Saudi Electricity sees 2013 capex near $10 bln -exec

By Rachna Uppal

DUBAI, Oct 9 (Reuters) - Saudi Electricity Co(SEC) will have capital expenditure needs of nearly $10 billionnext year, a senior executive said on Tuesday, and thestate-controlled utility may tap debt markets to raise some ofthe funds.

SEC, the Gulf's largest utility, has a 452 billion riyal($120.5 billion), 10-year investment plan as it speeds updelivery of its power projects to meet state infrastructuredemands.

"Our capex requirement for 2013 is close to $10 billion, andthe majority will be covered from internal sources," ManishManchandya, a corporate finance executive at SEC, told reporterson the sidelines of a treasury conference.

Manchandya said a projected gap of about $1 billion to $2billion would be covered by government funding and other means,including possibly debt markets.

SEC issued its debut dollar-denominated sukuk in March,raising $1.75 billion. The deal, which was heavilyoversubscribed, was the kingdom's first U.S. currency bond since2010.

Manchandya said SEC had no plans to tap debt markets thisyear, but stated: "In future, we plan to be an active player incapital markets both locally and internationally. The localmarket continues to be very liquid."

SEC plans to spend around $35 billion on high voltage powerlines, with another $25 billion spent on distribution networksover the next 10 years.

SEC has an installed capacity of 54,000 megawatts and willadd around 4,000 MW over the next 12 months to help meet risingdemand, with another 8,000 MW to be added in 2014.

($1 = 3.7501 Saudi riyals)

(Reporting by Rachna Uppal; Editing by Andrew Torchia)

((rachna.uppal@thomsonreuters.com)(+971 4 391 8301)(ReutersMessaging: rachna.uppal@thomsonreuters.com))

Keywords: SEC CAPEX/