Iraq $1bn gas plant to complete in October
15 September 2023Iraq is planning a large ceremony that is expected to take place in October to mark the mechanical completion of the $1.07bn gas processing plant project at the Halfaya field, according to industry sources.
The facility is on course to reach mechanical completion in early October, with full commissioning expected to occur over subsequent months.
One source said: “The completion of this project is considered a major milestone by the Iraqi authorities.
“The facility will process large quantities of natural gas, which will provide significant benefits to the country, which is currently reliant on Iran for gas imports.”
The gas processing plant project at Halfaya was delayed due to Covid-19 pandemic-related issues.
In April 2019, China Petroleum Engineering & Construction Corporation (CPECC) announced it had been awarded the contract to build and operate the facilities to process natural gas extracted alongside crude at the Halfaya oil field.
CPECC signed a $1.07bn engineering, procurement, construction, commission, operations and maintenance (EPCCOM) contract for the plant with Iraq’s Oil Ministry on 29 July 2019 – just four months before the first case of Covid-19 was recorded.
The project was initially scheduled to be completed in 30 months.
One source said: “Although this project has been completed slightly behind the original schedule, it is remarkable that it is on course to be completed in less than five years – considering the significant disruption caused by the pandemic.”
CPECC is affiliated with China National Petroleum Corporation. The plant it is developing is expected to process around 300 million standard cubic feet a day of natural gas extracted alongside crude oil at the field.
Under the existing contract, CPECC will operate and maintain the facility for two years after completing the EPC work.
Speaking in June, Iraq’s Minister of Oil Hayan Abdul-Ghani said Iraq aims to meet its internal gas demand without imports within five to seven years.
Exclusive from Meed
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Oman makes strides forward in global LNG race
22 September 2025
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19 September 2025
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Kuwait aims to close bidding for $1.3bn oil projects
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Dubai heads towards record year for road construction
18 September 2025
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Three bids submitted for Riyadh-Qassim IWTP
18 September 2025
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Oman makes strides forward in global LNG race Indrajit Sen
22 September 2025
Commentary
Indrajit Sen
Oil & gas editorOman has recently made notable strides in the global race to lead the production and export of liquefied natural gas (LNG) — a critical enabler of the energy transition.
The Omani government made headlines in July last year, when it announced that majority state-owned Oman LNG would build a new train at its Qalhat LNG production complex in Sur. The new LNG train will have an output capacity of 3.8 million tonnes a year (t/y), increasing Oman LNG’s total production capacity to 15.2 million t/y when it is commissioned in 2029.
Oman LNG recently made key progress on its project to add a fourth processing train at the Sur LNG complex, shortlisting contractors to participate in the main tender for engineering, procurement and construction (EPC) works.
The start of the EPC tendering process and selection of bidders comes within ten months of Oman LNG awarding the contract for front-end engineering and design (feed) works on the project to US-based consultancy KBR.
Separately, MEED recently reported that France’s TotalEnergies is studying a potential expansion of its Marsa LNG bunkering and export terminal in Oman. The move is significant considering that the first phase of the project is currently under construction in the sultanate’s northern industrial city of Sohar, and will have an output capacity of 1 million t/y.
TotalEnergies purportedly began an initial study on a potential second phase of the Marsa LNG facility earlier this year. The French energy major might consider doubling the output capacity of the LNG complex, although the plan is yet to be laid out, according to sources.
Earlier this year, TotalEnergies appointed French contractor Technip Energies as a consultant to perform concept and feasibility studies on the proposed expansion phase of the Marsa LNG terminal, sources told MEED.
With Oman LNG going full throttle with its fourth LNG train project, and TotalEnergies mulling a potential doubling of LNG production in Oman, the sultanate is on course to establish itself as a prominent player in the global LNG domain by the end of this decade.
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Aseer-Jizan highway is a test case for Gulf infrastructure PPPs Yasir Iqbal
19 September 2025
Commentary
Yasir Iqbal
Construction writerRegister for MEED’s 14-day trial access
The start of tendering for the Aseer-Jizan highway public-private patnership (PPP) is a watershed moment in the Gulf region's approach to infrastructure. For decades, the major highways in the GCC have been delivered in the same way: government-funded, government-managed, with little appetite for risk-sharing.
This project breaks that mould. Aiming to be the first full-concession transport PPP in the region, it hands the private partner responsibility for design, construction, financing, operations and maintenance. This is a major step forward.
According to industry experts, the move signals that Saudi Arabia, and by extension the GCC, is ready to treat private investors as partners rather than contractors. The PPP models in social infrastructure have been useful experiments, but this case, where the private sector is taking on long-term risks, demonstrates the market’s growing maturity.
This raises the bar for private involvement and brings the model closer to precedents seen in Europe, Asia and Latin America.
However, there are still unknowns: the offtaker is new to the PPP market, and that adds uncertainty. But for investors, the prestige of being associated with Saudi Arabia’s first highway concession has its own appeal. As long as the payment guarantees are firm, the risk may be worth the reward.
