meed-logo

line1 line2 line3
SIGN IN / REGISTER

Rolls-Royce charts net-zero path

26 October 2023

UK-headquartered Rolls-Royce aims to achieve net zero carbon emissions from its operations and facilities, excluding product testing and development, by 2030.

This entails building energy-efficient facilities and a significant reduction in energy consumption and waste sent to landfills.

Meeting its long-term sustainable target will inevitably require facilitating its customers – which range from aircraft and transport operators to utilities – meet theirs.

“We have a long history of bringing to market ever more efficient technologies in aviation, transport and mobility and nuclear power generation,” says John Kelly, Rolls-Royce’s president for the Middle East, Turkiye and Africa (Meta) region. “These sectors being hard-to-abate or decarbonise does not stop us [from pursuing energy efficient solutions].”

Sustainable jet fuel

The company recognises that the adoption of sustainable aviation fuel (saf) and other synthetic fuels produced in a non-carbon-generative process, among other technologies, will play a key role in decarbonising the aviation sector.

Kelly says Rolls-Royce continues to work on and invest in more efficient gas turbine jet engines, such as the UltraFan, a demonstrator aero engine that is designed to burn 25 per cent less fuel compared to the first generation of its Trent jet engine.

UltraFan can be used for narrowbody and widebody aircraft that may be developed from the 2030s. It will also be ready to run on saf from day one of service.

“Regulations and enabling factors are key to reducing the carbon footprint of jet engines,” says Kelly.

Related read: Emirates and Shell Aviation sign sustainable fuel deal

It is understood that Rolls-Royce's ongoing research and tests drawn from initiatives such as its UltraFan programme will also contribute towards improving the efficiency of aircraft fleets and operators.

“We do not produce saf, but we work with partners and regulators and fuel offtakers to look for ways to improve its commercial viability.

“We have tested commercial and business aircraft limit of 50 per cent saf, and established that we can operate a flight safely using 50 per cent saf.  We are also pushing to get to 100 per cent, which should lead to increased offtake of saf in future,” says Kelly.

The key issues today for saf, as well as other synthetic fuels, include price point, availability and competitiveness compared to conventional jet fuel.

“The key is to scale up not just saf but other synthetic fuels from manufactured chemicals, or fuels that are produced in a non-carbon-generative way," the executive explains. "This requires regulations and government incentives in line with net-zero targets. It also requires ongoing dialogues, as this obviously has a political angle."

Kelly says events like the upcoming Cop28 climate summit and the airshow in Dubai can foster an environment that allows these dialogues and conversations to advance.

Hydrogen fuel

Beyond retrofits and the development of energy-efficient jet engines, Rolls-Royce is also looking at other alternative technologies, such as hydrogen both as a direct fuel source for aircraft as well as for the electrification of transport.

“We have conducted ground tests on engines using hydrogen as a direct fuel source with excellent results. Electrification in airport shuttles and mobility also offers opportunities, leading to shorter commute time or minimising traffic and reducing or eliminating fossil fuel requirement,” explains Kelly.

Air taxis are another area of opportunity, with air taxi engines being tested today.

Kelly reiterates the need for ongoing dialogues with the region’s sovereign wealth funds and regulators, among others, about how existing products across its business can be improved.

“Technology is a route to decarbonise. We have a range of solutions that will be available at different times as we get to net-zero… these solutions offer potential incremental benefits to users and customers.”

New nuclear

Small modular reactors (SMR), or the so-called 'new nuclear', is another non-carbon power resource that Rolls-Royce has up its sleeve.

“We have products that can produce 470MW of electricity, which is another option for a non-carbon power source,” says Kelly. 

“On one hand, we try to help enable synthetic fuels for aviation, on the other we also have SMR that helps enable synthetic fuels or enable utility companies and electricity grids to produce non-carbon power.”

While Rolls-Royce supports the development of wind and solar energy, both require tremendous amounts of cement and steel and using SMRs can help alleviate the carbon intensity of these materials and technologies.

“SMRs help scale up synthetic fuel production in a non-carbon-generative way,” says Kelly.

With at least two to three jurisdictions in the Middle East and North Africa region looking at SMRs, Kelly confirms ongoing discussions with those countries.

