Sirik Power Plant Construction Accelerates With Russian Credit Line

Russia has allocated a credit line worth $1.4 billion for the construction of Sirik Power Plant in Sirik County, Hormozgan Province, which will accelerate the process.
The allocation of the credit line happened after Iranian President Ebrahim Raisi met with his Russian counterpart Vladimir Putin in Moscow earlier this month, when they discussed economic cooperation in various fields, IRNA reported.
Sirik Power Station is a 1,400-megawatt gas-fired power plant currently under construction in southern Iran.
Russia and Iran signed agreements for the construction of the plant in 2016 and the groundbreaking ceremony was held in 2017.
However, the construction process was delayed as the Russian side did not provide the loan to fund 85% of the construction costs that is estimated to be $1.7 billion. The process now continues with the allocation of the required fund and is expected to be completed in 50 months.
The power plant comprises four units, each with a capacity of 350 MW of electricity. Local companies and manufacturers will supply all the required parts and equipment for the construction project.
The project is considered a key step toward stabilizing the electricity network in the country’s underprivileged southern and southeastern regions. Sirik County overlooks the Strait of Hormuz, between the Persian Gulf and the Sea of Oman.
Thermal power plants in Hormozgan Province have an installed capacity of over 3,000 MW and will increase output to 7,000 MW by 2024.
The construction of the station will create 3,000 jobs and 500 more will be employed when the first unit comes on stream.
Russia is expanding its footprint in Iran's energy sector against a backdrop of growing political and economic cooperation between the two sides.