Saudi Electricity signs SAR 2.5 bln power plant deal with Entek

Saudi Electricity Co. (SEC) has signed a SAR 2.5 billion contract with a consortium comprising of Spain's Entek Energy and Saudi Services For Electro Mechanic Works Co. (SSEM) to set up an environment friendly power plant project in Dhaba, Tabuk, the state-run news agency, SPA, reported, citing chairman Saleh Bin Hussein Al-Awajji.

The plant is expected to kick-start operations in 2018, with a potential production capacity of 605 MW, including 43 MW of solar energy.

The integrated solar combined cycle plant will also save around 3-4 Mmboe (million barrels of oil equivalent) and will also eliminate carbon dioxide emissions by 40-50,000 tons per year.

The contract will also include a high-voltage converter station which will enhance transmission between Tabuk and Medina.