Related read: Small reactors top nuclear agenda

The confluence of significant growth and the drive to achieve long-term economic programmes such as Saudi Vision 2030, which in turn places a strong focus on manufacturing and development, means Rolls-Royce is on hand to explore partnerships and potential local production for relevant products or technologies.

“We are here to partner…  the Rolls-Royce vision is to enable local development and to be able to manufacture globally and foster a global supply chain,” he concludes.

Photos: Rolls-Royce

https://image.digitalinsightresearch.in/uploads/NewsArticle/11241190/main4813.jpg
Jennifer Aguinaldo

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Seven bid for Bahrain highway upgrade

    21 September 2026

    Register for MEED’s 14-day trial access 

    Seven contractors have submitted bids for the next phase of the Sheikh Jaber Al-Ahmed Al-Sabah Highway upgrade project.

    According to results published by the Bahrain Tender Board, the firms that have submitted bids include:

    • Nass Contracting Company
    • Haji Hassan Group
    • Almoayyed Contracting Group
    • Mohammed Abdulmohsen Al-Kharafi & Sons
    • Eastern Asphalt & Concrete Production
    • Cebarco Bahrain
    • Kingdom Asphalt

    The contract scope includes expansion works on 2 kilometres of the highway. It consists of a four-lane dual carriageway with service roads on both sides.

    The scope of works also includes excavation and backfill work, construction of stormwater drainage networks, a pumping station, installation of ducts for future utilities, upgraded street lighting, traffic signs and directional signage.

    The project aims to improve traffic capacity, reduce congestion and enhance safety along the transport corridor linking Manama with industrial zones.

    In April, MEED reported that Bahrain had approved a financing agreement framework to fund the construction of the next phase of the Sheikh Jaber Al-Ahmed Al-Sabah Highway upgrade.

    In March last year, the Kuwait Fund for Arab Economic Development and the Bahraini government signed a KD10m ($32.4m) loan agreement to fund the second phase of the project, which is expected to cost about $404m.

    This was followed in September 2025 by the appointment of US-based Parsons Corporation on a $1.5m contract to provide pre-contract engineering consultancy services for the project.

    According to data from regional project tracker MEED Projects, construction of the first phase was completed in 2020.

    A joint venture of local firm Nass Contracting and Kuwait’s KCC Engineering & Contracting undertook the main construction works.

    READ THE SEPTEMBER 2026 MEED BUSINESS REVIEW – click here to view PDF

    Nuclear power ambitions gather pace; Kuwait keeps dealmaking alive despite war; Region invests in raising gas processing capacity.

    Distributed to senior decision-makers in the region and around the world, the September 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/19847073/main.png
    Yasir Iqbal
  • Oman reveals Sohar airport and Salalah Thumrait Road plans

    21 September 2026

    Oman is planning a new passenger terminal at Sohar Airport to expand regional air connectivity and strengthen the airport’s role in the national aviation network.

    According to Said Bin Hamoud Al-Maawali, Oman’s minister of transport, communications and information technology, new routes are expected to be announced before the end of the year. Potential destinations include Dammam in Saudi Arabia, Gwadar in Pakistan, and southern Iran.

    The planned terminal and additional routes will give residents of northern Oman more travel options.

    Al-Maawali also provided an update on the long-delayed Salalah-Thumrait truck road, saying the project will be procured through a conventional tendering model rather than a public-private partnership (PPP).

    In August 2023, Oman shortlisted five of eight prequalified teams to compete for the Salalah-Thumrait truck road project, which was set to be the sultanate’s first PPP road project.

    The 67-kilometre road project is specially designed for heavy vehicles. 

    The road is a key link in Dhofar’s transport network, connecting Thumrait with Salalah and supporting movement between the interior and the governorate’s main urban and economic centre.

    READ THE SEPTEMBER 2026 MEED BUSINESS REVIEW – click here to view PDF

    Nuclear power ambitions gather pace; Kuwait keeps dealmaking alive despite war; Region invests in raising gas processing capacity.

    Distributed to senior decision-makers in the region and around the world, the September 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/19794881/main.jpg
    Yasir Iqbal
  • ADES completes acquisition of Saipem’s Saudi drilling business

    18 September 2026

    Register for MEED’s 14-day trial access 

    Al-Khobar-based ADES Holding Company has completed a transaction to acquire Italian oil and gas contractor Saipem’s shallow-water drilling subsidiary based in Saudi Arabia.

