A case study in procurement
18 March 2025

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While it may not be in the headlines as much as some of its more eye-catching official gigaproject counterparts, Roshn has already delivered thousands of residential units in Saudi Arabia as it seeks to fill the upscale and community living housing map.
Launched in 2020, the Roshn gigaproject is a component of the Vision 2030 plan to achieve 70% home ownership among Saudi nationals by 2030. Alongside the National Housing Company, it is the delivery vehicle for government-backed housing construction as Riyadh seeks to meet the shortfall in available stock.
Its first project was its Sedra community in the north of the capital. Currently on its fourth of eight delivery phases, the multibillion-dollar masterplanned development will comprise 30,000 homes over 20 million square metres (sq m) when completed.
Roshn’s second Riyadh community under construction is Warefa in the northeast of the capital. More compact than Sedra, it will have 2,300 units over an area of 1.4 square kilometres, with 150,000 sq m of green open space.
Three years after the launch of its first projects, Roshn announced Marafy, its first scheme in Jeddah and its largest mixed-use development to date. Designed to accommodate more than 130,000 residents, Marafy will be built around an 11-kilometre, 100-metre-wide canal, linking with Obhur Creek in the northern outskirts of the kingdom’s second city.
Already breaking ground, Marafy’s first core component is the Alarous residential community, which will offer 18,000 units over a 4 million sq m land area.
Elsewhere in the kingdom, Roshn’s other planned community projects include Almanar in Mecca, Alfulwa in Hofuf and Aldanah in Dhahran. Between them, these schemes total more than 50,000 units. It is expected that thousands of additional homes in other parts of the kingdom will be announced by the developer in the next two years.
Delivering such projects at many different locations is a complex exercise, requiring procurement strategies that not only encompass on-time and on-budget completion, but also ensure that local content is maximised while at the same time maintaining stringent quality standards.
Tasked with handling Roshn’s overall procurement strategy is Iain McBride, the gigaproject developer’s head of commercial.
It is expected that thousands of additional homes in other parts of the kingdom will be announced by the developer in the next two years
Like other gigaprojects in the kingdom, McBride and his procurement team have had to deal with the twin challenges of soaring cost inflation and maximising local content in materials and equipment.
The five official gigaprojects – Diriyah, Neom, the Red Sea Project, Qiddiya and Roshn – are free to employ their own procurement rules and processes, and each has taken a different approach to address its specific requirements. For example, Red Sea Global uses a construction management approach wherein it contracts directly with companies and suppliers that would normally work as subcontractors under the main contractors.
Similarly, Diriyah Company employs a strategy of bundling several smaller contract packages into a single large contract, as a means of consolidating work to ensure lower costs and maintain contractor interest.
Hear directly from the gigaproject owners at the biggest construction event – The Saudi Gigaprojects 2025 Summit, happening in Riyadh from 12-14 May 2025. Click here to know more
Demand signalling
The nature of Roshn’s mainly residential projects means that from the outset it knew it would need thousands of items with similar specifications, such as doors; glass panes; sanitaryware; and heating, ventilation and air-conditioning systems.
To secure this supply chain, early on the company identified local manufacturers of these products and reached long-term agreements with them for the delivery of required materials.
“Our first step was signing a lot of long-term partnership agreements through master purchase agreements where we could leverage preferential rates,” says McBride, speaking to MEED in late January.
“Ultimately, it's all about balance and risk – derisking the opportunities for the supply chain by telling them how many doors, for example, we're going to need each quarter for the next five to 10 years. It gives confidence to the manufacturers that they can start committing to.”
Roshn was the first of the gigaprojects to publicly signal its demand requirements. In 2021, it announced that it would require at least 5 million doors, 3.5 million air-conditioning units, 4.3 million windows, 80 million sq m of tiles and 6.5 million pieces of sanitaryware. These numbers have since changed, but they are indicative of the scale of the supply chain challenge.
Armed with the knowledge that Roshn is both supported by its parent, sovereign wealth vehicle the Public Investment Fund (PIF), and that it is a central element of Saudi Vision 2030, local manufacturers had the confidence to commit to investing in production capacity to meet its needs.
