Makeen, Rolls-Royce Power Systems Forge Partnership to Manufacture mtu Engines in Saudi Arabia

The deal marks a milestone for the industrial development of the Kingdom’s rapidly growing marine and off-grid power generation sectors. (SPA)
The deal marks a milestone for the industrial development of the Kingdom’s rapidly growing marine and off-grid power generation sectors. (SPA)
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Makeen, Rolls-Royce Power Systems Forge Partnership to Manufacture mtu Engines in Saudi Arabia

The deal marks a milestone for the industrial development of the Kingdom’s rapidly growing marine and off-grid power generation sectors. (SPA)
The deal marks a milestone for the industrial development of the Kingdom’s rapidly growing marine and off-grid power generation sectors. (SPA)

Saudi Engines Manufacturing Company (Makeen), a joint venture between Aramco, HD Hyundai Heavy Industries and Dussur, signed a Framework License Agreement with Rolls-Royce’s Power Systems business unit to manufacture, test, sell and service mtu engines and gensets in Saudi Arabia.

The deal marks a milestone for the industrial development of the Kingdom’s rapidly growing marine and off-grid power generation sectors, according to the release, said a statement from Aramco on Monday.

Makeen’s Chairman Mohammad Al-Shammary said: “This partnership aims to have a ripple effect on the local economy, creating employment opportunities, building technological know-how, substituting heavy reliance on imports, promoting sustainable practices, and creating new opportunities for local supply chain development. This strategic collaboration further supports our contribution toward the goals of Saudi Vision 2030.”

President of Mobile and Sustainable Power Solutions at Rolls Royce Power Systems Andreas Goertz stated: “With the investment commitments of our new partner Makeen in localization, both for engine and genset production and service, we see a great opportunity to grow our business in the Kingdom of Saudi Arabia.”

“It is of utmost importance for us to have a partner in Saudi Arabia that could help the supply of our mtu products to the local marine market while maintaining our high-quality standards and providing first-class service to our customers,” he added.

Makeen CEO Abdullah Al-Ghamdi said the partnership with Rolls-Royce’s “aims to deliver state-of-the-art solutions to meet the evolving demands of our valued customers in oil and gas, marine, and other applications, while promoting new technologies. We are building our facilities and training our personnel to meet the high standards of quality expected from Makeen.”



Kuwait Finance House Considering Expansion in Saudi Arabia

The Saudi flag
The Saudi flag
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Kuwait Finance House Considering Expansion in Saudi Arabia

The Saudi flag
The Saudi flag

Kuwait Finance House (KFH), the Gulf country's largest lender, is looking at opportunities to expand in Saudi Arabia, it said in a bourse filing on Tuesday, following a report that it was considering taking a stake in peer Saudi Investment Bank.

Trading in the company's shares, which were suspended before the market open, resumed after KFH issued a statement in response to the report.

KFH said it was conducting studies on the potential expansion and that these were in line with the bank strategy envisioning potential investments in the region, including in Saudi Arabia.

“Regarding the news published by Bloomberg, KFH confirms that it is still studying the available opportunities in more than one bank, and no memorandum of understanding or any agreement has been signed with any bank in the Kingdom of Saudi Arabia,” the lender said.

Amid news of the potential deal, shares of Saudi Investment Bank (SAIB) jumped as much as 4% in Riyadh trading Tuesday.

On Tadawul, the shares of SAIB, the second smallest listed bank in the Saudi financial market in terms of assets and capital following Bank AlJazira, ranged between 13.26 Riyals and 12.78 Riyals, closing on the latest figure.

Meanwhile, the share of KFH Bank, which is the largest in Kuwait in terms of assets and capital, rose by less than 0.50% at 0.717 Kuwaiti dinars.

The Kuwaiti government and the Public Authority for Minors Affairs own 31.5% of KFH’s shares. Vanguard Group owns 2.45% of the Bank’s shares and BlackRock owns 1.75%.

As for the Saudi Investment Bank, it is owned by the General Organization for Social Insurance - Saudi Arabia (25.6%), Yasser Mohammed Al Jarallah (4.6%), Vanguard Group (2%) and BlackRock (1.2%).