Saudi Arabia’s Tihama Power Generation Company is set to close around $400m financing for the extension of three captive power and steam plants.

The plants, which provide steam and power for Saudi Aramco, will provide an additional 500MW of power. Financing for the expansion is being provided by a group of local banks. The deal is set to close by mid-April.

In addition to the Tihama expansion, Saudi Aramco is planning three new steam and power plants. The UK’s HSBC is acting as financial adviser on the projects.

Saudi Aramco is developing the projects to use the steam during oil recovery.