    Under the deal, ADES Saudi, an indirect subsidiary of Saudi Stock Exchange (Tadawul)-listed ADES Holding, will acquire Saudi Arabian Saipem, which operates a fleet of five jack-up rigs.

    The fleet includes three owned rigs – Perro Negro 7, Perro Negro 8 and Perro Negro 10 – as well as two leased rigs, Perro Negro 11 and Perro Negro 13. Four of the acquired rigs operate in Saudi Arabia, while Perro Negro 10 operates in Mexico under a charter structure and retains a valid contract in Saudi Arabia.

    ADES began the transaction to acquire Saudi Arabian Saipem in June, when it was estimated to be valued at about $285m. The deal was structured on a debt-free, cash-free basis, which was to be settled entirely in cash upon closing.

    Following completion, ADES operates a fleet of 128 units, comprising 88 offshore units – including 51 premium units – and 40 onshore rigs.

    The transaction also marks ADES’ entry into Mexico, extending the company’s international footprint to 21 countries, and adds approximately SR3.7bn ($992.9m) in backlog as of the completion date.

    The purchase of Saudi Arabian Saipem by ADES Holding follows the company’s takeover of Dubai-based, Oslo-listed Shelf Drilling in November last year, in a transaction valued at $379m. Following the completion of the cash merger, Shelf Drilling was wholly delisted from the Oslo Stock Exchange.

    The combined Shelf Drilling-ADES entity has been operating as a global player in shallow-water drilling in the world’s most prolific basins, with a fleet of 83 offshore jack-ups, including 46 premium jack-ups and 40 onshore rigs. The acquisition expanded ADES Holding’ global footprint from 13 to 19 countries, allowing entry and deeper operational integration into Southeast Asia, India, West Africa, the North Sea and the broader Mediterranean.

    Saudi Arabian Saipem generated revenues of SR636m ($170m) in 2025, highlighting the scale of the business being transferred.

    The divestment aligns with Saipem’s broader industrial strategy of reducing exposure to mature shallow-water drilling markets and concentrating resources on deepwater and harsh-environment offshore projects, where technical complexity and barriers to entry are generally higher.

    These segments have attracted growing investment in recent years as operators pursue offshore developments in regions such as the North Sea, Brazil, West Africa and the US Gulf of Mexico.

    For ADES, the acquisition further expands its presence in the Middle East offshore drilling market, particularly in Saudi Arabia, one of the world’s largest offshore jack-up rig markets, driven by activity from Saudi Aramco.

    Saipem previously said proceeds from the transaction will be used in accordance with the objectives outlined in its industrial plan. The Milan-listed company was advised on the transaction by Moelis & Company as financial adviser and Clifford Chance, together with AS&H Clifford Chance, as legal counsel.

    READ THE SEPTEMBER 2026 MEED BUSINESS REVIEW – click here to view PDF

    Nuclear power ambitions gather pace; Kuwait keeps dealmaking alive despite war; Region invests in raising gas processing capacity.

    Distributed to senior decision-makers in the region and around the world, the September 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/19795697/main5616.jpg
    Indrajit Sen
  • SAR tenders design review consultancy for GCC rail link

    18 September 2026

     

    Register for MEED’s 14-day trial access 

    Saudi Arabia Railways (SAR) has issued a request for proposals (RFP) for a design management and review consultant to oversee engineering works on the GCC railway network, the latest step in advancing the long-delayed regional rail link.

    The RFP was issued on 9 September, with a submission deadline of 18 October.

    The tender seeks a consultant to manage, audit and verify deliverables produced by SAR's separately appointed design services consultant, rather than carry out the design itself. The tendering for the design services consultancy is currently in progress.

    Construction will be tendered separately through competitive bidding once designs are approved.

    The GCC railway will run for about 672 kilometres (km) inside Saudi Arabia, linking the kingdom's existing network to Kuwait, Qatar, the UAE and Bahrain, with four sections of about 141km, 200km, 151km and 21km, respectively.

    The line is planned as a single-track, non-electrified corridor for mixed freight and passenger traffic, with a maximum axle load of 32.4 tonnes and passing loops for bidirectional working.

