Prime Highlights
- Omar Al Hassan said the project will strengthen electricity supply and support Saudi Arabia’s shift toward cleaner energy.
- Khaled Al Medbel said the deal reflects a strong and trusted relationship with the Saudi Power Procurement Company.
Key Facts
- ACWA Power develops and operates power and water projects across the Middle East, Africa, and Asia.
- The Rabigh 2 plant will generate 2,313.5 MW and is designed to add a carbon capture unit in the future.
Background
ACWA Power has signed a power purchase agreement with the Saudi Power Procurement Company for the Rabigh 2 power plant expansion. The deal, signed in the third week of April, is worth SAR 11.5 billion ($3 billion) and covers a new gas-fired plant in Saudi Arabia’s Makkah Region.
The plant will produce 2,313.5 MW of power and is built to accommodate a carbon capture unit later. ACWA Power takes a 40% stake in the project and will handle everything from financing and construction to running the facility once complete.
The deal also covers the building and expansion of a 380 kV substation to keep the power grid stable. Officials say this is one of the biggest power projects in the Kingdom and ties directly into Saudi Vision 2030’s push to upgrade the country’s energy sector.
Omar Al Hassan, ACWA’s Country General Manager for Saudi Arabia, said the deal is a major step for the company. He said the project will add generation capacity, make electricity supply more reliable, and support the country’s shift toward cleaner energy.
Khaled Al Medbel, ACWA’s VP of Regional Business Development, said the agreement shows the solid working relationship between ACWA and the Saudi Power Procurement Company. He said the company remains confident in Saudi Arabia’s energy market and is committed to delivering large projects that support the country’s future growth.