Significantly, most of these deals have been with manufacturers within the kingdom, thereby maximising the local content aspects. Just as importantly, Roshn has not had to make any fixed orders – so-called ‘take-or-pay agreements’ – with suppliers, such is the latter’s faith in the developer.
“For the time being, we’ve not had to make any firm commitments,” says McBride. “We did look at it at one point, but our approach has always been to keep it as simple as possible by listening to the supply chain and seeing what they need. When we were speaking to them, it wasn’t their number one driver; they weren’t screaming at us saying, ‘We need you to give us a firm order’.
“Now, many people think a take-or-pay agreement is essential – where you commit to ordering [a certain quantity] of materials over a period of months or years and, if you don’t, you have to pay a penalty, thereby adding risk and complexity for the developer.
“What we were able to agree instead was that we'll be open and transparent with [the suppliers about] what we need. We said to ourselves, ‘Let's get a good price that works, whether we buy directly from the supplier or whether we include that supplier within our tenders with major contractors’. And we’ve seen great success with that approach, with multiple companies.”
The localisation push is supported by the design process. Wherever possible, the designs for Roshn’s projects incorporate and specify equipment and materials that are known to be manufactured locally.
There have been instances where specific, specialised materials and products are not produced in the kingdom, or not in the quantities required, such as marble and certain architectural facades.
Where this is the case, Roshn is keen to explore how it can help to build in-kingdom capacity. The developer has initiatives through which it looks to co-invest in production facilities that come with high capital requirements.
As McBride explains, Roshn is only one part of the huge and rapidly accelerating Saudi projects market ecosystem, and in helping to increase capacity, it is also putting itself in a position to help other developers with their supply chain needs.
A case in point is Roshn’s contract with China Harbour Engineering Company, which was awarded the $2bn deal in 2023 to build villas at Sedra and Warefa.
Part of the contract requires the Chinese contractor to set up a precast manufacturing facility on site at Sedra. In this way, Roshn could not only ringfence the plant for its own needs, but when it no longer requires the output, other projects could benefit from its production capacity.
“The factory has a 15-year lifespan, so any additional capacity will be there for another 10 years after our requirements are met,” says McBride. “In Riyadh, we have Expo 2030, the new airport, the stadiums and many other projects that could draw on its output.”
There are some situations where even this is not enough, particularly when it comes to contracting expertise. One such case is Roshn’s mandate to develop a 45,000-seat stadium in the southwest of Riyadh as part of the kingdom’s Fifa World Cup 2034 plans. On such a complex, highly engineered project, Roshn has insisted that an international contractor teams up with a local company as a condition of tender participation.
This insistence is based on Roshn’s experience overseeing the construction of a football stadium in Dammam alongside co-developer, Saudi Aramco. The project, which is being built by a joint venture of Belgium’s Besix and the local Albawani, is proceeding at a rapid pace and progress has been relatively trouble-free.
McBride says: “If we have to go abroad, let’s go abroad. But make sure it’s done in a smart way and that we’re not just throwing money out of the kingdom.”
Early contractor involvement
On the issue of contracting, it is well known that the massive amount of work in Saudi Arabia is stretching contractors to the limit, pushing up prices and straining labour, engineering and equipment resources.
Roshn’s approach to this challenge has been to engage with contractors at the earliest possible stage of project planning, specifically at the design phase, through an early contractor involvement (ECI) procurement framework. In this way, the company is able to obtain contractor feedback during concept and design and subsequently lower construction risk by improving a project’s constructability.
“It's about signposting the demand by getting the contractor in early, where you can really influence the design, the buildability and the value-engineering opportunities,” says McBride. “Ideally, we bring them in as quickly as possible during the concept stages, when there's very little cost to changing things.
“The worst thing for a contractor is receiving a [request for proposal] cold. They have to … come back in four weeks and then be squeezed for a best price, whereas with ECI they can add value. They really appreciate that.”
When asked to quantify the cost benefits of such an approach, McBride is forthright: “It’s not even a case of doing the maths,” he says. “We have a great example of where it’s worked on our Aldanah project in Dammam. We selected the contract very early on and locked in the floor plans and facades that we wanted. We were then able to deliver a street of 10 show homes [that took] not much more than four months to design and construct.
