Related Articles

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  Oman kicks off airport procurement

  16 June 2025

  

   

  Oman’s Civil Aviation Authority (CAA) has launched the long-awaited procurement process for the construction of the new Musandam airport.

  Contractors have until 14 July to prequalify for the design and implementation of enabling works on the estimated $500m project.

  Almost 40 companies have purchased the prequalification application documents to date, including more than a dozen international contractors. These include PowerChina, China Communications Construction Company (CCCC), Hassan Allam and Arab Contractors of Egypt, India’s Larsen & Toubro, Mohammed Abulmohsin Al-Kharafi & Sons from Kuwait, Malaysia’s WCT Berhad Engineering & Construction and Qatar’s Generic Engineering Technologies & Contracting.  

  In March last year, the CAA appointed Swiss engineering firm Renardet SA & Partners to prepare designs for the proposed development of the airport in the northern peninsula of the sultanate, which is separated from the rest of Oman by the UAE.

  The airport is planned to be developed in two phases. The first phase involves the construction of a 2.5-kilometre-long and 45-metre-wide runway, a terminal building capable of handling 250,000 passengers annually, an air traffic control tower and other associated facilities.

  A new 7km-long road will also be constructed as part of the first phase.

  The second phase includes the expansion of the runway to 3.3km and the expansion of the terminal building and associated facilities.

  The main construction work is expected to take three years. 

  The implementation period for the second phase is 18 months. The airport is expected to be completed in 2028.

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  Edward James
• 
  Oman launches new mountain development

  16 June 2025

  

   

  Oman’s Ministry of Housing & Urban Planning has issued a tender for the comprehensive detailed masterplan and detailed engineering design for a major new residential and tourism development called Al-Jebal Al-Aali in the Al-Dakhiliyah region. 

  Interested consultants have until 10 July to submit their proposals for the contract, which encompasses planning, architecture, engineering and infrastructure design, tender preparation, tender launch, and award for both infrastructure and building elements.

  At least 10 local and international engineering firms have purchased tender documents to date, including Canada’s AtkinsRealis, France’s Artelia, Dar Al-Handash and Khatib & Alami, both of Lebanon, and local firms Almanarah Engineering Consultancy and Nicholson Jones Partnership Engineering Consultancy. 

  The multibillion-dollar Al-Jebal Al-Aali development lies on the Hajar Mountains range close to Jebal Akhdar. According to local media reports, it will cover an area of 11.8 square kilometres (km) along a 5.4km-long mountain ridge, and house more than 10,000 residents. 

  In May, an investment agreement was signed with the ministry for the first phase of a health-focused district at the development with an investment value of up to RO200m ($520m). The Western District project will cover 630,000 square metres and comprise 500 residential and hotel units. 

  Other agreements are expected to be signed in due course, particularly once the masterplan and basic infrastructure works handled by the ministry are completed.

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  Edward James
• 
  Scatec updates on two Egyptian renewables projects

  16 June 2025

  

   

  Register for MEED’s 14-day trial access 

  Norwegian renewable energy company Scatec has announced updates on two utility-scale renewable independent power projects (IPPs) in Egypt.

  For the first project, it has announced the signing of a 25-year power-purchase agreement (PPA) with Egyptian Electricity Transmission Company (EETC) for a new 900MW onshore wind IPP at Ras Shukeir on the Red Sea coast. 

  The PPA is denominated in US dollars, allowing it to be derisked from any fluctuations in the value of the Egyptian Pound. It is also sovereign-backed, further reducing development risk. 

  Scatec will set up a special-purpose vehicle project company called Shadwan Wind Power to develop the IPP. It says it will now proceed to conducting year-long wind measurements at the site before proceeding to financial close and construction. 

  Separately, the developer has announced financial close on its Obelisk solar power hybrid solar and battery project at Nagaa Hammadi in Upper Egypt, about 80 kilometres northwest of Luxor.

  Under the terms of the non-recourse financing, the IPP will receive $479m extended by the European Bank for Reconstruction & Development (EBRD), the African Development Bank (AfDB), and British International Investment (BII). 

