Saudi Electricity Company reaches financial close on Taiba 1, Qassim 1 CCGT power plans. Plus: oil and gas, tourism and manufacturing

DEBT WATCH-

The Saudi Electricity Company (SEC) reached financial close for two of its 1.8 GW combined cycle power plants, Taiba 1 and Qassim 1, with financing agreements worth SAR 11.4 bn (USD 3 bn), state news agency SPA reported yesterday. The financing agreements were signed between a consortium between SEC and Acwa Power and Sidra One for Electricity Company and Qudra One for Electricity Company. They signed last year power purchase agreements worth SAR 14.6 bn for the two power stations.

OIL & GAS-

Tadawul-listed oil and gas drilling company Ades Holding was awarded a SAR 161 mn jack-up drilling project in the Gulf of Suez, it said in a statement (pdf). The 21-month contract was awarded by Egypt’s state-owned Suez Oil Company, with operations scheduled to start in the coming weeks. New awards in Egypt, Qatar and Thailand bring redeployments of suspended rigs in the Kingdom to three out of five jackups, Ades said.

TOURISM-

PIF subsidiary Dan will break ground on its first project in Al Ahsa this year, CEO Abdulrahman Abaalkhail told Argaam yesterday, without providing further details on the project. Dan is also looking to unveil its first franchise project next year, Abaalkhail said. Al Ahsa is home to UNESCO-listed World Heritage Site Al Ahsa Oasis, the largest oasis in the world. The PIF unit launched in December to promote agritourism and ecotourism across the Kingdom. It is expected to contribute SAR 6 bn (c. USD 1.6 bn) to non-oil GDP by 2030.

Background: Dan tapped Global hotel operator Hilton in March to run three resorts in Al Ahsa. Hilton will manage Al Ahsa Agritourism Resort under its LXR Hotels and Resorts brand and the Al Ahsa Eco Resort and Al Ahsa Adventure Resort under the Curio Collection by Hilton.

DIGITIZATION-

Digital cooperation + research talks with Japan: Communications and IT Minister Abdullah Alswaha discussed digital cooperation with his Japanese counterpart, Digital Transformation Minister, Taro Kono, during a meeting held in Jeddah, according to state news agency SPA. The talks also touched upon the localization of research and development centers in the Kingdom.

MANUFACTURING-

East Pipes will manufacture and supply steel pipes to local contractor Maramer under a SAR 60 mn contract, it said in a disclosure to Tadawul yesterday.