Related Articles

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  Neom seeks firms for Oxagon highway upgrade Yasir Iqbal

  19 August 2025

  

   

  Saudi Arabia’s Neom has invited firms to express interest in a contract for permanent upgrade works on Highway 55 in the Oxagon region.

  The expression of interest notice was issued on 12 August, with a submission deadline of 20 August.

  The scope of work includes the construction of 22 kilometres (km) of road, with three lanes in each direction. It also covers two bridges and four interchanges.

  The upgrade works have been divided into two sections: the north and south sections, each comprising 11km of roadway, one bridge and two interchanges.

  The contract duration is 34 months from the start of construction.

  Highway 55 connects the Red Sea coast with the mainland in northwestern Saudi Arabia. It currently serves as the only road providing north-south connectivity between Duba and the Neom region.

  The project is expected to support the movement of cargo vehicles from Duba Port to other parts of the country and the wider region.

  In July, Neom tested a pilot initiative by handling a shipment that travelled from Cairo via the Port of Safaga, across the Red Sea to the Port of Neom, and then inland to Erbil, Iraq.

  In a statement, Neom said: “The shipment travelled through an intermodal corridor spanning over 900 kilometres, marking a significant milestone in the kingdom’s transformation into a regional and global logistics hub.”

  The initiative was conceptualised by the Port of Neom and jointly undertaken with the Logistics Partnership Council.

  According to Neom, the initiative “more than halved the transit time between key regional trading hubs linking Egypt, Saudi Arabia and Iraq”.

  The Port of Neom is located on the Red Sea near the Arar border, a key entry point into Iraq.

  Neom said the pilot lays the foundation for a scalable model to enhance inland logistics connectivity within the region. The initiative could be expanded further to support transit trade and contribute to the Saudi Vision 2030 goal of building a diversified economy.

  

  https://image.digitalinsightresearch.in/uploads/NewsArticle/14496538/main.jpg

  Yasir Iqbal
• 
  Local contractor submits lowest bid for Dubai water pipeline Mark Dowdall

  19 August 2025

  Green Oasis General Contracting Company has submitted the lowest bid for a tender to supply, install, test and commission glass-reinforced epoxy (GRE) water transmission pipelines in Dubai.

  The project is part of Dubai’s ongoing efforts to enhance its water transmission infrastructure.

  The bidders and their total prices are:

  • Green Oasis General Contracting Company: AED289.57m ($78.7m)
  • Gulf Petrochemical Services (Section A only): AED147.33m ($40.1m)
  • Oman International Telecommunication: AED393.09m ($106.8m)
  • Tristar Engineering & Construction: AED409.48m ($111.2m)
  • Alnasr Contracting Company: AED427.14m ($115.9m)
  • Dineshchandra R. Agrawal Infracon Private: AED438.03m ($118.9m)

  The tender was issued by Dubai Electricity & Water Authority (Dewa), with a bid submission deadline of 14 August 2025.

  The project is expected to be completed over 18 months with an additional 60-day buffer period.

  By using GRE technology, the project reduces maintenance needs compared with traditional piping, improving cost-effectiveness over the system’s lifecycle.

  Some bidders offered a lower conditional price if multiple sections of the project are awarded, including Alnasr Contracting, Dineshchandra R. Agrawal and Oman International Telecommunication. Gulf Petrochemical Services, meanwhile, only quoted for Section A of the project rather than the entire scope.

  All approved bids were submitted online, and each bidder provided the required bank guarantees for the tender.

  https://image.digitalinsightresearch.in/uploads/NewsArticle/14496126/main.jpg

  Mark Dowdall
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  Lowest bidder emerges for Kuwait’s Doha desalination plant Mark Dowdall

  19 August 2025

  Kuwait-based Heavy Engineering Industries & Shipbuilding Company has submitted the lowest bid for a tender to supply, install, operate and maintain the second phase of the Doha seawater reverse osmosis (SWRO) desalination plant in Kuwait.

  The project scope includes the installation of reverse osmosis desalination facilities, along with alkalinisation equipment for the treated water.

  The bidders and their prices are:

  • Heavy Engineering Industries & Shipbuilding Company: KD114.28m ($373.2m)
  • Cox Water SL: KD164.80m ($538.1m)
  • Orascom Construction: KD174.13m ($568.4m)

  The tender was issued by Kuwait’s Ministry of Electricity, Water & Renewable Energy, and the deadline closed on 5 August 2025.

  The Doha SWRO desalination plant is part of Kuwait’s broader programme to expand water production capacity and reduce reliance on thermal desalination methods.

  In April, MEED reported that Kuwait had retendered the contract for the facility.

  The ministry had previously cancelled the initial tender in June last year. 

  When it was first tendered, the Doha SWRO phase two project was expected to have a capacity of 60 million imperial gallons a day (MIGD).

