A consortium led by Egypt’s Elsewedy Electric and China’s Sinohydro has won a $2.2 billion contract to expand Saudi Arabia’s Rabigh 2 independent power plant. The project will add 2.3 gigawatts of electricity generation capacity. Construction is expected to begin soon, with operations set to start in May 2029.
The deal is part of Saudi Arabia’s broader strategy to increase its power generation capacity and shift toward a more efficient energy mix. The project includes engineering, procurement, and construction activities. It highlights growing international collaboration in the kingdom’s energy sector.
The Rabigh 2 expansion follows recent investments in Saudi Arabia’s power infrastructure. The country has been focusing on diversifying its energy sources and improving grid reliability. The project also aligns with regional efforts to support energy security in the Middle East.
The contract underscores the role of foreign firms in Saudi Arabia’s economic development plans. Elsewedy Electric and Sinohydro bring expertise in large-scale power projects. The deal reflects the kingdom’s openness to international partnerships in key infrastructure sectors.
The expansion is expected to contribute significantly to Saudi Arabia’s energy output. It also supports the country’s long-term vision for sustainable development and energy diversification. The project will be a key component of the national energy strategy.
