Germanys Siemens has been awarded two contracts by the Saudi Electricity Company (SEC) to build and install electrical components at several substations throughout the kingdom.
The German firm will install static var compensators (SVCs) at substations at the Medina East, Hail 2 and Al-Jouf 2 substations.
In addition to providing the SVCs, Siemens will provide and install transformers, switchgears and electro-mechanical work within two years.
The contracts are the latest in a series of transmission and distribution (T&D) deals awarded by SEC in 2014. The utility awarded $3.4bn-worth of T&D contracts in the first half of the year.
This was 27 per cent higher than the $2.5bn-worth of T&D deals awarded for the whole of 2013, which shows that SEC has stepped up efforts to expand and upgrade the countrys T&D networks to deal with population and industrial growth.
In June, Germanys Siemens was awarded a $123m contract to install dynamic reactive power compensation (DRPC) equipment at substations in Hail and Al-Jouf, and the local Al-Toukhi Company was awarded a $121m contract to install a 380kV substation at Al-Jilah.