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Sun 16 Oct 2011 07:15 PM

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Saudi Electricity Co inks $1.44bn power plant deal

Utility giant says contract will see 1,200MW expansion in Riyadh to meet rising demand

Saudi Electricity Co inks $1.44bn power plant deal

Saudi Electricity Co has signed a SR5.4bn ($1.44bn) contract for an unnamed Saudi company to build 1,200 megawatts (MW) of power generation capacity at a plant in the Saudi capital, the state-controlled utility said on Sunday.

The PP10 combined cycle plant power plant in Riyadh currently has a generation capacity of 2,240 MW. The contractor will add 10 steam turbines which should be in operation in 46 months, SEC said in a statement without naming the company.

Saudi Arabian Bemco Contracting Co (Bemco) submitted the lowest bid of $1.43bn for the expansion project.

Saudi Electricity has an $80bn investment plan to increase its power generation capacity by 30,000 MW by 2018 to meet power demand which is growing at around 8 percent each year.

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