Saudi renewables developer ACWA Power is to build a 2060MW solar plant in the country.
In partnership with Water and Electricity Holding Company (Badeel), the project is expected to be the largest facility of its kind in the Middle East to date.
The project is expected to achieve commercial operation by Q4 2025.
The project will be jointly owned by Badeel and ACWA Power with each company holding a 50% equity stake through the establishment of the JV Shuaibah Two Electrical Energy Company.
The the Saudi Power Procurement Company (SPPC) will offtake the energy generated at the solar site.
ACWA Power chairman Mohammad Abunayyan said: “Under the guidance of our visionary leadership and the Ministry of Energy, Saudi Arabia continues to accelerate its ambitious plans for diversifying its energy mix to include renewable energy.
“It is a great honour to partner with Badeel and SPPC in developing this milestone project which will set a benchmark for sustainable energy development in the region.
“Solar power is a key component in unlocking positive economic, environmental and social outcomes for the betterment of communities across our great nation.
“We remain committed to developing local capabilities in technology, supply chain, and talent and ensure they are realised to their fullest potential.”
Shuaibah 2 is ACWA Power’s sixth solar energy facility in Saudi Arabia.