Doosan wins $114 mn Saudi power plant equipment order

Doosan Enerbility Co. said on Monday it has bagged an order worth 150 billion won ($114 million) to supply turbines and generators for two combined cycle power plants under construction in Saudi Arabia.

The South Korean power plant builder will ship a pair of a 650-megawatt steam turbine and a generator to SEPCO3, a Chinese construction and engineering company, in charge of engineering, procurement and construction for the Saudi Arabia Taiba & Qassim Independent Power Plant (IPP) project.

The project is comprised of four power plants: the Taiba-1; Taiba-2; Qassim-1; and Qassim-2 Conventional IPPs projects.

Saudi Arabia plans to complete the four combined cycle power plants each with a 1.8-gigawatt capacity by 2027.

The supply orders Doosan clinched were for the Tailba-1 and Qassim-1 plants, which a consortium of Saudi Electricity Company and ACWA Power manages.

The Taiba-1 plant will be located about 200 kilometers from Jeddah, a port city in Makkah Province, Saudi Arabia. The Qassim power facility will be built about 200 km northwest of Riyadh, the capital of Saudi Arabia.

Doosan Enerbility set its sights on the power plant market in the Middle East, which is expected to build new power plants with a combined capacity of 15GW over the next five years.

It produces gas and steam turbines and generators for use in gas-fired power plants.

The supply contract news drove the shares of Doosan Enerbility to their highest point in more than five months of 17,270 won on Monday.

By Tuesday afternoon, its shares were traded at 16,730 won after closing 5.42% higher at 16,720 won on Monday.

Write to Sang-Hoon Sung at uphoon@hankyung.com
 

Yeonhee Kim edited this article