MHPS announces National Program for Saudi Arabia with a new manufacturing facility at its core

･ The commitment includes producing the industry's Leading Edge Digitally Embedded Power Generation Technology in the Kingdom

Dammam, Kingdom of Saudi Arabia, 25 April, 2019 - MHPS Saudi Arabia, Co., a subsidiary of Mitsubishi Hitachi Power Systems, Ltd. (MHPS), today announced the launch of the MHPS National Program for Saudi Arabia, heralding a pivotal moment for both the energy and manufacturing sectors in Saudi Arabia.

While MHPS has been a long-term partner in the energy sector in KSA, the National Program, already a year in development, will see MHPS move forward with the creation of manufacturing facilities to build the world's most efficient and reliable gas turbines here in the Kingdom.

Developed to be in close alignment with Vision 2030 and Saudi Aramco's In Kingdom Total Value Add (IKTVA) program objectives, the MHPS program will drive domestic value through the creation of high skilled jobs, greater energy efficiency and diversification, and greater global competitiveness in the manufacturing sector.

The MHPS National Program for KSA consists of localizing manufacturing of Gas Turbines and Services in the kingdom built and serviced by Saudi hands and expertise whilst MHPS will train and build capabilities of the young Saudis in the area of manufacturing, repair and services. It also includes utilization of material resources from local manufacturing and suppliers wherever possible.

The announcement of the National Program for Saudi Arabia is the first official act of Ken Kawai, MHPS's new President and CEO who has been an ardent supporter of the Kingdom and has spent considerable time there helping drive MHPS initiatives and investments. “With this new announcement, we are proud to be bringing our cutting edge technology to the kingdom,” said Kawai. “We pioneer breakthrough technologies-from advanced gas turbines to A.I. systems that automate power plants-to meet the increasing demand for cleaner, more efficient and more reliable electricity,”

Enhancing our presence in the region and now further embedding MHPS within the Kingdom, the new MHPS facility, the third one in Dammam will open by 2021. “This state of the art production facility will create Saudi jobs and establish a significant shift in the make-up of cleaner more efficient energy production in KSA,” said Khalid Salem, President of Mitsubishi Hitachi Power Systems in Middle East and North Africa.

MHPS Advanced Class Gas Turbines are world's leading, with a best-in-class efficiency rating approaching 65% and best-in-class reliability rating of 99.5%. Providing electricity producers with lower operating costs – and minimal maintenance and repair downtime - this technology's flexibility to ramp quickly has the power to transform the very make-up of the electricity grid. The result of precision engineering where each component part is of the highest quality, it also represents the epitome of manufacturing skill.

Developing the mastery needed to produce this technology within the Saudi population is the cornerstone of the MHPS program. The sustainability of local talent as well as energy are, for MHPS, both integral to driving a change in power for the better, wherever they operate in the world.

With up to 10% annual electricity growth in the Kingdom, and a historic dependence on oil for electricity generation, Vision 2030 outlines a commitment to diversify power generation in KSA and pursue natural gas generation.

MHPS is already providing job opportunities – and related training programs – for Saudi nationals. In 2017, in order to be closer and more supportive of their Saudi customers, MHPS established a state-of-the-art rotor repair facility in Dammam.

Commenting on this milestone, Shuhei Momma, CEO of MHPS Saudi Arabia, Co. said: “From today's announcement, it is clear MHPS has a long-term commitment to driving change in power within the Kingdom, for the KSA of today, and of tomorrow.”