Saudi Aramco is expected to join a group led by ACWA Power in an effort to build a $1 billion solar power plant. This plant will assist Saudi Arabia in its efforts to expand its renewable energy supply.
With ACWA and partner Water & Electricity Holding Co. each expected to own a 35% stake in the Sudair solar project, Aramco is expected to take a 30% slice.
As the world’s largest oil exporter, Saudi Arabia has been slow to make its transition from fossil fuels to clean energy. In order to accelerate the gulf nation’s progress, Energy Minister Prince Abdulaziz bin Salman announced the Sudair plant in April, explaining that it will become the largest of its kind within Saudi Arabia.
In addition to the solar power plant, Aramco is also exploring several renewable energy projects alongside the Public Investment Fund, with Aramco Chief Executive Officer Amin Nasser explaining that special emphasis has been placed on hydrogen production and exports.
The 1,500-megawatt solar power plant is expected to start generating power during the later stages of 2022.