“The saving, in terms of time, was massive; we probably halved the duration. I probably wouldn’t be exaggerating if I said it saved about a year.
“There are two ways you can follow your engineer,” he continues. “One: you can follow them early and make sure that the way you're looking to save costs is in areas that are not impacting the customer.
“Or two: the worst thing you can do is get to the end and you have a full structural design that could be over-engineered and you’re spending money in the wrong places.
“We don’t want to get to a point where we're trying to value-engineer by cutting things out that are important to customers,” McBride explains. “And that's what you avoid by having this early contractor involvement.”
The company is able to obtain contractor feedback during concept and design and subsequently lower construction risk by improving a project’s constructability
Unlike the other gigaprojects, Roshn has been in the favourable position of being able to raise some revenue by marketing and selling its properties off plan. While this has been beneficial from a development perspective, it has also meant that the developer must get its pricing and housing specifications right if it is to develop homes within an already-defined budget.
Having a contracting partner on board during the design and specification stage facilitates the conversation between the property sales team, which is informing on market requirements, and the builder, who can deliver within the designed cost and quality parameters.
This is in contrast to many real estate developments for which sales are completed before the construction estimates come in, potentially undermining the business case.
The step beyond ECI is for contractors and suppliers to partner with Roshn to inject equity into the projects by acting as co-developers. McBride points to several planned mid-rise towers at Marafy that could be a starting point for this.
Contractors financing projects or bringing in replacement equity has long been an ambition in the region, but builders have been reluctant to adopt this approach. Nonetheless, McBride is confident that it could happen, indicating that there has already been strong interest from the contracting community.
Cost inflation
Another major talking point in Saudi construction is the escalating costs caused by high inflation, logistical challenges and a tightening of contracting and skilled labour capacity.
In many cases, this has required the rescoping of projects, revisions to timelines and even the scrapping of elements. Neom is arguably the best example of this, as it has reprioritised The Line and is facing an estimated cost of $50bn for building each of its first three modules – far in excess of original estimates.
Roshn’s approach to the challenge is to be as open and transparent as possible with the contractor and supplier community. This has involved outlining a long-term pipeline of work that gives the supply chain confidence about its requirements, enabling them to fix in long-term pricing structures. In return, the developer expects prices to come in competitively.
“It’s no secret within the supply chain market that Roshn has quite aggressive price points,” says McBride, a former chartered surveyor who, prior to joining Roshn, worked as a quantity surveyor and cost-management director at consultants Faithful+Gould (now AtkinsRealis) and Rider Levett Bucknall.
“What we're trying to do is engage early, build trust with the contractors, let them see we’re a good client that's going to pay and have honest and fair contracting terms, and work together to try and solve issues post-contract.
“We don't mind if there's inflationary pressures because of commodity prices increasing. But what we're trying to avoid is inflationary prices through just the demand increasing.
“An innovative way that we've implemented this even on our lump-sum contracts – our traditional Redbook or older contracts – is that we have preferred supplier agreement clauses in them,” he adds.
“So, rather than a traditional bill of quantities (BoQ) that has a rate, a quantity, a total, within our rate section we have the material supply rate, the installation rate and then everything else, such as overhead profit. We protect the installation rate, so it's not a percentage of the material; it's a fixed SR100 a square metre to install, for example.
“One of the big frustrations for contractors is [that the supplier has] a material we think they're going to deliver. It's maybe not available, so they submit alternative materials. The client keeps rejecting it – it's not what they want – and it becomes a delay; it's painful.”
McBride gives the example of a pre-approved bathroom sink. Thanks to Roshn’s relationships with key long-term suppliers, the company is able to negotiate better rates for sanitaryware than would be available to a contractor on an ad hoc basis. If the developer’s rates for sinks are better than the BoQ, it splits the savings 50:50 with the contractor.
“The contractors are winning out of that exercise, we're winning out of it and, ultimately, the customers are winning out of it as well, because we’re passing on those savings,” says McBride.
Flexibility
The benefits to contractors and suppliers extend to payment terms. In today’s sellers’ market, vendors are effectively able to pick and choose the clients they want to work for. As a result, clients – including the gigaprojects – have had to introduce more flexible payment terms and develop market reputations for paying on time.
