ABB (NYSE: ABB), the leading power and automation technology group, has won an order worth over $20 million for high-voltage gas-insulated switchgear (GIS) from SSEM (Saudi Services For Electro Mechanic Works Company Limited), a leading engineering, procurement and construction company in the region. The order was booked in the third quarter.
ABB will supply 420 kilovolt (kV) GIS equipment that will form an integral part of the new Al Lith substation being built by SSEM for Saudi Electricity Company (SEC), the country’s national power transmission and distribution operator. Al Lith, about 190 kilometers from Jeddah, is a rapidly growing coastal province in the western area of Saudi Arabia. The substation is scheduled to be energized in September 2014.
“The new substation where this GIS equipment is being installed, will enhance power capacity and help meet growing electricity demand to support growing consumer demand and industrial development in the country” said Giandomenico Rivetti, head of ABB’s High Voltage Products business, a part of the company’s Power Products division.
Saudi Arabia accounts for around half of the total electricity consumption in the GCC (Gulf Co-operation Council) region. Economic growth, led by the oil and gas sector is driving the development of power infrastructure to secure electricity supplies.
In line with its business philosophy to locate production and service facilities closer to customers, earlier this year, ABB announced a $40 million investment for the construction of a new manufacturing plant for high-voltage GIS and establishment of a transformer service workshop in Saudi Arabia.
ABB pioneered high-voltage GIS in the mid-1960s and as a market leader, continues to drive technology and innovation, offering a full range product portfolio with voltage levels from 72.5 kilovolts (kV) to 1,200 kV. The compactness, low-weight and robust design features enable the equipment to be deployed in constrained spaces and harsh conditions to enhance grid reliability and efficiency with minimum maintenance needs.