This contract notice apply to DIN Forsyning Teknisk Vand A/S' cancellation of the procurement of Technical Water Treatment Plant. Technical Water Treatment Plant is a facility that cleans purified wastewater for use in Power-to-X facilities. In Denmark, the declared goal by 2030 of reducing CO2 emissions by 70% to combat climate change has led to an ambitious plan for Power-to-X, i.e. converting green renewable electricity into fuels (and more) for use in the hard-to-abate sectors, such as the industry, heavy transport, aviation, and shipping transport. DIN Forsyning Teknisk Vand A/S cooperates with companies that want to buy significant quantities of technical water. Technical water is a general term for water that has a different quality than drinking water. The technical water will have a quality as demineralized water. The procurement comprised the complete delivery of a combined plant consisting of: Pure Water Treatment Plant; Reject Water Treatment Plant; buildings; and high voltage installations. The plant is called Technical Water Treatment Plant (TWTP). The TWTP will be located on Mådevej, 6700 Esbjerg. The TWTP must be designed to operate continuously, 24 hours a day, 7 days a week, and 52 weeks a year. The project will be divided in two phases; Phase 1 and Phase 2. Phase 2 is included as an option. The initial phase (Phase 1) will support approximately half of the total capacity. Project capacity: Phase 1 must have a capacity of 230 m³/h output. Phase 2 (option) must have a capacity of 230 m³/h output. The project including the optional Phase 2 must have a capacity of 460 m3/h output. This project also includes a contract for underground piping which is offered in another procurement. DIN Forsyning Teknisk Vand A/S has chosen not to divide the project/contracts further. DIN Forsyning Teknisk Vand A/S has assessed that handling interfaces, responsibilities and risks in particular the contract for TWTP is best placed with the contractor. Further division of the project /contracts will entail increased risk for DIN Forsyning Teknisk Vand A/S, as well as increased costs for construction management etc., which is why DIN Forsyning Teknisk Vand A/S has found it appropriate not to divide the project/contracts further.

The procurement of Technical Water Treatment Plant (TWTP) was initiated on the basis of an anticipated aggregate water demand associated with two large-scale Power-to-X projects in the Esbjerg area. The original design basis was founded on significantly higher capacity requirements from the expected Power-to-X projects than those currently considered realistic. The original premise/requirements was based on 2 GW capacity. This has changed to approximately 540 MW capacity. The revised capacity requirements mean that the project's underlying assumptions are no longer the same as those that existed when the procurement was initiated. The reduction affects the sizing of the facility, the technical solution, the expansion schedule, the level of investment, operational economics, the project's risk profile, the contracting strategy, the technical specifications, and the contractual framework. It is assessed that the change is so substantial that the project cannot be continued on the basis of the existing procurement documents without fundamental modifications. The current procurement documents were prepared on the basis of a different and significantly greater demand than the demand which is now considered realistic. Based on the above mentioned assessment it is considered that DIN Forsyning Teknisk Vand A/S, in its capacity as contracting authority, has objective and legitimate grounds for cancelling the procurement, as the contracting authority's requirements have changed substantially. The change is not considered capable of being accommodated within the existing procurement documents or within the rules governing amendments to contracts. Accordingly, the change must be regarded as affecting fundamental elements of the procurement, as the nature and scope of the contract would differ materially from those contemplated under the original procurement basis. Consequently, if it is decided to proceed with the project on a significantly revised scope, it is considered necessary to conduct a new procurement procedure. DIN Forsyning Teknisk Vand A/S expects that a new procurement will be published in the first half of 2027.