Construction of the Tullich WTW is to begin in early 2016 with a view to becoming operational by Autumn 2017.
The new WTW will incorporate three major levels of water treatment, including dissolved air flotation (DAF), rapid gravity filtration and secondary filtration.
Efficient Service Delivery (ESD) has been appointed as delivery partner.
Jim Tudhope, Scottish Water's Project Manager, said: "This is a major investment in our water infrastructure in the Oban area which will safeguard a robust and resilient water supply for many years to come."
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Tony Collins, ESD's Chief Operating Officer, added: "ESD is delighted to have been selected to deliver the new works at Tullich.
"We are well advanced with the design and will be making the most of our off-site fabrication capabilities to pre-assemble and test plant and equipment in the factory, ready for delivery to site in modules.
"This will speed up our installation and deliver a high quality treatment works for Scottish Water and its customers."
In addition, residents in Oban are invited to attend an informational event where plans and drawings of the proposed works can be viewed, as well as the opportunity to discuss the works with the project team.
The event will take place from 3:30pm to 6:30pm at Oban Church on Wednesday, 16 December.
(LM/CD)
