Siemens Energy implements a $1.6 billion project in Saudi Arabia

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AK&M 07 November 2026 13:49

Siemens Energy AG, a German manufacturer of energy equipment, together with China's Harbin Electric International Corp. as a contractor, we received a grant for the implementation of the project in Saudi Arabia. This is reported in a press release from Siemens Energy.

The $1.6 billion project aims to provide key technologies for the Saudi Rumah 2 and Nairyah 2 gas-fired power plants and includes long-term maintenance agreements with Harbin Electric to maintain the operational reliability of the power plants over the next 25 years.

Key components for the power plants will be manufactured at the Siemens Energy plant in Dammam, Saudi Arabia, which is currently being expanded to increase production capacity and support the country's energy sector.

Under the agreement, Siemens Energy will supply six SGT6-9000HL gas turbines, four SST6-5000 steam turbines, eight SGen6-3000W generators, two SGen6-2000P generators and related auxiliary equipment, each of which will generate about 1.8 GW of electricity.

The agreement aims to strengthen Siemens Energy's position in the market of independent electricity producers in Saudi Arabia, in addition to the Taiba 2 and Qassim 2 projects, which together produce 4 GW of electricity for the national grid.

The Rumah 2 and Nairyah 2 power plants will initially be integrated into the power grid in a simple cycle in 2027, and in 2028 they will switch to full-fledged operation as combined cycle power plants and replace obsolete fuel oil power plants, reducing CO2 emissions by up to 60% compared to traditional oil-fired power plants. In addition, the power plants are being designed to be compatible with advanced CO2 capture and storage technologies as part of Saudi Arabia's long-term emissions reduction program.

Siemens Energy is a German company manufacturing equipment for the energy sector. The company was established in 2020 as part of the separation from the Siemens group into an independent company. At the same time, Siemens retains 35% of the company's shares. The headquarters is located in Munich (Germany).

Harbin Electric International is a Chinese state—owned power equipment manufacturing company. The headquarters and main production facilities are located in Harbin (China).