Gas Supply Agreement between Bapco and Alba

When Alba decided to build a sixth pot line for aluminum production at its world class production facilities it also had to build a new power plant to provide the secure supply of electricity that the pot line would require.

To fuel that new power plant, Alba would require a long-term source of gas, thus it turned to Bapco to supply gas produced from the Bahrain Field.

Newton Legal was asked to advise Bapco, on an urgent basis, to negotiate a gas supply agreement. The experience of our team and their understanding of when a compromise can be reached helped achieve a balance between Alba’s need for secure supply and the limitations of the Bahrain Field.

The agreement, signed in November 2015, allows Alba to progress with its project and thereby help the Kingdom achieve the ambitions outlined in the Bahrain Economic Vision 2030 regarding the diversification of revenue sources.