A privately managed company delivering power to Oman’s grid has reported a small rise in profit for the first nine months of this year.

Al Kamil Power Company made a net profit of RO1.64 million ($4.26 million) compared with RO1.55 million in the same period of 2007. 
The company reported it exported 895 GWh of electricity to the grid during January through September 2008 against 899 GWh.
The company achieved a turnover of RO12.63 million for the three quarters during which plant availability was excellent, said chairman of the company Dr Ranald GL Spiers.
Net profit during the whole of 2007 had been RO1.9 million. That year 1,089 GWh of electrical power was delivered to the grid, a marginal reduction of 5 per cent from what was delivered in 2006. Commencement of production by a newly constructed power plant and a milder summer during 2007 had an impact on the level of dispatch, the company had said.
Al Kamil Power’s plant was set up as an independent power project as part of the Omani government’s privatisation drive. According to the arrangement worked out, Oman Electricity Transmission Company sets out its daily requirements for electricity and the power station generates that quantity and delivers it to the grid.
The power plant is located about 25 km north-west of Al Kamil in the Sharqiyah region of Oman. The site is strategically located near the main gas transmission system and electricity grid network.  It uses three GE 9E rotating gas turbines each with an associated electrical generator. The land on which the power station is located is owned by the Government of Oman and leased to the company for 25 years (renewable for another 25 years). 
The Power Purchase Agreement (PPA) sets out the terms of generation and supply of power to the Omani national grid for 15 years ending on 30 April 2017. The PPA, which was signed with the Omani Ministry of Housing, Electricity and Water (MHEW), granted the company a power supply contract for a period of 15 years commencing from the day commercial operations began.
On 1 May 2005 the PPA was novated to the Oman Power and Water Procurement Company (OPWP), a closed joint stock company wholly owned by the Government of Oman. The government guarantees all the financial commitments of OPWP and ownership of the power station will remain with Al Kamil Power Company after the PPA ends in 2017.
Natural gas is supplied by pipeline from the Saih Rawl gas field that also supplies gas to major industries in Sur.
Operation and maintenance activities for the power station have been contracted to Al Kamil Construction & Services LLC (AKCS), a company whose major shareholder is International Power plc, a UK-based independent power generation company, through an Operation and Maintenance Agreement for 15 years. The operations and maintenance standards at the plant are based on international best practice in accordance with International Power’s policies and principles derived from its substantial experience in the operation of power generation plants worldwide.
AKCS has been accredited with ISO 9001 for quality management, ISO 14001 for environmental management, and Ohsas 18001 for health and safety management.
OPWP plans to convert the existing open cycle gas turbines to combined cycle gas turbine which will increase the power generating capacity of Al Kamil Power plant.