Saudi Arabia retenders Shoaiba 6 water contract
20 December 2024
Saudi Water Authority (SWA), the kingdom’s main producer of desalinated water, has retendered a contract to build a new water desalination plant on Saudi Arabia’s western coast, using reverse osmosis technology.
When the Shoaiba 6 seawater reverse osmosis (SWRO) plant was previously tendered, Jeddah-based Alfatah Water & Power offered the lowest bid for the contract.
The retendered contract indicates a capacity of between 500,000 cm/d and 545,000 cm/d.
SWA expects to receive bids for the retendered contract by 10 January 2025.
Shoaiba 6 is one of four contracts that SWA has tendered this year using an engineering, procurement, construction and commissioning (EPCC) contracting model.
The other three SWRO projects are Yanbu 5, Ras Al-Khair and Jubail.
VA Tech Wabag submitted the lowest bid for Yanbu 5 and won the $317m contract to build the plant in September. The plant will have the capacity to treat 300,000 cm/d of seawater.
However, on 16 December, SWA cancelled the contract and informed the bidders that it intended to recalibrate the plant’s capacity and issue a new tender over the coming weeks.
The Jubail and Ras Al-Khair SWRO projects will each have the capacity to treat 600,000 cm/d of seawater.
MEED recently reported that Najran-based Emar Al-Janoub for Contracting (EJC) had won the contract to build the Ras Al-Khair SWRO plant.
EJC offered SR2.346bn ($625.6m) to win the contract, seeing off competition from other bidders including the local Civil Works Company and Saudi Services for Electro Mechanic Works, and the Saudi branch of India’s VA Tech Wabag.
SWA is the world’s largest producer of desalinated water, with a capacity of at least 6.6 million cm/d. Plants using older and more energy-intensive techniques, such as multi-stage flash technology, account for the majority of the current capacity.
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Kuwait seeks firms for 3.6GW Nuwaiseeb project
16 May 2025
Kuwait's Electricity, Water & Renewable Energy Ministry has invited firms to bid for a contract to provide consultancy services for an integrated water and power plant in Nuwaiseeb.
The work entails the provision of consultancy services for the supply, installation and maintenance of gas turbine units for the first phase of the 3,600MW Nuwaiseeb power generation plant.
MEWRE expects to receive bids for the contract by 12 August, with an initial meeting date set for 11 June.
The contract was tendered before, with two engineering firms having submitted bids for the contract in 2022. The tender was subsequently cancelled.
In 2022, MEED reported that the project was expected to be procured using an engineering, procurement and construction (EPC) contract.
It is the third major integrated power and water generation scheme being planned in the Gulf state, in addition to the Al-Zour North 2 & 3 independent water and power producer (IWPP) and Al-Khiran 1 IWPP projects.
MEWRE, through the Kuwait Authority for Partnership Projects (Kapp), recently opened the financial envelopes submitted by the lone bidder for the contract to develop and operate the Al-Zour North 2 & 3 IWPP.
Phases two and three of the Al-Zour North project will have a power generation capacity of 2,700MW and a desalination capacity of 120 million imperial gallons a day (MIGD).
A utility developer team comprising Saudi Arabia's Acwa Power and the local Gulf Investment Company (GIC) submitted the lone bid for the contract.
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Hassan Allam eyes role in Saudi Arabia’s transformation
16 May 2025
As Saudi Arabia undertakes a generational transformation under Vision 2030, regional players with deep engineering and construction expertise are emerging as critical enablers of this historic journey.
Among them, Egypt-headquartered Hassan Allam Holding has rapidly expanded its footprint in the kingdom, leveraging a legacy that dates back over 85 years and a proven regional model built on operational excellence and sustainable growth.
MEED spoke exclusively with Hassan Allam, CEO of Hassan Allam Holding, to discuss the firm’s role and future plans in the kingdom.
Founded in 1936, Hassan Allam Holding’s vision in Saudi Arabia is rooted in delivering long-term value while maintaining a high-quality standard across diverse sectors.
