Doosan Enerbility has won the contract for Phase 2 construction of the Jafurah cogeneration power plant in Saudi Arabia. Following the successful completion of the Phase 1 project, this subsequent order is being assessed as reinforcing Doosan Enerbility’s status as a global integrated energy company attracting worldwide attention.

Doosan Enerbility announced on the 1st that it had signed a contract with a consortium of Korea Electric Power Corporation (KEPCO) and Saudi Aramco for the “Saudi Jafurah Cogeneration Power Plant Phase 2” construction project. The contract value is approximately KRW 840 billion, and when including the Phase 1 contract, the total reaches about KRW 1.38 trillion (Phase 1: KRW 540 billion).

For Phase 1, the company signed the contract in September 2022 and began commissioning at the end of last year. Analysts noted that the Phase 1 project strictly met the scheduled timeline and budget, which had a positive impact on securing the follow-up order. The Jafurah cogeneration power plant project is a large-scale plant development for which Doosan Enerbility and KEPCO formed “Team Korea” and secured consecutive orders for both Phase 1 and Phase 2. In this project, Doosan Enerbility is responsible for EPC (engineering, procurement and construction)—covering design, supply and installation of equipment, construction, and commissioning—while KEPCO is participating as a developer, handling project development and operation.

The Jafurah Cogeneration Power Plant Phase 2 will be built near the Jafurah gas field, about 400 km east of Riyadh, the capital of Saudi Arabia. Completion is targeted for 2029. Once completed, it will produce 330 megawatts (MW) of power and 465 tons of steam per hour to supply electricity and heat (steam) to the nearby gas field. The steam turbine, a key piece of steam-related equipment, will also be supplied by Doosan, through Doosan Škoda Power, a subsidiary of Doosan Enerbility, which will manufacture and deliver the unit. Lee Hyun-ho, Head of the Plant EPC BG at Doosan Enerbility, said, “With the order for this Phase 2 project following Phase 1 in 2022, the company has proven its competitiveness,” adding, “As large-scale power generation projects in Saudi Arabia and the broader Middle East are expected to continue being tendered, Doosan will further strengthen its market penetration based on its accumulated technology and experience.”

Doosan Enerbility is rapidly establishing its position as an energy company in the spotlight in the Middle East by consecutively securing large-scale projects in Saudi Arabia. In February last year, it signed a contract worth about KRW 290 billion with Qatar Electricity & Water Company (QEWC) to supply a “peaking unit gas-fired power plant (a power plant concept providing emergency electricity that can be started up quickly to respond to time periods or situations with surging power demand).” In March, it concluded contracts for the construction of the Saudi Ruma 1 and Nairiyah 1 combined-cycle gas power plants valued at about KRW 2.2 trillion and the PP12 combined-cycle gas power plant worth about KRW 890 billion.

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