Siemens Energy secures $1.6bln project to advance Saudi Arabia's energy transition with new power plants

Zawya

12-03-2025

Dammam: Siemens Energy has been awarded a USD 1.6 billion project, with Harbin Electric International as the EPC contractor, to provide key technologies for the Rumah 2 and Nairyah 2 gas-fired power plants in Saudi Arabia. Located in the western and central regions, the plants will add 3.6 gigawatts of power to the national grid – enough to supply around 1.5 million homes. The project includes long-term maintenance agreements to support the plants' operational reliability over the next 25 years.
Core components for the power plants will be manufactured at the Siemens Energy Dammam Hub, which is currently expanding to increase local production capacity and support Saudi Arabia's energy sector.
Rumah 2 and Nairyah 2 will rank among the world's largest combined-cycle power plants. They will replace aging oil-fired stations, reducing CO2 emissions by up to 60% compared to traditional oil-based power generation. Additionally, the plants are being designed to be compatible with advanced CO2 capture and storage technologies, supporting Saudi Arabia's long-term emissions reduction goals.
"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. 'By manufacturing critical components at our Siemens Energy Dammam Hub, this project further strengthens local production capabilities and builds expertise within the Kingdom, contributing to a more resilient energy sector,' he added.
Siemens Energy will supply six SGT6-9000HL gas turbines, four SST6-5000 steam turbines, eight SGen6-3000W generators, two SGen6-2000P generators, and associated auxiliary equipment, with each site generating approximately 1.8 gigawatts of electricity.
This order further strengthens Siemens Energy's established presence in Saudi Arabia's Independent Power Producer (IPP) market, solidifying its role in delivering a significant share of Saudi Arabia's modern power generation. Building on the success of previous projects like Taiba 2 and Qassim 2 – which together add 4 gigawatts to the national grid – Siemens Energy continues to drive local manufacturing expansion and infrastructure modernization, playing a key role in the country's energy sector.
Rumah 2 and Nairyah 2 will initially be integrated into the grid in simple cycle mode in 2027, transitioning to full operation as combined-cycle power plants by the following year.
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Siemens Energy is one of the world's leading energy technology companies. The company works with its customers and partners on energy systems for the future, thus supporting the transition to a more sustainable world. With its portfolio of products, solutions and services, Siemens Energy covers almost the entire energy value chain – from power and heat generation and transmission to storage. The portfolio includes conventional and renewable energy technology, such as gas and steam turbines, hybrid power plants operated with hydrogen, and power generators and transformers.
Its wind power subsidiary Siemens Gamesa makes Siemens Energy a global market leader for renewable energies. An estimated one-sixth of the electricity generated worldwide is based on technologies from Siemens Energy. Siemens Energy employs around 100,000 people worldwide in more than 90 countries and generated revenue of €34.5 billion in fiscal year 2024. www.siemens-energy.com