Sustainable Infrastructure Holding Company (SISCO) said its 65%-owned subsidiary, Kindasa Water Services, has signed a 10-year extension of its lease with the Saudi Port Authority (Mawani) for the desalination plant at Jeddah Islamic Port.

The lease, ending in November 2041,  is expected to reduce Kindasa’s annual depreciation charge, SISCO said in a statement to the Saudi stock exchange on Monday. 

The contract will allow the plant to expand its capacity to capture the growing water demand in the Jeddah Industrial City and Khomra area while ensuring adequate return on its investment, said Kindasa Water Services CEO Abdullah Al Tuwariqi.

The extended period will also allow the company to explore new technologies that will conserve resources such as power in the long run, further contributing to its ESG goals, he added.

Editing by Anoop Menon) (anoop.menon@lseg.com)

Subscribe to our Projects' PULSE newsletter that brings you trustworthy news, updates and insights on project activities, developments, and partnerships across sectors in the Middle East and Africa