Sumitomo Corporation (head office: Chuo-ku, Tokyo; President and CEO Susumu Kato; hereinafter referred to as "SC") has successfully won the international bid and reached a share purchase agreement with Abu Dhabi National Energy Company PJSC ("TAQA") upon the right to own and operate Shuweihat S1 power and water project in the Emirate of Abu Dhabi in the United Arab Emirates ("Shuweihat S1 IWPP Project""). SC expects completion of all the purchase process by the middle of September 2008.

The S1 plant is located in the Shuweihat areas, approximately 250 kilometers west of Abu Dhabi. All electricity and water produced by S1 Plant is sold under the long term power and water purchase agreement to Abu Dhabi Water and Electricity Company ("ADWEC").

 
TAQA currently owns a 74% stake in Shuweihat CMS International Power Company PJSC ("SCIPCO"), the project company owning the Shuweihat S1 plant ("S1 Plant"), Abu Dhabi Water & Electricity Authority ("ADWEA") owns a 6% stake and the remaining 20% stake is owned by International Power Plc ("IPR"). In addition, TAQA currently owns a 50% interest in Shuweihat O&M Limited Partnership ("SOMLP") providing operation & maintenance services to the S1 Plant with IPR owning the remaining 50% interest. TAQA launched an international bid to dispose of both a 20% stake in SCIPCO and its 50% interest in SOMLP. The S1 Plant has started commercial operation since June 2005 and consists of a combined power and water generation plant with a current capacity of 1,500 MW of electricity and 100 MIGD of water.

Shuweihat S1 IWPP Project is SC's 2nd independent water and power project ("IWPP") in the gulf region, following Al Hidd IWPP project (965 MW of electricity and 90 MIGD of water) as announced on January 2006.

In the gulf region, demand of power and water are expected to increase continuously and several of the IWPP projects are scheduled to be launched in a near future.
SC will continue to actively participate in the development of or investments in power and water projects in U.A.E as well as its neighboring gulf countries..

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