WA power utility Western Power selected enGen from a short list announced in April this year that also contained US-Australian joint venture Burns and Roe Worley, ASX-listed Energy Developments and international group PearlStreet Energy.

The bids were assessed on criteria including price, reliability, community benefits, risk and the ability to undertake and operate the project from a financial and technical perspective.

Burns and Roe Worley has been selected as reserve bidder for the project.

Western Power announced the preferred bidder earlier than expected after expressing its satisfaction that technical modelling on all proposals had been completed and it was assured the preferred proposal was sound and robust.

The enGen proposal will undergo further modelling during the next few months to refine technical aspects and optimise the performance of the new station.

Western Power said enGen had considerable experience in conducting operations of this type elsewhere in WA. The company is engaged in supplying power to six Mid-West towns and Leonora in the Goldfields, under similar arrangements to those proposed for the Carnarvon development.

The Carnarvon brief called for bids utilising natural gas as the primary fuel source and a suitable alternate fuel in the event that natural gas became unavailable.

Western Power will supply the gas via the lateral pipeline from the Dampier-Bunbury natural gas pipeline under existing contractual arrangements.

EnGen proposes to construct a power station comprising 11 V16 reciprocating gas engines with LPG as the back-up fuel, and to install a single diesel generator for peak lopping.

The company will work with Western Power to complete the technical modelling for the project in the coming months. Negotiations will then commence on finalising an initial 20-year power purchase agreement.

Construction is expected to begin in October 2006 and be completed towards the end of 2007.