    The appointed consultant will develop a design management and review plan covering governance, interdisciplinary coordination and stage-gate approvals, and will issue formal review and audit reports against SAR's requirements and international standards.

    The scope also covers stakeholder engagement, interface management and oversight of land acquisition activity tied to the design consultant's land acquisition plan.

    Key design stages are expected to take about 16 months: four months for concept design, six for preliminary design and six for issued-for-construction design, each with four weeks of contingency.

    SAR has asked bidders to mobilise a core team from day one. These must include a project director, engineering and design manager, stakeholder manager and lead document controller, all based at SAR's offices, with minimum experience thresholds ranging from three years for junior operators up to 25 years, including 15 in rail, for the project director role.

    GCC railway line

    Under the overall plan, the railway will run from Kuwait, pass through Dammam in Saudi Arabia, reach Bahrain via a planned causeway, and continue from Dammam to Qatar, the UAE and, ultimately, Muscat via Sohar in Oman. The railway is reported to cover about 2,186km in total.

    The route length within each member state is as follows:

    • UAE – 684km
    • Saudi Arabia – 672km
    • Oman – 306km
    • Qatar – 283km
    • Kuwait – 145km
    • Bahrain – 36km

    The railway is designed for passenger trains travelling at 220 kilometres an hour (km/h) and freight trains operating at 80km/h–120km/h.

    With high levels of project activity, governments in spending mode and renewed cooperation under the Al-Ula Declaration, the latest efforts to restart the GCC railway project may make more progress than previous attempts. If completed, the railway could prove transformational for a region that is globally connected but still divided by national borders.

    READ THE SEPTEMBER 2026 MEED BUSINESS REVIEW – click here to view PDF

    Nuclear power ambitions gather pace; Kuwait keeps dealmaking alive despite war; Region invests in raising gas processing capacity.

    Distributed to senior decision-makers in the region and around the world, the September 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/19783331/main.gif
    Yasir Iqbal
  • Tender issued for Libyan gas project

    17 September 2026

    An invitation to bid has been issued for a contract to conduct environmental assessments for the project to expand the Mellitah oil and gas complex in Libya.

    The bid submission deadline is 2pm today (17 September) Libyan time.

    The scope of the project includes provision of:

    • An environmental baseline study (EBS)
    • An environmental impact assessment (EIA)
    • An environmental management plan (EMP)

    The client is Mellitah Oil & Gas (MOG), which is a joint venture of Italy’s Eni and Libya’s National Oil Corporation (NOC).

    MOG is based in Tripoli and operates both onshore and offshore oil and gas facilities.

    The joint venture owns and operates six major oil and gas fields across the North African country.

    According to the tender documents, the company that is awarded the contract will need to prepare environmental management measures in compliance with:

    • Libyan environmental legislation
    • Ministry of Environment requirements
    • NOC environmental guidelines
    • Applicable international environmental standards and best practices

    The expansion of the Mellitah oil and gas complex is part of a project estimated to be worth $8bn.

    The wider project is known as the Mellitah Complex Expansion & CO2 Management Integrated Development Project.

    It has six main packages:

    • Onshore package
    • Offshore Structure A
    • Offshore Structure E
    • Subsea pipeline package
    • Site preparation work
    • Carbon capture and storage facility

    Security issues and political instability have been a major problem for Libya’s oil and gas sector since the country’s civil war started in 2011.

    Earlier this month, the Mellitah oil and gas complex was forced to shut down temporarily due to a protest over deteriorating public services.

    The existing onshore complex includes housing, processing units, storage facilities and export facilities.

    It also serves as the launch point for the Greenstream pipeline, which delivers Libyan gas directly to Italy.

    The planned expansion of the complex will involve:

    • Construction of a new fourth gas processing train
    • Construction of a third condensate train
    • Construction of a third natural gas liquids fractionation train
    • Construction of a fourth sulphur recovery unit train
    • Installation of a hydrogen sulphide enrichment unit
    • Installation of a sulphur recovery unit
    • Construction of other associated facilities

    The Mellitah complex is located about 100 kilometres west of Tripoli and is a key energy facility in the west of the country.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/19748920/main.png
    Wil Crisp