Saudi Arabia’s ACWA Power, Saudi Electricity Company (SEC) and Korea Electric Power Corporation (KEPCO) have signed financing agreements worth SAR 12.8 billion ($3.4 billion) to develop two major gas-fired power projects with a combined capacity of 3.6 gigawatts.
The projects, Rumah 1 in Riyadh Province and Nairyah 1 in the Eastern Province, will each have an installed capacity of 1,800 MW and will be built as combined-cycle gas turbine (CCGT) plants. They form part of the kingdom’s plan to secure reliable power supply, boost local content and support its Vision 2030 energy transition strategy.
Saudi Power Procurement Company (SPPC) will act as the principal buyer for both projects. Ownership is split between ACWA Power (35%), SEC (35%) and KEPCO (30%).
Financing was arranged with a consortium of local, regional and international lenders, including the Export Import Bank of Korea (KEXIM), Saudi National Bank, Saudi Investment Bank, Banque Saudi Fransi, Standard Chartered Bank, Bank of China, Agricultural Bank of China, Industrial and Commercial Bank of China, and Arab Petroleum Investments Corporation.
ACWA Power Chief Investment Officer Thomas Brostrom said the financial close underscored investor confidence in the projects and their alignment with global sustainability goals.
SEC’s Manish Manchandya, Executive Vice President for Strategic Planning, said the deals reflect the kingdom’s “credibility in attracting strategic investments” and will help deliver “reliable, efficient and environmentally responsible power.”
Both plants are designed for future carbon capture integration, supporting Saudi Arabia’s target of achieving net-zero emissions by 2060 and ACWA Power’s 2050 goal.
