Saudi Electricity Company (SEC) has announced the signing of an Energy Conversion Agreement (ECA) with the Saudi Power Procurement Company (Principal Buyer) for the purchase of energy produced from the SAR5.33 billion ($1.4 billion) Rabigh 1 Expansion Power Plant.
The Rabigh 1 Expansion Project is a large-scale Combined Cycle Gas Turbine (CCGT) power plant with readiness to integrate a carbon capture unit, aligning with the Kingdom’s long-term sustainability and emissions reduction goals.
Located in the Western Province of Saudi Arabia, the project will have a total production capacity of 1,179MW, contributing substantially to meeting growing electricity demand in the region.
The project scope includes the development, financing, construction, ownership, and operation of the gas-fired combined cycle power plant, said the statement from SEC.
The ECA was signed between SPPC and SEC on behalf of the project company, in which SEC holds an effective 100% shareholding.
According to Saudi Electricity Company, the project will be implemented under a 25-year agreement starting from the commercial operation date. The financial impact of the operation is expected to be reflected from Q2 2027 onwards, it added.
