# Elsewedy Electric PSP and Sinohydro sign $2.2bn EPC contract for Saudi Arabia’s Rabigh 2 IPP expansion

> The joint venture takes full EPC responsibility for the 2.3 GW combined-cycle plant, which is already above 39% progress under a limited notice to proceed.

- Topic: Contract award
- Event date: 2026-10-13
- First published on EPC Feed: 2026-10-24T06:44:58.097Z
- Updated: 2026-10-24T06:44:58.097Z
- Value: USD 2,200,000,000 (Described as approximately USD 2.2 billion.)
- Companies: Elsewedy Electric, Sinohydro, Al Mourjan Two for Electricity Company, Acwa
- Countries: Saudi Arabia
- Page: https://epcfeed.com/news/elsewedy-sinohydro-sign-rabigh-2-ipp-expansion-epc-contract


## Key facts

- Developer: Al Mourjan Two for Electricity Company
- EPC contractor: Joint venture of Elsewedy Electric PSP and Sinohydro
- Capacity: 2.3 GW gas-fired combined cycle
- Value: approximately USD 2.2 billion
- Progress: above 39% (limited notice to proceed)
- Commercial operation: targeted for May 2029

The joint venture of Elsewedy Electric PSP and Sinohydro has signed the engineering, procurement and construction (EPC) contract for the Rabigh 2 Independent Power Plant Expansion in Saudi Arabia, with a value of approximately USD 2.2 billion, according to a press release published on 13 October 2026. The contract was awarded by the developer, Al Mourjan Two for Electricity Company.

The joint venture is responsible for the full design, engineering, procurement, erection, construction, commissioning and performance testing of the 2.3 GW gas-fired combined-cycle plant, together with the civil works and the interconnection with the national grid.

## Configuration

The release describes an SGT6-5000F 2×(3×3×1) configuration: six Siemens SGT6-5000F gas turbines and two Siemens SST-5000 steam turbines, six heat recovery steam generators, a cooling tower, and a bypass stack with diverter damper that allows simple-cycle operation.

## Progress and schedule

Work had already started under a previously issued limited notice to proceed. The release reports overall progress above 39% and more than five million safe man-hours. Commercial operation is targeted for May 2029.

> Signing this EPC contract is a proud moment for our joint venture and a reflection of the trust our client has placed in our ability to deliver complex power infrastructure safely and to the highest international standards.
>
> Hesham Hegazy, Chief Executive Officer, Elsewedy Electric PSP, in the press release

The release describes Sinohydro as a subsidiary of Power Construction Corporation of China (POWERCHINA). The Acwa chief executive, Dr. Samir J Serhan, is quoted on Acwa’s role in bringing development and operational expertise to the project.

## Sources

1. [The JV of Elsewedy Electric PSP and Sinohydro signs EPC contract for Rabigh 2 IPP expansion project (company press release)](https://www.zawya.com/en/press-release/companies-news/the-jv-of-elsewedy-electric-psp-and-sinohydro-signs-epc-contract-for-rabigh-2-ipp-expansion-project-1628534). Company release, Elsewedy Electric (via Zawya press release service), Published 2026-10-13, Read 2026-10-23.