With a presence now in over 10 countries, the group brings cross-market expertise and resource optimisation to some of the kingdom’s most ambitious projects.
“Saudi Arabia, given its scale, ambition and market maturity, plays a central role in our regional strategy,” Allam says.
Deepening roots in the kingdom
The company’s journey in Saudi Arabia began over 40 years ago, but its recent establishment of a regional headquarters in Riyadh marks a significant institutional shift.
“This move has enabled us to engage more deeply with key stakeholders, navigate regulatory frameworks with greater efficiency and build strong local partnerships,” Allam explains.
This embedded approach has allowed Hassan Allam to localise its supply chains, access talent pools more effectively and align closely with Saudi Arabia’s major development programmes.
“The kingdom is not just another market – it is a strategic hub where Hassan Allam has made significant investments in capabilities, people and systems,” Allam adds.
Contributing to Vision 2030
Hassan Allam’s operations in Saudi Arabia fully align with Vision 2030’s objectives to diversify the economy, enhance quality of life and ensure sustainable development.
“Our operations are structured to support national objectives through a diversified portfolio, leveraging our deep technical expertise and regional track record,” Allam says.
Projects span a wide range of sectors, including infrastructure, transportation, hospitality, water treatment and environmental sustainability. Notable among these are several luxury hospitality developments in collaboration with Red Sea Global, such as the Four Seasons, Six Senses and Rosewood hotels at the Amaala destination. These projects exemplify the group’s commitment to delivering high-end, sustainable tourism offerings.
Environmental initiatives are also a core part of the company’s portfolio. “In Neom, we are proud to contribute to the world’s largest coral reef restoration initiative in collaboration with Kaust,” Allam notes, highlighting a pioneering effort in marine conservation.
Managing complexity at scale
Executing gigaprojects on accelerated timelines requires agility, precision and scale, all of which are hallmarks of Hassan Allam’s approach in the kingdom. With over 50,000 professionals across the region, the group deploys integrated planning, early stakeholder engagement and digital project management to manage complex scopes.
“Our track record includes delivering time-sensitive, high-impact projects like the luxury hospitality hotels in Amaala and the King Abdullah Financial District monorail,” Allam explains. Modular construction, strong supply chains and lean practices ensure that speed never comes at the expense of quality or safety.
The company also made major investments in adopting construction technology across its Saudi projects. Through its dedicated technical and digital delivery department, which evolved from its building information modelling (BIM) department, founded in 2018, the company deploys technologies like 3D to 6D BIM, geographic information systems, laser scanning, drones, augmented reality/virtual reality, digital twins and artificial intelligence.
“These technologies are applied from early tendering and design through construction, as-built documentation and handover,” Allam notes. The result is enhanced efficiency, cost control and real-time decision-making, key advantages in a market where time and precision are critical.
“Our digital platforms also support real-time collaboration among stakeholders, improving decision-making and enabling proactive risk management,” Allam adds.
Investing in local talent
In line with Saudi Arabia’s workforce nationalisation agenda, Hassan Allam is deeply committed to developing local talent. “Our approach goes beyond compliance with Saudisation targets; it reflects a long-term investment in building a skilled, empowered and future-ready workforce,” Allam says.
Its dedicated talent programme provides structured rotational assignments and mentorship for young Saudi professionals. Internship and cooperative training programmes offer hands-on project exposure, while ongoing annual training plans ensure continued growth for the broader workforce.
Our approach goes beyond compliance with Saudisation targets; it reflects a long-term investment in building a skilled, empowered and future-ready workforce
Hassan Allam, CEO of Hassan Allam HoldingNavigating challenges with strategic vision
Operating in Saudi Arabia does come with its complexities, from rapidly evolving regulations to high localisation standards. But the company views these as opportunities.
“What sets Saudi Arabia apart from other GCC countries is the scale and structure of government support, particularly through the Public Investment Fund (PIF),” Allam notes.
Through close collaboration with PIF, Hassan Allam has scaled up rapidly, mobilising over 3,600 employees across 15 ongoing projects in the kingdom.