  The financing amount corresponds to approximately 80% of the total estimated capex of $590m, with the difference funded from Scatec’s own equity injections at the end of the construction period after it recently signed equity bridge loans (EBLs) of $120m for the project.

  The Oslo-headquartered firm signed the 25-year PPA with EETC in September last year.

  The project will be constructed in two phases.

  The first phase comprises a 561MW solar and 100MW/200MWh battery storage project, which is targeted to reach commercial operation in the first half of 2026.

  The second phase comprises a 564MW solar project, which is expected to reach commercial operation in the second half of the same year.

  Scatec itself will deliver engineering, procurement and construction, asset management, and operations and maintenance services for the project. 

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  READ THE JUNE 2025 MEED BUSINESS REVIEW – click here to view PDF

  Gulf accelerates AI and data centre strategy; Baghdad keeps up project spending, but fiscal clouds gather; Banking stocks rise despite lower global oil prices

  Distributed to senior decision-makers in the region and around the world, the June 2025 edition of MEED Business Review includes:

  > AGENDA 1: Data centres churn investments > AGENDA 2: Gulf seizes AI opportunities > SYRIA: US announces lifting of Syria sanctions > MEED TOP 100: Middle East stocks defy lower oil prices > TOURISM: Abu Dhabi hopes bigger is better with Disney theme park > TRADE: Emerging Gulf-Asia corridor grows despite headwinds  > SAUDI ARABIA: Riyadh confirms capital expenditure cuts > INTERVIEW: Mena crucial to Veolia’s growth plan > IRAQ REPORT:  Iraq maintains its pace, for now > GULF PROJECTS INDEX: Gulf projects index leaps 4.3% > CONTRACT AWARDS: Region sees third month of weak awards activity > ECONOMIC DATA: Data drives regional projects > OPINION: Dealmaking trumps the Truman Doctrine

  To see previous issues of MEED Business Review, please click here

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  Edward James
• 
  Iraqi airspace shutdown to impact oil projects

  16 June 2025

  

   

  The closure of Iraq’s airspace and heightened concerns about security are likely to impact project progress in the country’s oil and gas sector, according to industry sources.

  Iraq closed its airspace and suspended all air traffic on 13 June following Israeli strikes on Iran on 12 June.

  Oil companies remain concerned about the potential for violence to spill over into Iraq and are closely watching developments, sources said.

  One source said: “All of the oil companies active in Iraq are likely to be watching developments very closely.

  “They are also likely to be drawing up plans for potential evacuations over land borders into neighbouring companies that could be used if the security situation deteriorates.

  “The latest developments are already impacting oil companies as they cannot transport workers and they are having to divert increased resources into security precautions.

  “Just how much projects will be impacted will depend on how long this period of heightened tensions goes on for and whether or not the security situation worsens.”

  If the conflict does escalate between Israel and Iran, Iraq’s southern oil and gas assets are likely to be most vulnerable as they would potentially be in the line of fire between the two countries, sources said.

  On 15 June 2025, Iraqi security forces deployed air defence systems near the Bazarkan oil field in Iraq’s Maysan province.

  On 12 June, the Italian oil company Eni, which is developing the Zubair oil and gas field in Basra, said it was closely monitoring the security situation in Iraq.

  The comments from the oil company came after the US decided to partially evacuate its embassy in the country.

  [Oil companies active in Iraq] are likely to be drawing up plans for potential evacuations over land borders into neighbouring companies that could be used if the security situation deteriorates
  Industry source

  This latest period of increased concerns about security in Iraq follows a surge in investment in the country’s oil and gas sector.

  In May, MEED revealed that the total value of all oil, gas and chemicals projects in Iraq had hit its highest level in a decade as international oil companies showed renewed enthusiasm for the country’s assets.

  On 6 May, the total value of projects within these sectors that had been announced as planned or already under execution hit $152.2bn, according to information gathered by regional projects tracker MEED Projects.

