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Neom awards Oxagon infrastructure deals

8 November 2024

 

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Saudi Arabia’s Neom has awarded contracts for the infrastructure development at Oxagon industrial city. 

The gigaproject developer awarded the contracts to local firms including Al-Ayuni Investment & Contracting Company and Saudi Pan Kingdom (Sapac).

MEED understands that the Oxagon Interchanges 4 and 5 contract was awarded to Al-Ayuni.

Neom appointed Sapac as the contractor for Interchange 2 and the Sharma Interchange.

Neom has awarded significant infrastructure development contracts recently.

Earlier this week, MEED reported that Neom had awarded an estimated SR1.8bn ($500m) contract to the joint venture of Turkish contractor Kolin Construction and local firm Saudi Structures Contracting Company for an infrastructure development package at Trojena.

The contract was awarded for package two of the roads and utilities scheme, the scope of which involves infrastructure development works for the fun, gateway and discover clusters in Trojena.

This is the second major contract awarded to the joint venture by Neom for infrastructure works at Trojena. In September, MEED reported that Neom had awarded an estimated SR4bn ($1.1bn) contract to Kolin Construction and Saudi Structures Contracting Company for another infrastructure development package at Trojena.

Firms have also been asked to submit revised offers by 10 November for the contract to build the tunnels that will serve as the railway junction connecting the Spine with the Neom Connector.

Known as the Delta Junction, the project involves 26.5 kilometres (km) of tunnelling work that will be split into two lots, one for the north and the other for the south.

Crown Prince Mohammed Bin Salman Al-Saud launched Oxagon in late 2021. It will include onshore elements as well as floating structures offshore. Construction works on the 48 square-kilometre, eight-sided industrial city have already started.

An expanded Duba port is a critical component of Oxagon and the broader Neom development, as it will allow greater volumes of materials to be imported for the project. With an expected investment value of $500bn, Neom is the largest programme of construction work in the world.

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Yasir Iqbal

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