Hyliion Holdings Corp. and Alkhorayef Industries Company have signed a strategic memorandum of understanding (MOU) during the Saudi–U.S. Investment Forum in Riyadh, marking a significant step toward advancing energy solutions in Saudi Arabia. According to Business Wire, the agreement outlines a potential $1 billion business opportunity focused on deploying Hyliion’s KARNO Power Modules in the Kingdom.
This partnership was announced during the U.S. presidential state visit, where $600 billion in investment deals were signed, highlighting the strengthening economic relationship between the United States and Saudi Arabia. The collaboration supports Saudi Arabia’s Vision 2030 by aiming to provide reliable, decentralized, and sustainable energy options as demand for such solutions grows.
Under the MOU, Hyliion and Alkhorayef will validate and adapt the KARNO Power Module to local conditions, including high temperatures and alternative fuels like LPG, hydrogen, and ammonia. The companies plan to complete initial validation of the technology in Saudi Arabia in 2026 and explore regional partnerships for scaling production and deployment.
Alkhorayef’s GulfPower division will oversee the local rollout, ensuring compliance with Saudi regulations and supporting national goals for energy diversification and sustainability. This MOU follows a previous Letter of Intent from December 2024, moving the partnership toward concrete action, though both agreements remain non-binding until finalized.
Hyliion, based in Austin, Texas, specializes in modular, fuel-flexible power solutions designed for efficiency and low emissions. Alkhorayef Group Company, established in 1957, is a major Saudi conglomerate offering energy and industrial solutions across more than 40 countries, with a strong commitment to Vision 2030.
Both companies emphasize that forward-looking statements in this announcement are subject to risks and uncertainties, as noted in their regulatory filings.
