these projects are partially powered by solar energy,” Ghandour adds.

Apart from Saudi Arabia, Metito has achieved commendable growth in the region and globally over the past two decades. The company says it remains committed to playing an active role in developing the water and wastewater sector across the region, where it is leading several projects.

In the UAE, Metito is developing two important projects. These include the upgrade of the Sharjah Sewage Treatment Works Phase Four and Five, which was awarded by the Government of Sharjah’s Directorate of Public Works.

Metito’s scope is to more than double the capacity of the plants from 54,800 cu m per day to 130,000 cu m per day.

“This is a unique project as the full upgrade is being implemented whilst the plants are running at full capacity and without taking the plant offline,” he says.

Partnering with the Ras Al Khaimah Government, Metito is also rehabilitating the Al Falaya sewage treatment plant. Metito’s scope covers the initial water treatment stages and the expansion of the plant’s capacity for future phases as well as the improvement of odour control and instalment of automated electrical boards.

So to what does Ghandour attribute Metito’s outstanding success in the sector?

“We have worked tirelessly over the last six decades to create a diversified business from both a vertical and geographical perspective with a modus operandi of ‘local presence, global know-how’- which has never felt more relevant,” Ghandour remarks.

Metito’s strength across the full spectrum of its industry, experienced leadership teams, strong financial capabilities, access to advanced technology, fully functional teams managing local projects with remote support in areas of design and engineering are core elements which contributed to building a resilient business model able to insulate its operations against specific-market downturns and to achieve commendable growth across the years, he points out.

“Sustainability as one of our core values is driving how we operate and intrinsic to every project we deliver. The projects, utilities and investments within our portfolio are rooted in long-term goals that focus on addressing the global issue of water scarcity and the need to further integrate alternative energy while safeguarding the environment,” the managing director adds.

In the water management sector, Metito has operations covering three business arms: design and build, specialty chemicals, and utilities. It provides customised, comprehensive and advanced solutions across the full spectrum of the industry: from clean to dirty water; desalination and re-use; industrial solutions (up to hyper pure water); and investing in water and wastewater assets under different project finance structures.

The company also provides custom alternative energy development and management solutions for utilities and corporations looking to uphold sustainable operations by generating clean, emissions-free energy.

Metito has capacity-building capabilities and is focused on blending technology with engineering and consultancy in the areas that are key to a water utility. It offers integrated solutions and sustainable infrastructure asset management tools to support continuous optimisation and informed decision-making through access to global data (technical to financial). The company’s tools and solutions are constantly being developed and proprietary software continuously updated. Metito is also upgrading its services to include artificial intelligence (AI) solutions serving a variety of applications.

Looking ahead, Metito continues to pursue its formula for success and business continuity, which has enabled it achieve a record year in 2019 in terms of both revenue and operational profitability.

“We are geared towards achieving another record year in 2020 backed by strong order intake and major contract awards in various geographies,” says Ghandour.

He continues: “To succeed and limit its vulnerability to disruptions, Metito has always committed to being long-sighted and sufficiently diversified. The company will continue investing in new technologies, accessing new markets and structuring new partnerships as we pursue leading mega fast-track desalination and wastewater recycling and reuse projects.

“In 2020, we executed multiple iconic projects, such as the award-winning Al Mahsamma agricultural drainage treatment, recycling and reuse plant in Egypt. This is the largest plant of its kind in the world, with a capacity of 1 million cu m per day. The project, developed by Metito-Hassan Allam Joint Venture, is worth $100 million and has been developed under the supervision of the Armed Forces Engineering Authority in record time.”

Developing water projects under different project finance structures in Asia and Africa is an area where Metito has strong experience. The company plans to continue working closely within its ecosystem to enable more of such sustainable, long tenor projects.

“As the water-energy nexus is becoming progressively critical, our experience in developing water public-private partnerships (PPPs) puts us ahead of the game as we expand into the alternative energy.

“In 2020, a Metito-led consortium was awarded Bangladesh’s first international competitively bid utility scale (82 MW) solar project in Rangunia. The tariff achieved was the lowest-ever recorded in the country’s energy sector and sets the path for a much more cost-effective energy supply in the country. We are confident that, in the future, Metito will add to this portfolio as the demand for more sustainable energy and water projects increases,” he concludes.