Construction works start on King Salman airport
9 January 2025
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King Salman International Airport Development Company (KSIADC), backed by Saudi Arabia’s Public Investment Fund, has started construction on King Salman International airport (KSIA) in Riyadh.
Local firm Almabani has been appointed to undertake the early works, with mobilisation already under way.
According to local media reports, Saudi Arabia’s Minister of Transport and Logistics, Saleh Bin Nasser AI-Jasser, said: “The detailed design work on the airport is progressing along with the start of preparatory works.”
Tendering activity is ramping up for KSIA as the client gears up to deliver several airport components this year.
In December last year, MEED exclusively reported that KSIADC is expected to float the tender in February for a contract to develop the first phase of KSIA’s Terminal 6 and Iconic Terminal.
Contractors submitted interest on 13 December for the contract to develop the first phase of the terminals, which the client plans to deliver on an early contractor involvement basis.
Firms were asked to prequalify by January for a contract to develop the third runway and taxiways at the airport.
Also in December, KSIADC received interest from firms for a contract to develop the private aviation apron for the project.
Project scale
The project covers an area of about 57 square kilometres (sq km), allowing for six parallel runways, and will include the existing terminals at King Khalid International airport. It will also include 12 sq km of airport support facilities, residential and recreational facilities, retail outlets and other logistics real estate.
If the project is completed on time in 2030, it will become the world’s largest operating airport in terms of passenger capacity, according to GlobalData.
The airport aims to accommodate up to 120 million passengers by 2030 and 185 million by 2050. The goal for cargo is to process 3.5 million tonnes a year by 2050.
Saudi Arabia plans to invest $100bn in its aviation sector. Riyadh’s Saudi Aviation Strategy, announced by the General Authority of Civil Aviation, aims to triple Saudi Arabia’s annual passenger traffic to 330 million travellers by 2030.
It also aims to increase air cargo traffic to 4.5 million tonnes and raise the country’s total air connections to more than 250 destinations.
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Siemens Energy wins $1.6bn Saudi deal
13 March 2025
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Chinese engineering, procurement and construction (EPC) contractor Harbin Electric International has awarded Germany’s Siemens Energy a contract to supply combined-cycle gas turbine (CCGT) units for the Rumah 2 and Nairiyah 2 independent power projects (IPPs) in Saudi Arabia.
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Chinese builders go global
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Commentary
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EditorRead the March MEED Business Review
It is difficult to fathom the scale of growth experienced by China’s construction sector over the past 20 years. Since 2004, it has grown by over 800%, with a compound annual growth rate of 11% to reach an estimated value of $4.5tn.
That success has created contractors that are now the largest construction companies on the planet. According to GlobalData, seven Chinese companies are among the top 10 largest construction companies in the world, with China State Construction Engineering Corporation topping the list with revenues of $320bn.
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The scale of the contractors and the large number of players yet to meaningfully venture overseas means they possess the ability to grow even further in the Middle East and North Africa as the region continues to press ahead with large-scale projects that require vast resources.
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