The installation of submarine cables for the Egypt–Saudi Arabia electrical interconnection project has reached 35% completion, according to Egyptian government sources.
The $1.8 billion project is expected to boost electricity exports to Asia and Europe, while also improving energy cooperation between Egypt and Saudi Arabia.
Italian cabling firm Prysmian is leading the submarine cable installation, despite ongoing geopolitical challenges.
The project, which will link the electrical grids of Egypt and Saudi Arabia, is expected to see the completion of its submarine cable work by the last week of December, the sources told Al Arabiya Business.
In addition to the undersea work, Giza Cables Industries, in partnership with China Power Engineering Consulting Group Corporation (CPECC) and Xian Electric Engineering Company, is handling the overhead power lines.
The total project, including cables, overhead lines, and transformers, is now more than 48% complete, the sources added.
Once completed, the Egypt-Saudi Arabia interconnection will provide a crucial link between the two countries, with the potential to export electricity beyond the region.
The project is seen as a key element in Egypt’s plans to increase its electricity exports to markets in Asia and Europe, improving its energy security and providing economic benefits by addressing the country’s ongoing power shortages.
The interconnection will also enhance Egypt’s capacity to manage peak loads, alleviate supply-demand imbalances, and strengthen regional energy cooperation.
The link will facilitate the transmission of surplus electricity between Egypt and Saudi Arabia, depending on seasonal and regional energy demands.
The project involves the construction of three high-voltage transformer stations. Two of these are located in Saudi Arabia, in Medina and Tabuk, and one in Egypt, in Badr City.
The stations will be connected by 1,350 kilometers of overhead transmission lines and 22 kilometers of marine cables laid in the Gulf of Aqaba, the sources said.
The first phase of the project is expected to begin operation by July 2025. Once operational, the interconnection will support the exchange of up to 3,000 megawatts of electricity between the two nations.
The project has strategic importance for both Egypt and Saudi Arabia, as it offers the potential to integrate the countries into a larger regional and global power grid.
By creating a more resilient and interconnected electricity network, the project will improve power reliability and mitigate the risk of outages.
In addition to enhancing energy security, the interconnection is a vital part of Egypt’s broader energy transition efforts, as the country works to diversify its energy mix and reduce its reliance on fossil fuels.
The project is also aligned with Saudi Arabia’s Vision 2030 initiative, which aims to reduce the kingdom’s dependence on oil revenues and invest in renewable energy and other infrastructure projects.
