Siemens breaks ground on manufacturing hub in KSA

Construction of new gas turbine facility in Saudi Arabia gets underway

Planned for completion in late 2013, the manufacturing facility will create job opportunities for young Saudis.
Planned for completion in late 2013, the manufacturing facility will create job opportunities for young Saudis.

Siemens has taken the next step towards a massive expansion of its activities in Saudi Arabia, breaking ground on a landmark manufacturing facility for gas turbines and compressors.

Planned for completion in late 2013, the center will create job opportunities for young Saudis, serving as a knowledge transfer hub for new Siemens technology and supporting the country’s industrialization drive.

The groundbreaking ceremony held under the patronage of H.R.H. Prince Mohammed bin Fahd bin Abdulaziz Al-Saud, Governor of the Eastern Region of Saudi Arabia, took place in the presence of several government officials, the local partner E.A. Juffali & Brothers, executives from Saudi Electricity Company and Saudi Aramco, as well as high-ranking representatives of Siemens.

The power equipment manufactured at the plant will be supplied to the local Saudi market, where energy requirements are strongly increasing. Siemens and its local partner, E.A. Juffali & Brothers, will invest jointly a three-digit million US Dollar figure in the facility, which will be constructed on a 220,000 square-meter site in Dammam in the Kingdom’s Eastern Region. The manufacturing facility is the first of its kind for Siemens in the Middle East.

Dr. Michael Suess, CEO of the Energy Sector and member of the Managing Board of Siemens AG, said: "With this new facility, Siemens is clearly strengthening its long-term commitment to Saudi Arabia. We will create qualified jobs and train young Saudis in order to achieve a true transfer of our innovative technologies.”

Siemens, in association with Saudi Petroleum Services Polytechnic (SPSP) and the Kingdom’s Human Resources Development Fund (HRDF), offers a two-year technical apprenticeship program provided by SPSP, followed by one year of on-the-job training at Siemens. Depending on their job fields, which students will specialize in during the program, they will be trained in various Siemens locations in Germany and the USA. The first 40 Saudi students started their program in December 2011.

"As the partner of Siemens in Saudi Arabia, E.A. Juffali & Brothers is extremely proud to be part of their ongoing contribution to the development of infrastructure and human capital in the Kingdom which has spanned over 50 years," said Sheikh Sami Juffali.

Siemens has been present in the Kingdom since the early 1930s and today has around 2,000 employees at five different locations across the country. Arja Talakar, CEO of Siemens Saudi Arabia, said: “With the creation of this new hub, we will further contribute to the rapid development of the Kingdom and to the realization of its ambitious industrialization plans.”

Professor Siegfried Russwurm, CEO of the Industry Sector, member of the Managing Board of Siemens AG and responsible for the Middle East region within the company, pointed out: “The Middle East region has large natural resources on the one hand and expects a considerable demographic development on the other. Siemens is ready to serve as a one-stop shop for sustainable solutions in various fields of development, reaching from energy, industry and infrastructure to healthcare”.

This new site will meet the highest requirements in terms of sustainability and resource efficiency. LEED Gold Certification in the category "New Construction" will be aimed for. LEED stands for Leadership in Energy and Environmental Design and is an internationally recognized certification system for environmentally compatible and sustainable buildings. The new building will score highly in water and energy efficiency, for example with the aid of water-saving fittings and highly efficient air-conditioning systems. Energy consumption is scheduled to be at least 20 percent lower than that for a comparably used building.

Siemens also announced it has signed an agreement with Qatar University and KAHRAMAA to carry out joint efforts on researching and developing energy-efficient systems and solutions to support the rapid development of Qatar’s infrastructure.

The MoU is a two-year agreement that will draw on the key skills and strengths of each of the parties. As a leading manufacturer in the field of electrical equipment for power generation, transmission and distribution, Siemens will cooperate with Qatar University and KAHRAMAA on a case-by-case basis in carrying out R&D activities in the field of energy efficiency.

KAHRAMAA, the local utility for electricity and water, will bring expertise in the development of energy efficient systems for power generation, transmission and distribution systems. Specialists from Qatar University will work in tandem with KAHRAMAA, using their knowledge and expertise to assist in the development of new efficient systems.

The latest partnership highlights Siemens continued support of Qatar’s National Vision 2030, which aims to develop a solid foundation built on education, scientific research, technology transfer, and community development.

Discussing the MoU, Martin á Porta, CEO of Siemens WLL, the Qatari unit of Siemens AG, said: “I believe in strong cooperation with our local partners and offering our expertise to develop long-term relationships; this is part of our commitment to support Qatar’s infrastructure plans.”

He added: “As Qatar continues to enjoy rapid population and industry growth, it is important for us as a responsible corporation to make the effort of strengthening the local competence by encouraging and enabling research, development and knowledge transfer.”

Qatar is currently beginning preparations for the 2022 World Cup, which will see the country investing some $60 billion in infrastructure upgrades, including projects for the developments of clean power supplies.

Siemens continued dedication of its resources follows its partnership with Qatar Foundation, signed in 2011, which focuses on the advancement of Qatar’s infrastructure capability and competence, including establishing a service headquarters in Qatar for the company’s regional power transmission and distribution business.



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