Saudi Arabia, Yemen sign $150 million petroleum supply deal to support energy sector, power plants

Saudi Arabia has signed an agreement worth $150 million to supply petroleum derivatives to Yemen, bolstering the war-torn nation's energy sector and power plants. The deal, signed in Riyadh, is part of the Saudi Development and Reconstruction Program for Yemen (SDRPY).

The agreement was signed under the patronage of Yemeni Prime Minister Dr. Shaya Mohsin Zindani by the Yemeni Minister of Electricity and Energy Eng. Adnan Al-Kaf and Saudi Ambassador to Yemen Mohammed bin Saeed Al Jaber. The support, consisting of diesel and mazut, will power more than 70 electricity generation facilities across various Yemeni governorates. This aims to improve the stability and continuity of electricity services, crucial for vital sectors and the daily lives of Yemenis, especially amid rising temperatures.

This latest grant follows a series of previous petroleum derivative grants from Saudi Arabia, totaling hundreds of millions of dollars since 2018. The initiative is managed through a comprehensive governance framework involving a supreme committee linked to the Yemeni prime minister to ensure aid reaches beneficiaries. An additional agreement also supports the sustainability of Yemen's state-owned oil company, PetroMasila.