Siemens Energy Secures $1.5B Saudi Contract for Power Tech

Efficient Energy Solutions Propel Saudi Vision 2030

Germany, Berlin: Siemens Energy has announced a significant order from Saudi Arabia, delivering leading-edge power plant technologies with a combined capacity nearing 4 gigawatts (GW). This strategic move includes a comprehensive 25-year maintenance contract for two state-of-the-art combined-cycle power plants, Taiba 2 and Qassim 2, valued at approximately USD 1.5 billion.

The use of Siemens Energy’s advanced gas turbines, alongside steam turbines and generators, will enable each location to produce around 2000 MW of electricity. These facilities, representing some of the most modern and efficient globally, will be constructed in collaboration with the China Energy International Group as the engineering, procurement, and construction (EPC) contracting partner.

‘Saudi Arabia is propelling its Vision 2030 to revolutionize the Kingdom into a leading economic hub. Our new gas-fired power plants will offer a dependable energy supply and foster the country’s sustainable and progressive development. Our Siemens Energy service hub in Dammam will play a crucial role in enhancing and localizing technological expertise within the Kingdom,’ stated Karim Amin, Executive Board Member at Siemens Energy.

The forthcoming plants are intended to support Saudi Arabia’s increasing population and modernize its aging power infrastructure, which partially depends on oil for energy. Compared to oil-fueled facilities, the new plants promise up to a 60% reduction in CO2 emissions. Aligning with the national energy strategy, these facilities are designed to integrate with future CO2 capture and storage systems, driving towards a carbon-neutral energy provision. The grid connection is expected to commence in simple cycle mode by 2026, transitioning to permanent combined cycle operations the following year.

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