Unleashing Geothermal Energy in Saudi Arabia

During the International Mining Conference 2023, which took place in Riyadh from January 10-12, the Ministry of Energy, and the Saudi Geological Survey (SGS) signed a memorandum of understanding to explore geothermal energy reservoirs in Saudi Arabia. The agreement was signed in the presence of the Minister of Energy, HRH Prince Abdulaziz bin Salman.

The memorandum of understanding between the parties was the outcome of an initiative by the Saudi Geological Survey (SGS) started in 2020 to investigate geothermal energy reservoirs, which was financed by the National Industry Development and Logistics Program (NIDLP) at the Ministry of Industry and Mining.

Geothermal energy is the only renewable energy source that can fully substitute fossil fuels for electric power generation. Harnessing geothermal energy will have a positive impact on Saudi Arabia’s efforts to reach zero carbon emissions.

The advantages of generating electrical power using geothermal energy include:

1. Being the only renewable energy that operates continuously with the same reliability of electricity generated from fossil fuels.
2. No carbon emissions because it uses a closed-circuit system.
3. High flexibility in responding to changes in daily electrical energy demand without negatively impacting the national grid.
4. Possibility to extract important materials such as lithium used in battery production.
5. Low cost of generating MWh (LCOE) compared to other renewable energy technologies.
6. Low cost of operation and maintenance.
7. Requiring less land area than other renewable energy technologies.
8. Unaffected by global energy price fluctuations.

Saudi Arabia has multiple geothermal energy reservoirs in the Arabian Shield region, spanning an area of 580,000 km², including volcanic areas known as Al-Harrat, which covers 90,000 km², areas along the shore of the Red Sea, areas north of Hail city and, east of Najd plateau. Many Saudi universities and research centers, both national and international, have conducted numerous studies on geothermal energy in various regions of the country. Despite the significance of this research, it has yet to serve as a bridge between academia and industry to turn these studies into economically feasible projects for generating electric power.

This initial agreement between the Ministry of Energy and the Saudi Geological Survey is crucial as (SGS) is a reputable and specialized government body with a long history of conducting geological research in the country. It comprises experienced individuals as well as young national talents with the necessary capabilities to investigate geothermal energy reservoirs and bridge the gap between the research and economically feasible studies that the Ministry of Energy can present to both local and foreign investors for the purpose of generating electric power.

As the Saudi Geological Survey (SGS) continues its exploration of geothermal energy reservoirs in the Kingdom, it is hoped that the Ministry of Energy will integrate this important technology into the country’s energy mix and mandate the Water and Electricity Regulatory Authority (WERA) to establish necessary regulations for electric power generation projects utilizing geothermal energy.

Searching for and exploring geothermal energy reservoirs differs technically from the geological studies typically conducted by the Saudi Geological Survey (SGS). It is recommended that the authority considers the phrase often spoken by the Minister of Energy, “we will not reinvent the wheel, but rather we must start from where others left off.” In my opinion, (SGS) should seek the assistance of the international community specialized in the field of geothermal energy exploration, studies, and projects. Same time, training Saudi national talents from university students and others interested to carry on this task in the future.

The signing of the memorandum of understanding between the Ministry of Energy and the Saudi Geological Survey (SGS) to investigate geothermal energy reservoirs in the Kingdom may be one of the most significant news for the Ministry of Energy in 2023. Saudi Arabia has all the necessary elements to become a world leader in this technology. Unleashing geothermal energy will have positive economic and political impacts. It will primarily help the Kingdom achieve the goals of its Vision 2030, including reducing carbon emissions and phasing out the use of fossil fuels.

Hani M Taibah

Researcher in renewable energy