  The total value of oil, gas and chemicals projects in the country had risen by 15.6% since the same time last year, when it stood at $131.7bn. The value of projects under execution had also hit an all-time high of $93.3bn.

  ---

  MEED’s June 2025 report on Iraq includes:

  > COMMENT: Iraq maintains its pace, for now
  > GOVERNMENT & ECONOMY: Iraq’s economy faces brewing storm
  > OIL & GAS: Iraqi energy project value hits decade-high level
  > PIPELINES: Revival of Syrian oil export route could benefit Iraq
  > POWER: Iraq power sector turns a page
  > CONSTRUCTION: Iraq pours billions into housing and infrastructure projects
  > DATABANK: Iraq forecast dips on lower oil prices

  https://image.digitalinsightresearch.in/uploads/NewsArticle/14073591/main.jpg

  Wil Crisp
• 
  Kuwait issues Shagaya solar RFP

  16 June 2025

  

   

  Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE), through the Kuwait Authority for Partnership Projects (Kapp), has issued the request for proposals (RFPs) for a contract to develop the state’s first utility-scale solar photovoltaic (PV) plant.

  Prequalified developers have until 14 September to submit technical and commercial bids for the Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one independent power project (IPP), which will have a total power generating capacity of 1,100MW.

  Kapp issued the request for qualifications for the contract in January 2024, with six prequalified companies and consortiums announced in August. 

  They are: 

  • Acwa Power (Saudi Arabia) / Alternative Energy Projects Company (local)
  • Trung Nam Construction (Vietnam)
  • EDF Renewables (France) / Abdullah Al-Hamad Al-Sagar & Brothers Company (local) /  Korean Western Power Company (Kowepo, South Korea)
  • Jinko Power (Hong Kong) / Jera (Japan) 
  • Abu Dhabi Future Energy Company (Masdar, UAE) / Fouad Alghanim & Sons General Trading Contracting Company (local)
  • TotalEnergies Renewables (France)

  The selected developer will sign a 30-year power purchase agreement with the MEWRE to export its electricity output. The contract also calls for the construction of an associated 400kV transmission substation. 

  London-headquartered consultancy firm EY is the lead and financial transaction adviser. London-headquartered DLA Piper is the legal adviser, while Norwegian engineering services firm DNV is the client’s technical and environmental adviser.

  2030-50 strategy

  Kuwait aims to have a renewable energy installed capacity of 22,100MW by 2030 as part of the 20-year strategy announced in March and ending in 2050.

  In May this year, Kapp invited companies to prequalify for its Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone two IPP, which will have a capacity of 500MW. Applications are due by 24 July. 

  Minister of Electricity, Water & Renewable Energy, Salem Falah Al-Hajraf, confirmed that the strategy also involves installing distributed or rooftop solar farms, with the state procuring the energy output from solar PV farms.

  Kuwait aims to reach net-zero carbon emissions by 2060.

  ---

  READ THE JUNE 2025 MEED BUSINESS REVIEW – click here to view PDF

  Gulf accelerates AI and data centre strategy; Baghdad keeps up project spending, but fiscal clouds gather; Banking stocks rise despite lower global oil prices

  Distributed to senior decision-makers in the region and around the world, the June 2025 edition of MEED Business Review includes:

  > AGENDA 1: Data centres churn investments > AGENDA 2: Gulf seizes AI opportunities > SYRIA: US announces lifting of Syria sanctions > MEED TOP 100: Middle East stocks defy lower oil prices > TOURISM: Abu Dhabi hopes bigger is better with Disney theme park > TRADE: Emerging Gulf-Asia corridor grows despite headwinds  > SAUDI ARABIA: Riyadh confirms capital expenditure cuts > INTERVIEW: Mena crucial to Veolia’s growth plan > IRAQ REPORT:  Iraq maintains its pace, for now > GULF PROJECTS INDEX: Gulf projects index leaps 4.3% > CONTRACT AWARDS: Region sees third month of weak awards activity > ECONOMIC DATA: Data drives regional projects > OPINION: Dealmaking trumps the Truman Doctrine

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/14073231/main.gif

  Edward James