Roshn may lead the pack on this, with an average payment time from invoice to payment of just 13 days in 2024. A decade ago, this would have been unheard of, but it is now increasingly becoming the norm among the gigaprojects.
In addition, like its PIF peers, Roshn has done away with tender fees and tender bonds, viewing them as outdated means of enforcing vendor participation, especially given the tight liquidity and cashflow situation in the projects market in Saudi Arabia.
Will such flexibility ever extend to performance bonds? McBride is sceptical, pointing to the fact that Roshn’s strong relationship with local banks allows to it facilitate credit agreements between contractors and their lenders. Being a gigaproject developer supported by the PIF – and by tacit extension the state – also helps provide the underlining ease of mind for financers.
Nonetheless, Roshn also takes a proactive approach with advanced payments, enabling up to 20% of the total contract value at the initial stage of the project.
“We've been quite clever in how we do this,” says McBride. “We don't go and release 20% straight away. We’ll do 10% and then, when we’ve evidence that you’ve expended that 10% on mobilisation and site establishment, we’ll release the second 10% tranche.”
Subcontractors
One of the chief sticking points in the kingdom’s projects ecosystem in the past decade has been the capacity and capability of its subcontractors.
The payments crisis in 2017-20 forced many main and general contractors to reduce their permanent labour forces, plant and general resources. Wary of a repeat, most have retained their leaner structure and so have turned increasingly to subcontractors for their manpower and delivery requirements.
In theory, this makes sense, but in practice subcontractors in Saudi Arabia are themselves often overstretched in terms of both delivery capacity and labour availability. In turn, they frequently use their own subcontractors, which then also outsource, to the point that specific elements of a project may be completed by companies very far down the supply chain – with the quality issues that this implies.
Roshn’s solution is to ensure any subcontractor on site goes through a vetting process encompassing quality and financial checks, thereby ensuring it has full visibility on every company on site.
Increasingly, Roshn is dealing with suppliers directly, under supply-install contracts. This can create interfacing issues with the main contractors, however, which are ultimately responsible for the project’s delivery.
“We have to be quite careful on that,” McBride says. “We have to go through all the checks and balances during the prequalification process because if we are going to give a subcontractor to a contractor that we're saying is pre-vetted by Roshn, we could be opening the door to lots of claims from the main contractor against us. So, vetting for us is absolutely crucial.”
Roshn is also working with smaller suppliers and subcontractors to help them evolve and grow, so that they can start taking on smaller main contractor roles themselves.
“Not every construction package we award is in the billions of riyals,” says McBride. “Our thinking is to let the big tier-one contractors focus on the multibillion-riyal deals while we encourage the smaller ones to grow as part of our supplier development programme.”
To achieve this, the developer holds events and bootcamps with its vendors to discuss best practices on subjects including health and safety, variation procedures and how to submit good tender returns.
Roshn is also working with smaller suppliers and subcontractors to help them evolve and grow
Building information modelling
Vendor education also extends to the use of building information modelling (BIM) and other construction technologies.
BIM is mandatory on Roshn’s projects, as it is on the other gigaprojects. While use of the technology is standard across almost all main contractors in the region, its take-up among smaller companies in the supply chain has been slower, with firms pointing to the cost of its adoption and integration as a barrier, as well as the fact that some clients, particularly government ones, view it as providing limited benefit.
Roshn’s task in this area is made difficult because its projects are less complex from an engineering and construction perspective.
“We’re building villas; it’s completely different to building stadiums or airports,” McBride says. “Can these contractors build from [two-dimensional] drawings? Yes, of course they can. You're not going to convince a smaller contractor that all of these benefits will make it easier to build because they know how to build. They've been doing it for decades.
“But the savings are in making it easier to procure, savings in the repeatability, and in the change control. If you upskill yourself on a Roshn project, you are building your capability, which you can then [demonstrate] to other clients as proof you can go after bigger and more complex projects. It's something that the whole industry has to get behind.”
Indeed, there is much to learn from Roshn’s approach to delivering its infrastructure and building plans. While the comparatively straightforward nature of its projects means that its procurement strategies may not be suited to those gigaprojects with more iconic designs, for many other developers it is a case study in efficient processes that have proven effective in delivering work on time and to budget.
