Mitsubishi Power reaffirms commitment to drive localization in Saudi Arabia at iktva Forum 2022

Mitsubishi Power, the power solutions brand of Mitsubishi Heavy Industries, Ltd. (MHI) is demonstrating its continued efforts towards localizing the energy value chain at this year’s edition of the In-Kingdom Total Value Add (iktva) Forum being held from 24-26 January in Dhahran, Saudi Arabia. The Forum is focused on building dialogue around driving supply-chain efficiency, enhancing value-adds across operations and creating a diverse, sustainable and globally competitive energy sector in Saudi Arabia.

At the Forum, Mitsubishi Power highlighted key achievements of the brand’s localization strategy, announcing that the company has achieved a 54% Saudization rate as part of its National Program, and are set to accomplish the target of 60% by 2023. With Saudi Arabia as a cornerstone of the company’s regional activities, Mitsubishi Power launched a National Program in 2019, to prioritize the development of local talent and expand industrial facilities and capabilities in Dammam to serve Saudi Arabia and the wider region, in line with iktva and Saudi Vision 2030.

Commenting on Mitsubishi Power's participation at the event, Khalid Salem, President, Mitsubishi Power Middle East & North Africa (MENA) said: “The Kingdom's Vision 2030 and its commitment to net-zero by 2060 is testament to the leadership’s ambition of transforming the nation, economically and environmentally. Mitsubishi Power is a long-term power partner to Saudi Arabia and has been active in utility and industrial power projects with major power players in the Kingdom. Our brand’s industry-leading power technology, combined with a strong localization strategy, has enabled us to provide the best power solutions and value to Saudi Arabia’s power infrastructure expansion. We will continue to dynamically support the Kingdom’s vision and reinforce our commitment to Saudi Aramco's iktva program, through localization of the energy value chain, innovative power solutions and partnerships.”

Mitsubishi Power works with key energy stakeholders in KSA including, the Ministry of Energy, Saudi Aramco, the Saudi Electricity Company (SEC), and the Saline Water Conversion Corporation (SWCC). In 1965, Mitsubishi Power began operations in the MENA region with its first supply of boilers to Saudi Arabia at Aramco in Abqaiq and has since been active in utility and industrial power projects with major power players in the Kingdom. Mitsubishi Power signed a Corporate Procurement Agreement with Saudi Aramco for GT Repair in 2014, and then in line with the iktva initiative established a repair shop for combustor components in 2016 and a rotor repair shop in Dammam in 2017, which are audited and accredited by Saudi Aramco. The Company is also currently constructing an assembly facility of the world’s most efficient and reliable gas turbine with advanced technology in Dammam, to help drive down cost of electricity to consumers.

Demonstrating the brand’s commitment to realizing a carbon neutral society, Mitsubishi Power’s parent company, MHI recently announced its vision to achieve carbon neutrality by 2040 across its operations. This aligns with global national ambitions to cut carbon emissions and achieve net zero, including Saudi Arabia which has pledged to reach net zero by 2060.

In line with this ambition, Mitsubishi Power continues to develop energy solutions and processes that enable hydrogen’s transition from industrial use to being the clean fuel of choice. One game-changing innovation is the J-Series Air Cooled gas turbines – which boasts world-class reliability of 99.6%, and efficiency of greater than 64%. Capable of operating on a mixture of up to 30 percent hydrogen and 70 percent natural gas, the turbines can be increased to 100 percent hydrogen in the future.

“Mitsubishi Power has long pioneered hydrogen fuel combustion technologies, and our recent large-scale and ambitious projects demonstrate our commitment and accumulated expertise in this field. With MHI’s 2040 goal, a key objective for Mitsubishi Power will be to help our customers in Saudi Arabia bend the cost curve of their energy transition with affordable and reliable solutions. This is going to be pivotal in demonstrating how hydrogen can competitively fulfil clean energy expectations and bring us one step closer towards realizing Saudi Arabia’s net zero by 2060 goal, ultimately transitioning the Kingdom towards a low carbon society,” added Khalid.

Mitsubishi Power is located at G3 at this year’s edition of iktva forum 2022. For further information about the company and its portfolio, please visit: https://power.mhi.com/regions/mena/.