  The Ministry of Electricity & Water awarded South Korea’s Doosan Heavy Industries & Construction – now known as Doosan Enerbility – a $422m contract in May 2016 to build the 60 MIGD Doha 1 SWRO plant.

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  Mark Dowdall
• 
  Kuwait commits $224m to GCC power grid expansion Mark Dowdall

  19 August 2025

  The Kuwait Fund for Arab Economic Development has extended two loans worth KD70m ($224m) to finance the expansion of the Gulf Power Interconnection Project.

  The project is intended to strengthen regional energy integration, improve electricity exchange and support the shift to clean energy.

  The new Al-Wafra 400kV station will augment Kuwait’s national grid capacity by approximately 2,500MW, stabilising regional supply, particularly during summer demand surges.

  The GCC Interconnection Authority has also commenced construction of a 400kV, 295-kilometre transmission line connecting Kuwait’s Al-Wafra station to Iraq’s Al-Faw station. The first phase will export 500MW to Iraq, rising to 1,800MW over time.

  Additionally, a 400kV double-circuit overhead transmission line will connect Al-Wafra with Al-Fadhili in Saudi Arabia.

  Acting director general of the Kuwait Fund, Waleed Al-Bahar, said Kuwait will be the primary economic beneficiary, with surplus capacity from the project generating long-term economic returns.

  The new Al-Wafra 400kV station will also connect internally to Kuwait’s grid through the Sabah Al-Ahmad “3Z” and “4Z” substations.

  Full GCC–Iraq integration is expected to be completed by the end of 2026, with Kuwait’s involvement positioning the country as a crucial hub for regional electricity trade.

  

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  Mark Dowdall
• 
  UK and French firms confirmed for Riyadh stadium PPP Yasir Iqbal

  19 August 2025

  

   

  UK-based consultancy EY-Parthenon and French engineering firm Egis are supporting Saudi Arabia’s Ministry of Sport (MoS), the National Centre for Privatisation & PPP (NCP) and the Riyadh Region Municipality in developing the Prince Faisal Bin Fahad Sports City in Riyadh.

  MEED understands that EY-Parthenon is serving as the project’s lead and financial adviser, while Egis is acting as the technical adviser.

  The project will be delivered as a public-private partnership (PPP) under a design, build, finance, operate and maintain model, with a contract duration of 20 to 30 years.

  MEED reported earlier this month that Saudi Arabia had issued an expression of interest and request for qualifications notice for the development of the project.

  The notice was issued on 14 August, with a submission deadline of 13 October.

  The project involves constructing a stadium in the northern section of King Abdullah Park in the Al-Malaz area of Riyadh.

  The stadium will have a seating capacity of about 47,000 spectators.

  It will host major domestic and international football events, including matches during the 2034 Fifa World Cup.

  The scheme is the first of several stadiums expected to be delivered on a PPP basis in preparation for the 2034 Fifa World Cup in Saudi Arabia.

  In July, the MoS and NCP announced the winning bidders for the rights to own and operate three sports clubs in the kingdom.

  The agreement marks the first time a foreign investor has owned a Saudi football club, with US-based investment firm Harburg Group winning ownership rights to Al-Kholood Football Club.

  The club competes in the Saudi Pro League and is based in the city of Ar-Rass, in Al-Qassim province.

  Riyadh-based firm Nojoom Al-Salam Holding will assume ownership of Al-Zulfi Football Club. The club is based in Al-Qassim province and competes in the Saudi First Division League, the second tier of the Saudi Arabian football league system.

  Medina-based firm Awdah Al-Biladi & Sons acquired ownership of Al-Ansar Football Club. The club is based in Medina and plays in the Saudi Second Division, the third tier of Saudi Arabia’s football league.

  Saudi PPP market

  The value of PPP contracts in Saudi Arabia has risen sharply over the past two years, as the government seeks to develop projects through the private sector and diversify funding sources.

  According to data from regional projects tracker MEED Projects, the value of PPP concession contracts hit an all-time high of $28.2bn in 2023, equivalent to more than 23% of the total value of all project contracts awarded that year. Although this figure fell to 18.3% last year, it was still far higher than the historical average in the kingdom.

  The figures are even more striking when considering only government spending.

  The value of signed PPP contracts totalled more than one-third of government or government-related project awards in 2023, and more than one-quarter in 2024. This compares to an average of 15.6% between 2019 and 2022, and just 3.5% in 2018.

  Government contracts include awards made by ministries, municipalities and royal commissions, in addition to state-funded project clients such as the Saudi Water Authority, National Housing Company and Jeddah Airports Company. Subsidiaries of the sovereign wealth vehicle, the Public Investment Fund – such as Neom and Rua Al-Madinah – are also included.

  

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  Yasir Iqbal