This is just as well given that Roshn is set to embark on the next stage of its journey, with its focus on the more complex Marafy city development in Jeddah and Roshn Stadium in Riyadh. However, the evidence suggests that from a procurement strategy perspective, it is well-positioned to also make this a success.
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Qiddiya plans $7bn theme park hub near Paris25 August 2026
Saudi Arabia’s Qiddiya Investment Company plans to develop a mixed-use leisure destination worth about €6bn ($7bn) at Cergy-Pontoise in the Ile-de-France region, in one of the largest Saudi investments in French tourism infrastructure to date.
The plan was set out in a joint statement issued on 24 August at the close of a state visit to France by Crown Prince and Prime Minister Mohammed Bin Salman Bin Abdulaziz Al-Saud. France and Saudi Arabia signed a memorandum of understanding (MoU) covering the project during the two-day visit.
The destination will bring together entertainment, leisure, hospitality, culture and sport, according to the joint statement. Current plans envisage up to three major entertainment anchors, hotels and complementary leisure experiences, with the €6bn figure covering the full development lifecycle.
One of the three parks is expected to be manga-themed, according to the French presidency. The themes of the other two have not been disclosed. The parks will be built and opened in stages, with construction expected to take several years. No opening date has been given.
The parks are expected to create about 22,000 direct jobs, according to the French presidency, compared with about 20,000 at Disneyland Paris. Cergy-Pontoise lies about 30 kilometres northwest of Paris.
Qiddiya is a subsidiary of the Public Investment Fund, Saudi Arabia’s sovereign wealth fund. Its flagship project is a giga-scale entertainment, sports and cultural city on the outskirts of Riyadh, one of several gigaprojects under Vision 2030.
The theme park plan was among a wider set of agreements reached during the visit. Both sides welcomed the announcement of 21 agreements and MoUs at a French-Saudi investment roundtable, spanning energy, industry, financial services, transport and logistics, health, culture, tourism and artificial intelligence. Bilateral trade reached about $11.8bn in 2025.
It is not the first time Saudi capital has backed a French theme park. Kingdom Holding Company was a longstanding investor in the operator of Disneyland Paris, first taking a stake in 1994 and participating in successive recapitalisations before Walt Disney Company moved to near-full ownership in 2017.
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Masdar shelves Abu Dhabi green hydrogen project25 August 2026

Abu Dhabi Future Energy Company (Masdar) has decided to cancel a planned project to build a green hydrogen plant in Abu Dhabi that would have supplied up to 100MW of renewable hydrogen to local steelmaker Emsteel for green steel production.
After contractors submitted bids for the project last year, Masdar asked bidders in the first quarter of this year to extend the validity of their proposals until the end of August to allow “more time to study and evaluate bids”, according to one source.
However, Masdar issued a notification to all bidders on 1 August stating that it had decided to cancel the project, sources told MEED.
Contractors that submitted bids for the Masdar green hydrogen project included:
- Envision (China)
- Larsen & Toubro (India)
- PowerChina (China)
- Samsung E&A (South Korea)
- Sinopec (China)
Masdar did not respond to MEED’s request for comment on the information.
In its current steelmaking process, Emsteel uses hydrogen produced by steam reforming of natural gas as a reducing agent to extract iron from iron ore. The core objective of Masdar’s planned project was to install a 100MW electrolyser at Emsteel’s main manufacturing hub in Musaffah, Abu Dhabi, to supply green hydrogen for future clean steel production.
Masdar initiated work on the project in 2024 by awarding a front-end engineering and design (feed) contract to locally based NT Energies, a joint venture of Abu Dhabi’s NMDC Energy and France-based Technip Energies.
Masdar then sought proposals last year for engineering, procurement, construction, demolition (if needed for brownfield activities), pre-commissioning, commissioning, start-up, and two years of operations and maintenance (extendable up to 20 years) at the planned facility.
Contractors submitted bids by the end of the year, according to sources.
The project involved green hydrogen production using alkaline water electrolysis, with a total installed electrolyser capacity of 100MW.
The scope of work involved building electrolyser stacks and modules, hydrogen separation and compression units, associated utilities and storage systems, and electrical, instrumentation and control systems.