When entering joint ventures or bidding on gigaproject components, Hassan Allam maintains a cautious yet ambitious strategy.
“We approach every joint venture and project bid with a measured, strategic mindset that weighs both opportunity and risk through comprehensive due diligence,” Allam says.
The focus is on long-term value creation, working with reputable partners and adhering to stringent internal risk protocols. Already, the company has secured over 14 project awards in the kingdom, further solidifying Saudi Arabia’s importance in its regional portfolio.
Looking ahead
The next three to five years are expected to witness continued momentum in Saudi Arabia’s construction and infrastructure space, driven by sustained public investment and rising private sector engagement. Hassan Allam Holding is positioning itself to be a key player in this transformation.
“Our strategic priorities will focus on expanding our local footprint, building strong and enduring partnerships, and advancing our digital and sustainability initiatives,” Allam outlines.
With a legacy of engineering excellence and a future-focused approach, Hassan Allam Holding is set to play an integral role in shaping Saudi Arabia’s next chapter.
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Delivering priority event-driven projects in Saudi Arabia
16 May 2025
As Saudi Arabia accelerates preparations to host a series of landmark global events, including the 2027 AFC Asian Cup, the 2029 Asian Winter Games in Trojena, Expo 2030 in Riyadh and the Fifa World Cup in 2034, momentum is building across the kingdom’s construction sector to chart out strategies to deliver event-driven projects.
Earlier this week, MEED hosted a panel discussion on the sidelines of the MEED 2025 Saudi Gigaprojects summit in Riyadh that brought together senior stakeholders from fields including architecture, project management, ESG and contracting to address how to deliver event-driven construction schemes.
The session explored how the kingdom can balance ambition with execution, manage complexity, and promote Saudi Arabia as a global hub for international sports and entertainment events.
The consensus was that the success of these large-scale, complex projects depends on early, sustained and transparent collaboration between all stakeholders – from clients and designers to contractors, operators and regulators.
You simply can’t deliver something as complex and time-sensitive as a stadium or expo venue if people are working in silos
Chris Seymour, MaceSerious coordination is non-negotiable
“Big projects live or die by early engagement,” said Chris Seymour, managing director – Middle East and Africa at Mace, a global consultancy involved in many of the region’s most ambitious schemes.
“You simply can’t deliver something as complex and time-sensitive as a stadium or expo venue if people are working in silos. The earlier you bring the ecosystem together, the more agile and successful the project becomes.”
Seymour highlighted that the challenge is not just scale, but the dynamic and high-pressure environment in which these projects operate.
“Engagement on these megaprojects is difficult to create and maintain, especially when integrating new technologies or fast-tracking delivery. You need to pre-empt issues, adapt quickly and build trust early,” he said, citing hospitality projects as an example of early coordination leading to better performance.
Delivering a venue such as the Prince Mohammed Bin Salman Stadium in Qiddiya demands intense, sustained collaboration across all project layers
Fatemeh Hosseini, PopulousOvercoming the delivery challenges of architecturally complex schemes
Sports venues are not just functional buildings but are architectural statements designed to leave a lasting impression on the global stage, said Fatemeh Hosseini, associate at leading US-based architectural firm Populous, who spoke about the architectural ambition behind these developments.
“These schemes are extremely large in scale, with highly complex design and engineering requirements,” she said.
“Take the Prince Mohammed Bin Salman Stadium in Qiddiya – its architectural vision is bold, iconic and layered with advanced technology and fan experiences. Delivering such a venue demands intense, sustained collaboration across all project layers.”
Hosseini noted that while Vision 2030 sets a clear ambition, translating that into buildable, operational venues in time for global events is an enormous challenge.
“We need a shared vision and a collaborative delivery model from day one – not just between consultants and contractors, but with operators, planners and city authorities,” she added.
