A consortium of Saudi utilities provider Marafiq and Saudi Arabia’s Lamar Holdings has been awarded Saudi wastewater treatment project. Estimated at $500 million, the contract entails the development of an industrial wastewater treatment plant in Jubail Industrial City 2. It is located in Saudi Arabia’s Eastern Province. Saudi Aramco Total Refining & Petrochemical Company (Satorp), a joint venture of Saudi Aramco and France’s TotalEnergies, has also awarded a 30-year concession agreement. The agreement was issued to the consortium for developing the IWWTP. Moreover, the planned facility will treat and recycle wastewater from Satorp’s Amiral chemical derivatives complex. Marafiq will own a 40% stake in the dedicated project company. Veolia Middle East SAS will hold a 35% stake. On the other hand, Lamar Holding’s Lamar Arabia for Energy will hold the other 25%. The planned IWWTP will primarily serve the $11bn sprawling Amiral chemicals zone.
Project Factsheet
Significance:
- Supports Satorp’s $11 billion Amiral chemical derivatives complex in Jubail Industrial City 2.
- Also promotes sustainability by treating and recycling complex industrial wastewater streams.
- Enhances Saudi Arabia’s water security and industrial efficiency in the Eastern Province.
Infrastructure:
- Industrial wastewater treatment plant (IWWTP) with advanced recovery technologies.
- Designed to process challenging effluents, including spent caustic streams.
- Enables closed-loop reuse of treated water, boosting energy and resource efficiency.
Developer:
- Awarded to a consortium of Marafiq (40%), Veolia Middle East SAS (35%), and Lamar Holding (25%).
- Concession awarded by Satorp, a Saudi Aramco–TotalEnergies joint venture.
- Operated under a 30-year build–own–operate concession model.
Funding:
- Project valued at $500 million.
- Privately financed through the Marafiq–Lamar–Veolia consortium.
- Structured as a long-term concession investment aligned with PPP principles.
Challenges:
- Managing treatment of highly complex petrochemical wastewater.
- Ensuring long-term efficiency and compliance over the 30-year concession.
- Coordinating construction timelines with the Amiral complex’s development schedule.
Scope of Implementation on Saudi Wastewater Treatment Project
The implementation of the Saudi wastewater treatment project is one that will primarily serve Amiral chemicals zone. Moreover, it will implement advanced water treatment and recovery technologies to process complex industrial effluents, including spent caustic streams. Treated water will be reintegrated into the industrial process, supporting closed-loop reuse and energy efficiency. The project follows a concession-style model, akin to a public-private partnership (PPP). Furthermore, the developer consortium will invest, build and operate the wastewater plant over a 30-year period.
Marafiq has been involved in several similar projects across Saudi Arabia. This also includes their role as the sole owner of the Jubail industrial water treatment plant (IWTP8). The plant treats complex industrial materials from petrochemicals and heavy industrial companies. The facility is currently undergoing a $202 million fourth phase expansion awarded in 2020. Construction works on the project are also expected to be completed by the end of this year. The Middle East has had remarkable achievements in wastewater treatment projects with the world’s largest being located in Egypt, Bahr El Baqar.