It also included tie-ins to pre-defined interface points, including (but not limited to):
- a grid power supply connection to the MOSF substation in Musaffah that exists within the Emsteel complex and is operated by Taqa Transmission
- a water supply connection to a nearby Taqa Distribution network
Supporting infrastructure included a substation, a motor control centre, and ancillary plant buildings and facilities.
Masdar’s planned 100MW electrolyser project at the Emsteel facility would have represented a step up from a previous pilot project by the two Abu Dhabi-owned companies.
The partners inaugurated a pilot green hydrogen plant at Emsteel’s manufacturing complex in Musaffah in October 2024. It incorporates a 2.1MW electrolyser and is designed to support the production of up to 5,000 tonnes of green steel a year.
This made Emsteel the only steelmaker in the Middle East to use green hydrogen to produce green steel on a pilot basis.
“Sustainability is central to Emsteel’s innovation, competitiveness and long-term growth. Today, approximately 89% of our steel business electricity consumption comes from clean sources, and our steel carbon emissions intensity is around 40% lower than the World Steel Association global average,” Michael Rion, chief commercial officer of Emirates Steel, part of Emsteel Group, told MEED in a recent interview.
READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDFSaudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.
Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:
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Oman invites bids for Musandam renewables study25 August 2026
Oman’s Nama Power & Water Procurement Company (PWP) has issued a request for proposals (RFP) for techno-economic consultancy services to assess the feasibility of renewable energy options in Musandam Governorate.
The study will examine solar photovoltaic (PV), wind and hybrid renewable energy configurations. It will also assess battery energy storage systems (bess) and other renewable energy and energy storage technologies.
The consultant will be required to determine which technologies are technically and economically justified for the governorate.
The bid submission deadline is 24 September.
The Musandam power system is served primarily by the 123MW Musandam independent power plant (IPP), which began operating in 2017. The governorate has historically relied on small diesel-fired units, but has been seeking to move away from diesel-fired power generation for several years.
Nama PWP has previously said it was exploring renewable energy options in Musandam to meet future additional capacity requirements.
Its latest seven-year statement, released in March, forecasts peak electricity demand in Musandam to rise from 91MW in 2024 to 130MW in 2031, an average annual increase of 5%. Average demand is forecast to rise from 52MW to 73MW over the same period.
The plan says demand growth is being driven by distribution-level load and projects aimed at boosting tourism, economic and commercial activity.
Separately, the utility recently invited bids for financial and commercial consultancy services covering three 1GW solar IPPs targeted for commercial operation by the second quarter of 2030.
The bid submissions deadline is 10 September.
The three projects covered by the financial and commercial consultancy tender are understood to also be part of the 4GW programme, for which a technical advisory tender was issued on 15 July.
Bidding for this tender closes on 26 August.
READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDFSaudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.
Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:
> WORLD CUP: What the 2026 World Cup means for Saudi Arabia 2034> MARKET FOCUS: Maghreb fortunes diverge> INDUSTRY REPORT: GCC banks prove resilient amid turmoil> LEADERSHIP: Private capital and the GCC infrastructure inflection> INTERVIEW: Developers look beyond standalone solarTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/18983679/main.jpg -
US launches sanctions campaign against Iran25 August 2026
The US has launched a sweeping sanctions campaign against Iran and the entities that trade with it, imposing measures on almost 60 individuals, companies and vessels while expanding the reach of secondary sanctions across five sectors of the Iranian economy.
The campaign, named Operation Economic Outcast, was announced on 24 August by US treasury secretary Scott Bessent, who described it as an economic D-Day for Iran. He said Washington’s objective was to sever every economic lifeline sustaining the Iranian regime.
The treasury’s Office of Foreign Assets Control (Ofac) issued five sectoral sanctions determinations under Executive Order 13902, covering digital assets, technology, gold, aviation and shipping. The determinations allow Ofac to sanction any person operating in those sectors, regardless of location. Washington said Iran uses cryptocurrency for sanctions evasion, seeks advanced technology for its weapons programmes, uses gold to stabilise the rial, and relies on commercial aviation and shipping networks to move fighters, weapons and oil revenue.
The measures build on earlier determinations targeting Iran’s financial, petroleum and petrochemical sectors.
