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Excellent Prospects for Broader Saudi-Omani Economic Cooperation, Integration

Saudi and Omani business sectors look forward to a qualitative leap in economic integration and trade and investment cooperation (Asharq Al-Awsat)
Saudi and Omani business sectors look forward to a qualitative leap in economic integration and trade and investment cooperation (Asharq Al-Awsat)
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Excellent Prospects for Broader Saudi-Omani Economic Cooperation, Integration

Saudi and Omani business sectors look forward to a qualitative leap in economic integration and trade and investment cooperation (Asharq Al-Awsat)
Saudi and Omani business sectors look forward to a qualitative leap in economic integration and trade and investment cooperation (Asharq Al-Awsat)

Saudi Arabia and Oman are on track towards greater commercial, investment, and economic cooperation and integration, especially in strategic sectors, industrial cities, logistics, renewable energy, and petrochemical manufactures, Omani and Saudi business sector experts predicted.

Oman’s ruler, Sultan Haitham bin Tarik, will be arriving in Saudi Arabia on Sunday for a two-day official visit and a summit with Saudi King Salman in the northwestern mega-city of Neom.

It is noteworthy that this visit is the Omani ruler’s first since being appointed as Sultan back in January and is set to produce a qualitative leap to boost cooperation and reinforce bilateral ties between the Kingdom and Sultanate.

Experts from both sides have called for formulating common visions and an annual work plan that includes specific objectives for raising the volume of trade and investment exchanges between the two countries.

Each of the Saudi-Omani Business Council (SOBC) and the Federation of Saudi Chambers (FSC) stated that the high-level visit reveals the depth of relations between the Kingdom and the Sultanate.

They also noted that economic cooperation would top the visit’s agenda given its significance to Saudi Arabia’s “Vision 2030” and Oman’s “Vision 2040.”

For his part, Saudi Commerce Minister Majid Al-Qasabi reasserted the depth and strength of Saudi-Omani bilateral relations across all fields, especially in the commercial domain, which currently is experiencing remarkable developments due to the ambitious visions of the two countries.

The two countries aim to raise their bilateral trade exchange volume, which reached over SAR58.6bn during the past six years (2015-2020), Al-Qasabi said.

He also stressed that the two sides are keen to consolidate cooperation through the SOBC to translate investment opportunities into tangible partnerships.

The SOBC is working to enhance joint work between Saudi Arabia and Oman to realize the grand ambitions leaderships have in both countries, the head of the SOBC, Nasser Bin Said Al-Hajiri, confirmed to Asharq Al-Awsat.

Moreover, Al-Hajiri revealed that the SOBC is working on enhancing available opportunities, raising the exchange of visits for governmental, commercial, and investment delegations, and boosting cooperation between research and study centers in the two countries.

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ACWA Power Reports 44% Surge in Q1 Profit to $113.8 Million

A wind turbine at the Suez Energy Project. (ACWA Power)
A wind turbine at the Suez Energy Project. (ACWA Power)
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ACWA Power Reports 44% Surge in Q1 Profit to $113.8 Million

A wind turbine at the Suez Energy Project. (ACWA Power)
A wind turbine at the Suez Energy Project. (ACWA Power)

Saudi energy and water developer ACWA Power reported a 44% year-on-year increase in net profit for the first quarter of 2025, reaching SAR 427.15 million ($113.8 million), according to a disclosure filed with the Saudi Stock Exchange (Tadawul).

The company attributed the strong performance primarily to higher total revenues, an increase in other operating income before impairment and other charges, a reduction in impairment expenses, and a rise in deferred tax balances. These gains were partially offset by increased costs in project development, general and administrative expenses, and financing charges.

ACWA Power’s revenue rose 57% in the quarter, reaching SAR 1.97 billion ($525.2 million), supported by growth across development and construction management services, operation and maintenance contracts, and electricity sales.

In a letter to investors, CEO Marco Arcelli emphasized that the company maintained strong momentum in developing new projects across all sectors during the first quarter.

These initiatives not only lay the foundation for stable future revenues and cash flows, but also contribute to earnings from procurement and construction management, reinforcing the company’s commitment to financial and operational growth, he noted.

Arcelli expressed optimism about the company’s long-term outlook, highlighting ongoing efforts to strengthen project development pipelines, improve procurement strategies, and streamline construction execution.

ACWA Power is building a solid platform for consistent and sustainable growth while remaining focused on delivering its strategic objectives, he stressed.

Among the company’s most significant recent projects are several in renewable energy and water. In the solar sector, ACWA Power is developing the Al-Muwayh solar power plant in Saudi Arabia with a capacity of 2,000 megawatts and an investment of approximately SAR 35 million. The plant is scheduled to begin operations under a long-term power purchase agreement starting in 2027.

The company is also working on the Al-Khushaybi solar plant, with a capacity of 35 megawatts.

In wind energy, ACWA Power is constructing the Bash wind farm in Uzbekistan, a 500-megawatt project expected to be operational in the first quarter of 2025. Another wind project in collaboration with Uzbekistan’s national energy company will have a capacity of 65 megawatts and is also scheduled for completion in 2025.

In the water sector, ACWA Power owns a 40% stake in the Taweelah desalination plant in the United Arab Emirates, one of the largest facilities of its kind with a daily capacity of 3 million cubic meters. The company also holds a 35% share in the Sudair solar project in Saudi Arabia, which will generate 1,500 megawatts of electricity.

ACWA Power has expanded its international footprint with recent acquisitions, including an 85% stake in Yanghe New Energy Technology in China. The company also acquired strategic assets in Egypt and Kuwait and is actively entering new markets while expanding its presence in existing ones.

The company continues to prioritize innovation and R&D, particularly in solar and wind energy, green hydrogen, and energy storage. It is advancing new projects, increasing energy sales, and strengthening its global presence through strategic partnerships, including collaborations with Italian firms and others in Africa and East Asia.

ACWA Power has also launched a new research and development center in Shanghai as part of its international growth strategy.