If the project is executed well, it will set the standard for a new pipeline of road, airport and rail schemes. It will also deliver confidence, both for investors, who want predictable frameworks, and for governments, which want to stretch budgets without compromising delivery.
The wider GCC will study the Aseer-Jizan highway PPP carefully. The concession is the first test case that could pave the way for the region's investment-driven infrastructure developments.
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Kuwait aims to close bidding for $1.3bn oil projects Wil Crisp
19 September 2025
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State-owned upstream operator Kuwait Oil Company (KOC) is aiming to close the bidding process for two major projects by the end of September, according to sources.
Both projects are focused on the development of an oil separation facility, with their combined value expected to be about KD396m ($1.3bn).
Both tenders have seen several extensions to their bid deadlines since they were originally tendered.
One source said: “KOC has signalled to bidders that the bid deadline extensions are coming to an end.
“They are aiming to see bids submitted before the end of September. There maybe will be a small delay of a week, or something like that, but KOC is really looking to get bids in before the end of September.”
Both contracts were tendered in December 2024 and the original deadline for bid submission for both contracts was set for 16 March.
The first tender, estimated to be worth KD292m ($951m), is focused on developing a separation facility in the NK SA/BA area, close to Gathering Centre 23 (GC-23) and GC-24. The scope of the contract also includes a new injection facility at GC-31 and effluent water injection networks in north Kuwait.
The second contract, estimated to be worth KD104m ($338m), is focused on developing separation facilities at GC-25 and a water injection facility at GC-30.
Kuwait is in the middle of an upstream projects push, in line with producing 4 million barrels a day of oil by 2035.
On 10 May 2024, Kuwait’s Emir, Sheikh Mishal Al-Ahmad Al-Sabah, announced the indefinite suspension of parliament in a televised speech.
Under Kuwaiti law, parliament can be suspended for a maximum of four years.
Prior to the suspension of Kuwait’s parliament, the country suffered from very low levels of project awards for several years due to political gridlock and infighting between the country’s cabinet and parliament.
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Dubai heads towards record year for road construction MEED EDITORIAL
18 September 2025
Commentary
Colin Foreman
EditorDubai is investing heavily in infrastructure as it strives to keep up with the pace of real estate development across the city.
The most recent award was in early September, when the Roads & Transport Authority (RTA) selected Beijing-headquartered China Civil Engineering Construction Corporation as the contractor for the Al-Safa Street improvement project.
According to regional projects tracker MEED Projects, Dubai is on course for a record year in 2025, with awards already reaching $1.216bn year-to-date. That exceeds the 2024 total of $774m and is almost equal to the total for the whole of 2023, positioning 2025 to surpass the previous peaks of $1.621bn in 2017 and $1.644bn in 2008.
Road construction awards had slumped to just $101m in 2020 and $139m in 2021, reflecting both the impact of the pandemic and a slowdown in project spending. Since then, a strong recovery has taken hold as the government prioritises transport links to support growth areas such as Dubai South, Al-Maktoum International airport and new housing corridors.
By allocating record spending to road construction, Dubai is signalling that it recognises the urgency of the problem.
Building roads alone is not enough. To remain an efficient global city, Dubai needs a modern transportation network that does not just rely on roads. More metro lines are under construction and are being planned, and there are also plans for cable car systems and tunnel networks.
These projects will take time to be delivered. In the meantime, the record awards of 2025 are a welcome sign that road capacity will increase, even if congestion remains an ongoing problem in the short term.
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Three bids submitted for Riyadh-Qassim IWTP Mark Dowdall
18 September 2025
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State water offtaker Saudi Water Partnership Company (SWPC) has received three bids from the private sector for the development of the Riyadh-Qassim independent water transmission pipeline (IWTP) project.
The bids were submitted by two consortiums and one individual company.
The first consortium comprises Saudi firms Al-Jomaih Energy & Water, Al-Khorayef Water & Power Technologies, AlBawani Capital and Buhur for Investment Company.
The second consortium comprises Bahrain/Saudi Arabia-based Lamar Holding, the UAE's Etihad Water & Electricity and China’s Shaanxi Construction Installation Group.
The third bid was submitted by Saudi Arabia's Vision Invest.
In August, MEED exclusively reported that SWPC had extended the bid submission deadline again for a contract to develop and operate the project.
The deadline for bids was 17 September.
The project will have a transmission capacity of 685,000 cubic metres a day. It will include a pipeline length of 859 kilometres (km) and a total storage capacity of 1.59 million cubic metres.
The scheme is the third IWTP contract to be tendered by SWPC since 2022.
The first two are the 150km Rayis-Rabigh IWTP, which is under construction, and the 603km Jubail-Buraydah IWTP, the contract for which was awarded to a team of Riyadh-based companies comprising Al-Jomaih Energy & Water, Nesma Group and Buhur for Investment Company.
Like the first two IWTPs, the Riyadh-Qassim IWTP project will be developed using a 35-year build-own-operate-transfer contracting model.
Commercial operations are expected to commence in the first quarter of 2030.
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