Green buildings don’t just reduce carbon – they also command higher values, improve tenant appeal and future-proof assets
Wesley Thomson, Knight FrankSustainability as a strategic imperative
Alongside design excellence and timely delivery, sustainability emerged as a critical theme in the panel discussion. Saudi Arabia’s commitment to environmental responsibility is growing, and mega-events provide an opportunity to demonstrate leadership in green building practices.
“Sustainability is increasingly becoming a value driver in the built environment,” said Wesley Thomson, partner and head of ESG at UK-headquartered firm Knight Frank.
“Green buildings don’t just reduce carbon – they also command higher values, improve tenant appeal and future-proof assets. If we get this right now, it’s a long-term win for Saudi Arabia.”
However, Thomson stressed that the kingdom needs a more robust regulatory framework to meet sustainability goals across the project lifecycle.
“There’s a real need to enhance and enforce green building codes and ESG reporting structures in the kingdom,” he said.
“Coordination and communication on sustainability must be centralised, especially for large, time-critical projects that could easily miss the mark if not carefully managed.”
When contractors are engaged early, they can feed real-world constraints and opportunities into the design process
Michael Al-Kurdi, AlbawaniEarly contractor involvement is key to success
From a construction delivery perspective, one message rang loud and clear: contractors must be brought to the table early to avoid late-stage risks and costly redesigns.
“When contractors are engaged early, they can feed real-world constraints and opportunities into the design process,” said Michael Al-Kurdi, business development and relationship manager at Albawani, one of Saudi Arabia’s leading construction firms.
“Early contractor involvement (ECI) unlocks true collaboration and ensures harmony between vision and feasibility.”
Al-Kurdi noted that early involvement allows contractors to prepare the supply chain more effectively and anticipate delivery risks well in advance.
“It’s not just about feasibility – it’s about preparedness. These are huge, fast-moving projects, and the more aligned the stakeholders are from the outset, the smoother the execution phase will be.”
The panellists agreed that Saudi Arabia has a rare opportunity to reshape its global image through these sporting and cultural mega-events. But with tight deadlines and high global expectations, success will hinge not only on design and engineering innovation but also on collaboration, coordination and clarity of vision.
“We have an opportunity to lead the world – not just in the scale of what we’re building, but in how we build it,” Seymour said.
“That means doing things differently: being open, integrated and agile. If we can embed that mindset into every stadium, arena and event venue we build, we’ll not just meet the deadlines – we’ll set a new global benchmark.”
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US-Gulf AI deals usher new era
16 May 2025
US President Donald Trump's first Gulf trip in his second term of office did not disappoint, especially for the architects of the artificial intelligence (AI) strategies in Saudi Arabia and the UAE.
The chief executives of the largest US chip manufacturers, Nvidia and AMD, accompanied Trump during the visit, in which the most awaited announcements came through.
The US and the UAE broke ground on the 1GW first phase of a sprawling 5GW AI campus that will eventually occupy 25 square kilometres of land in Abu Dhabi.
Abu Dhabi government-backed AI firm G42 will build the AI campus, which will be operated in partnership with "several US companies", presumably the major hyperscalers including Amazon Web Services, Google and Microsoft.
The announcement fell short of confirming the specific volume of advanced graphics processing units (GPUs) that will be required by the AI complex, which will be the largest outside of the US when completed. Many news outlets had bet that Nvidia was to commit to supplying the UAE with 500,000 of its most advanced GPUs annually starting this year.
Using today's average cost-per-MW in constructing data centres, the project capex could easily reach $50bn.
In Riyadh, the deals were relatively smaller, though equally significant, and offered more details than those announced in Abu Dhabi.
The newly formed Humain, owned by sovereign wealth vehicle, the Public Investment Fund (PIF), signed preliminary deals with AMD and Nvidia to build multibillion-dollar advanced digital infrastructure in the kingdom.
AMD said it will invest up to $10bn to deploy 500MW of AI compute capacity in Saudi Arabia over the next five years. Nvidia agreed to develop a similar compute capacity to build AI factories in Saudi Arabia, which will require “several hundred thousand” of Nvidia’s most advanced GPUs over the next five years.
