South Korea’s Doosan Enerbility has signed a $100 million contract with Saudi utility Marafiq to convert the Yanbu 2 power station from oil to natural gas, as the Gulf kingdom ramps up efforts to cut emissions and modernise its energy infrastructure.
The deal with Marafiq—formally the Power and Water Utility Company for Jubail and Yanbu—will see Doosan provide core systems including combustion technology and a Distributed Control System (DCS), as well as handle commissioning of the upgraded plant, the company said on Tuesday.
The fuel switch, scheduled for completion by 2028, is expected to reduce the plant’s carbon emissions by around 25%, while maintaining its current capacity of 1,375 megawatts. The plant, located within the Yanbu Industrial Complex, roughly 350 km north of Jeddah, was originally commissioned in 2013, with Doosan supplying major equipment including boilers and turbines.
Son Seung-woo, head of Doosan’s Power Services Business Group, described the project as “an economical low-carbon energy solution” that optimally reuses existing infrastructure with minimal operational disruption.
The contract comes as Saudi Arabia accelerates its push toward cleaner power generation. According to industry projections, the country is expected to tender around 1.4 GW of fuel conversion projects annually through 2027.
Doosan is also pursuing similar projects in Chile and Vietnam, aiming to expand its footprint in the global energy transition.
