Abu Dhabi National Energy Company PJSC (TAQA) and JERA Co., Japan’s largest power generation company, have achieved financial close for Najim Cogeneration Company Limited, marking a significant milestone in the establishment of a new industrial cogeneration plant for steam and electricity in Jubail, Eastern Province, Saudi Arabia. The plant will provide electricity and steam to a petrochemical complex as part of the SATORP expansion. The facility will generate up to 475 megawatts (MW) of power and 452 tonnes per hour (TPH) of steam using advanced combined cycle gas-fired technology.

The project is being developed through a special purpose entity owned by TAQA (51%) and JERA (49%) under a 25-year build, own, and operate (BOO) agreement, with an option to extend for an extra five years upon mutual consent. Both TAQA and JERA will also manage the operation and maintenance (O&M) of the plant through another special purpose entity dedicated to these tasks.

The financial close follows the Power and Steam Purchase Agreement signed in March 2024 between TAQA, JERA, and Saudi Aramco Total Refining and Petrochemical Company (SATORP), a joint venture between Saudi Aramco and TotalEnergies. This agreement ensures a steady supply of power and steam for the petrochemical complex, supporting SATORP’s strategic growth in the region.

Farid Al Awlaqi, CEO of TAQA’s Generation business, highlighted the significance of this achievement: “Reaching financial close is a crucial milestone that solidifies our role as a preferred partner for large-scale utility projects. This project underscores TAQA’s commitment to growth and operational excellence, as well as our focus on expanding capabilities in both power generation and O&M. With 475 MW of power and 452 TPH of steam added to our capacity, this is our third generation project in Saudi Arabia. The advanced cogeneration plant will feature the latest J-Class gas turbine technology, developed in partnership with JERA, further strengthening our reputation as a reliable and responsible operator in the region.”

Steven Winn, Chief Global Strategist at JERA, emphasized the importance of collaboration in the project’s success: “Achieving financial close for the SATORP Strategic Expansion Cogeneration plant is a significant accomplishment for all involved. This project aligns seamlessly with our strategy to deliver efficient, sustainable, and technologically advanced energy systems that support both the Kingdom’s goals and our customer’s vision for a sustainable energy supply. The plant, utilizing advanced J-class gas turbine technology, is designed to maximize energy efficiency while minimizing environmental impact. It will play a key role in supporting SATORP’s expansion efforts, ensuring reliable and efficient power and steam generation while setting new benchmarks in operational performance and sustainability.”

This new cogeneration facility represents a strategic step forward for TAQA and JERA in their shared goal of providing cutting-edge energy solutions. By integrating advanced technology and focusing on operational excellence, the plant will support the ongoing growth and development of Saudi Arabia’s industrial sector while contributing to the region’s long-term energy sustainability.