Ofac also sanctioned close to 60 entities, individuals and vessels across multiple jurisdictions, including UAE-based entities, over alleged involvement in nuclear and missile procurement, cyber operations and oil revenue networks. The designations named a network of brokers, companies and shadow fleet vessels operating across the UAE, Hong Kong, China, Singapore, Switzerland and other regions to transport Iranian oil and channel revenue to the Islamic Revolutionary Guard Corps.
Among those designated were shipping brokers and bunkering firms based in the UAE that Washington said facilitated Iranian oil shipments and provided services to sanctioned vessels. The treasury also identified several shadow fleet tankers as blocked property, saying they had moved millions of barrels of Iranian crude and petroleum products, mainly to China.
Separately, the treasury targeted a procurement network spanning the Middle East and East Asia that it said supported Iran’s acquisition of proliferation-sensitive equipment, along with a cyber group directed by Iran’s Ministry of Intelligence & Security.
Bessent said Washington was pressing governments to shut down Iran-related activity within defined timelines, warning that entities facilitating money laundering or sanctions evasion for Iran risked being cut off from the US financial system. He declined to name specific countries.
The campaign follows the UAE’s own move against Tehran. On 19 August, the UAE suspended all trade, commercial exchanges and financial transactions with Iran with immediate effect, citing regional escalation. The UAE has historically been one of Iran’s most significant trading partners, with much of the relationship built on re-export trade routed through Dubai.
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Kuwait tenders $3.3bn gas processing facility25 August 2026

State-owned Kuwait Gulf Oil Company (KGOC) has issued the tender for the development of an onshore gas plant next to the Al-Zour refinery, according to industry sources.
The project budget is estimated at $3.3bn, and the bid deadline is 29 December, with a meeting for contractors scheduled for 14 September.
The tender was issued on 23 August.
The proposed plant will have the capacity to process up to 632 million cubic feet a day of gas and 60,000 b/d a day of condensates from the Dorra offshore field, located in Gulf waters in the Saudi-Kuwait Neutral Zone.
In February, MEED reported that at least seven companies had shown interest in participating in the tender.
Contractors that sent representatives to previous meetings to discuss the project include:
- Samsung E&A (South Korea)
- Larsen & Toubro (India)
- Tecnicas Reunidas (Spain)
- Saipem (Italy)
- Hyundai Engineering & Construction (South Korea)
- Hyundai Engineering Company (South Korea)
- JGC (Japan)
The tender process is using a fast-track model, which means that Kuwait’s Central Agency for Public Tenders (Capt) will not be involved in the tender process.
Capt typically reviews the technical and commercial evaluations of bids and verifies that the bidding process is competitive.
It is understood that not requiring Capt to approve this tender is expected to speed up the tender process.
Iran disputes ownership of the field, referring to it as Arash.
Iran claims the field partially extends into Iranian territory and asserts that Tehran should be a stakeholder in its development.
The Dorra field’s close proximity to Iran could make development difficult due to current security concerns.
The offshore elements of the wider Dorra field development project are expected to be especially difficult to protect from attacks from Iran.
Earlier this month, MEED revealed that Al-Khafji Joint Operations (KJO) had selected contractors for two major offshore packages under the Dorra field facilities development project.
KJO, which is jointly owned by Aramco subsidiary Aramco Gulf Operations Company and Kuwait Petroleum Corporation subsidiary KGOC, has divided the engineering, procurement and construction (EPC) scope for the Dorra gas production project into four packages: three offshore and one onshore.
US-based McDermott International has secured offshore package 2A, valued at about $1.5bn, according to sources.
A consortium of India’s Larsen & Toubro Energy Hydrocarbon (LTEH) and Italian contractor Saipem has secured package 2B, sources told MEED.
Estimated at about $3.7bn, package 2B is the largest of the three offshore EPC packages under the Dorra field facilities project.
MEED reported in March that the LTEH/Saipem consortium had emerged as the lowest bidder for offshore package 2B.
Contractors submitted bids for offshore packages 2A and 2B by the 9 March deadline, MEED previously reported. Bid validity was understood to expire on 15 August, prompting KJO to issue letters of intent to the selected contractors earlier this month, sources said.
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