Siemens Energy has won a $1.6 billion contract to supply technology for two gas-fired power plants in Saudi Arabia to significantly expand its presence in the kingdom’s power sector.
The projects, Rumah 2 and Nairyah 2, will add 3.6 gigawatts to Saudi Arabia’s national grid—enough to power approximately 1.5 million homes.
The plants, located in the country’s central and western regions, are expected to replace aging oil-fired stations, cutting carbon emissions by up to 60% compared to conventional oil-based power generation.
Harbin Electric International, the project’s engineering, procurement, and construction (EPC) contractor, will oversee the development, which includes long-term maintenance agreements to ensure operational reliability over the next 25 years.
Siemens Energy will supply six SGT6-9000HL gas turbines, four SST6-5000 steam turbines, eight SGen6-3000W generators, and two SGen6-2000P generators, along with auxiliary equipment. Each site is expected to generate about 1.8 gigawatts of electricity.
The German company will manufacture core components at its Siemens Energy Dammam Hub, which is undergoing expansion to enhance local production capacity and strengthen Saudi Arabia’s energy sector.
The company has been a key player in the kingdom’s Independent Power Producer (IPP) market, with previous projects including the Taiba 2 and Qassim 2 plants, which jointly contribute four gigawatts to the national grid.
“Supplying key technologies for the Rumah 2 and Nairyah 2 power plants directly supports Saudi Arabia’s energy transition and its goal of achieving net zero emissions by 2060,” said Ahmed ElSerry, Head of Gas Services Sales, Middle East.
The plants will be initially integrated into the grid in simple cycle mode in 2027 before transitioning to full combined-cycle operation by the following year. Designed for future compatibility with carbon capture and storage technologies, the facilities align with Saudi Arabia’s broader sustainability ambitions.
