Al Arrab and China's Sepco III Electric Power have won the SAR9bn ($2.4bn) contract to build a power generation plant at Ras Al Zour, Saudi Arabia.
Minister of Water and Electricity Abdullah Al-Hussayen signed the contracts and said the facilities would support the Kingdom's increasing energy demands.
The power station will have the capacity to generate 2,400MW of electricity and the output will be managed by Saline Water Conversion Corporation (SWCC) along with Saudi Arabian Mining Company (Maaden) and Saudi Electricity Company (SEC).
SWCC, the second largest power producer in the Kingdom after SEC, has 36 power and water plants across the country producing 5,000MW of power, according to Arab News.
The Saudi's installed power capacity is estimated to grow to 140,000MW within 25 years.