These deals help address fears that US export controls on advanced US-made GPUs could stifle both states' ambitious programmes to use AI to help diversify their economies away from hydrocarbons, while also future-proofing the hydrocarbons sector, their main economic growth engines thus far, by lowering emissions.
Tellingly, the US State Department said the UAE facility will "leverage nuclear, solar and gas power to minimise carbon emissions and will also house a science park driving advancements in AI innovation", a clear reference to a joint policy to alleviate these assets' environmental impact.
Abu Dhabi is already developing an energy infrastructure – comprising solar photovoltaic, battery energy storage systems, gas-fired plants and grid infrastructure – requiring close to $10bn of investments that will cater mainly to its AI strategy. Saudi Arabia is constructing 30GW of gas-fired and 16.4GW of solar and wind capacity in line with its energy diversification and 2030 renewable energy targets. Part of this capacity may help address the energy requirements of future AI facilities.
From a certain vantage point, there is nothing not to like in these deals, with AMD and Nvidia shares trading higher over the past few days.
It provides a clear picture of what the Gulf's two largest economies want for themselves as they seek to preserve their status as energy hubs, this time powered by clean energy and innovation, and create new revenue streams, hopefully without alienating their largest energy client, China.
Photo credit: Wam
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US and UAE agree 5GW artificial intelligence campus
16 May 2025
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The UAE and US governments have agreed to partner in building a new 5GW artificial intelligence (AI) campus.
The agreement is part of over $200bn-worth of deals announced during the state visit of US President Donald Trump to the UAE, the final stop of his four-day Gulf visit, which began in Riyadh on 13 May.
The project’s first phase entails a 1GW data centre, but the planned 5GW campus will be the largest outside the US once completed, the US State Department said.
“The UAE-US AI campus will include 5GW of capacity for AI data centres in Abu Dhabi, providing a regional platform from which US hyperscalers will be able to offer latency-friendly services to nearly half of the global population living within 3,200 kilometres of the UAE,” the department said.
“Once completed, the facility will leverage nuclear, solar and gas power to minimise carbon emissions and will also house a science park driving advancements in AI innovation.”
The campus in Abu Dhabi will span 10 square miles, roughly 26 square kilometres. It will be built by UAE-based AI firm G42 and operated in partnership with several US companies.
The endeavour builds on a new framework by the US and UAE governments, known as the US-UAE AI Acceleration Partnership, to deepen cooperation and collaboration on AI and advanced technologies.
Within 30 days of the agreement, the UAE and the US will establish a working group to implement, monitor and assess progress, the US State Department added.
The White House or State Department statements did not indicate which chips from US tech firm Nvidia or other US-based manufacturers will be deployed for the planned 5GW campus.
Related read: PIF’s Humain and US chipmakers seal multibillion-dollar deals
However, previous reports by Reuters and other media outlets indicated a pending deal that will allow the UAE to import as many as 500,000 Nvidia advanced graphics processing units (GPUs) annually starting this year.
The deal addresses fears that US export controls on advanced US-made GPUs could stifle the UAE’s ambitious AI strategy.
The White House said that the AI agreement “includes the UAE committing to invest in, build, or finance US data centres that are at least as large and as powerful as those in the UAE”.
“The agreement also contains historic commitments by the UAE to further align their national security regulations with the United States, including strong protections to prevent the diversion of US-origin technology.”
The other deals that were announced as part of the overall $200bn agreements include a $14.5bn commitment from Abu Dhabi-based state carrier Etihad Airways to invest in 28 Boeing 787 and 777x aircraft powered by GE Aerospace.
The estimated $200bn new US-UAE trade deals accelerate the UAE’s previous commitment to invest up to $1.4tn in the US over 10 years.
Abu Dhabi-headquartered Emirates Global Aluminium plans to invest in developing a $4bn primary aluminum smelter project in Oklahoma, while US energy firms ExxonMobil Corp, Occidental Petroleum and EOG Resources are partnering with Abu Dhabi National Oil Company in expanded oil and natural gas production valued at $60bn.
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