Al Yamamah Steel signs Saudi power line tower supply contract
Saudi Arabia's grid expansion pipeline is supporting new order flow for industrial suppliers tied to transmission infrastructure. Al Yamamah Steel Industries Co. says it has signed a 118.6 million Saudi riyal contract with Algihaz Contracting Company to supply steel towers for a 380 kV ultra-high voltage line in the kingdom's Western Region.
Highlights
- Al Yamamah Steel signed a contract worth 118,625,713 Saudi riyals to supply steel towers for a 380 kV transmission line in western Saudi Arabia.
- Execution of the contract starts in March 2027, with financial impact expected in Al Yamamah Steel's first quarter 2027 results.
- The project underscores growing domestic demand for transmission equipment and ongoing investment in Saudi Arabia's high-voltage electricity infrastructure.
Contract scope and execution timeline
As reported by Saudi Exchange, the agreement covers the supply of steel towers for the establishment of a 380 kV ultra-high voltage transmission line in western Saudi Arabia.The contract value stands at 118,625,713 Saudi riyals. Al Yamamah Steel says execution is expected to begin in March 2027, with the financial impact anticipated to appear in the first quarter of 2027.
Infrastructure implications for the sector
The project adds to investment activity linked to Saudi Arabia's electricity network and supports demand for domestically supplied transmission equipment. The contract also highlights continued spending on high-voltage infrastructure in the Western Region as the kingdom expands and reinforces its power grid.For Al Yamamah Steel, the award strengthens its exposure to utility-related industrial orders, while for the broader steel and power equipment sector it points to ongoing opportunities tied to large-scale transmission projects.
In our earlier article on Jati Tinggi Group Bhd’s TNB contract wins, we covered two power cable-related awards worth a combined RM15.7 million. The projects included 11kV underground cable installation in Selangor and a subsea power cable monitoring system in Perlis, highlighting continued investment in grid infrastructure and specialist high-voltage applications.
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