Meed | GE Vernova signs 3.8GW Saudi plant deal

GE Vernova signs 3.8GW Saudi plant deal

24 June 2024

US-headquartered GE Vernova has secured an order for six 7HA.03 gas turbines and two 7E.03 gas turbines for two upcoming power plants in Saudi Arabia with a total combined capacity of 3,800MW.

The firm said on 24 June that it had secured the order from China’s Sepco 3, the engineering, procurement and construction (EPC) company for the Taiba 1 and Qassim 1 independent power producer (IPP) projects.

According to GE, this equipment order was booked in March 2024 and reflected in the company’s first-quarter earnings announcement.

In addition to the equipment order, GE Vernova has signed a 21-year service agreement to support plant operations with Riyadh-headquartered Acwa Power’s wholly-owned subsidiary, National Operations & Maintenance Company (Nomac).

GE Vernova said the two power plants are expected to be completed in 2027.

Taiba 1 is located in the western region of Saudi Arabia, around 100 kilometres (km) southeast of Medina, and Qassim 1 is located in the central region, about 30km southeast of Buraydah.

The plants “are expected to be among the most efficient power plants in the kingdom and can be configured with post-combustion carbon capture systems to significantly reduce carbon dioxide emissions”, the US firm said.

It added that the 7HA.03 gas turbines have the capability “to burn up to 50% by volume of hydrogen when blended with natural gas”.

A team of Saudi Electricity Company and Acwa Power won the contract to develop and operate the Taiba 1 and Qassim 1 combined-cycle gas turbine plant projects last year.

The developer team subsequently appointed Sepco 3 as the project’s EPC contractor.

In March, Sepco 3 awarded South Korea’s Doosan Enerbility a contract to supply steam turbines and generators for the two plants.

Valued at an estimated $114m, the contract awarded to Doosan Enerbility entails the supply of two 650MW steam turbines and generators for the power plants.

Photo: GE Vernova

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Jennifer Aguinaldo