GCC’s top five data centre projects
26 February 2025

Register for MEED’s 14-day trial access
Over the past few weeks, tech companies and data centre operators have announced multibillion-dollars’ worth of planned investments in data centre projects and related digital infrastructure.
Companies such as Riyadh-based DataVolt, Ezditek and Al-Moammer Information Systems and Dubai-headquartered Gulf Data Hub have signed agreements to develop artificial intelligence (AI)-enabled data centre facilities, primarily in Saudi Arabia.
Telecom companies such as Qatar’s Ooredoo, Saudi Arabia’s STC and the UAE’s Du and E& are continuing the expansion of their data centre facilities, while firms such as the UAE’s Khazna Data Centres plan to expand their capacity at home and abroad.
The scale of data centre projects coming to the market over the next few years or months is unprecedented.
Between 2020 and 2024, the GCC states awarded an average of $1.2bn of data centre construction contracts annually, which is the equivalent of the cost of just one thermal power plant with roughly 1GW of capacity.
The GCC region’s average data centre contract award value over this five-year window equated to a mere 0.48% of total contracts awarded in 2024, a record year, of $264bn.
This is expected to change with the announcement of new projects or ongoing schemes that aim to meet the region’s growing demand for cloud services and AI-based applications.
Related read: Region poised for huge investment in data centres
According to the latest available data from regional projects tracker MEED Projects, close to $7bn-worth of data centre projects are under construction, while some $13bn are in the pre-execution phase.
Here, MEED presents a summary of the top five projects that are planned or under execution.
DataVolt and Neom data centre project phase 1
Saudi gigaproject developer Neom and Saudi Arabia-based DataVolt, a developer, investor and operator of data centres, signed an agreement in January to develop a major data centre infrastructure in Oxagon, Neom’s industrial cluster.
Funded by an investment of about $5bn, the 1.5GW first phase of the project is expected to be operational by 2028. Neom expects the facility to be entirely powered by renewable energy, providing a fully integrated, end-to-end data centre solution.
The project will utilise advanced cooling technologies and is designed to operate at net-zero carbon emissions, addressing the global challenges of power availability and the carbon footprint posed by data centres.
Amazon Web Services Saudi Arabia Zone
In March 2024, US-headquartered Amazon Web Services (AWS) launched a plan for a new AWS Region in Saudi Arabia in 2026 as part of its long-term commitment to invest more than $5.3bn in the kingdom.
The planned AWS Region in Saudi Arabia will comprise three availability zones, or a data centre infrastructure in separate and distinct locations “far enough from each other to support customers’ business continuity, but near enough to provide low latency for high availability applications”.
Each availability zone has independent power, cooling and physical security and is connected “through redundant, ultra-low-latency networks”. The new AWS Region aims to provide options for various companies and organisations to run their applications and serve end users from data centres located in Saudi Arabia, “ensuring that customers who want to keep their content in-country can do so”.
Khazna 100MW data centre in Ajman
London-headquartered construction firm Laing O’Rourke has started construction on a new data centre in Ajman, UAE, which is being developed by UAE-based data centre and cloud services provider Khazna Data Centres.
The multibillion-dirham project will be the UAE’s largest AI-enhanced data centre, with an expected capacity of 100MW. Expected to be completed next year, the planned Tier 3 data centre project will cover an area of 100,000 square metres and will include 20 data halls, each with a capacity of 5MW.
Desert Dragon
Riyadh-headquartered data centre developer ICS Arabia is expected to start construction works imminently on the first of three data centres it plans to develop in Saudi Arabia. The cluster’s first data centre, Desert Dragon, is located in Al-Kharj, southeast of the capital Riyadh.
The 65MW data centre aims to achieve a Tier 3-level certification. ICS Arabia said in September last year, when it announced breaking ground on the projects, that the first data centre was expected to become operational in 2026.
The project’s second phase, a 50MW data centre in Jeddah, is expected to begin construction this February, with a target operations date in the fourth quarter of 2026. The project’s third phase will encompass 72MW facilities in Dammam and Neom. Construction is expected to commence in September.
The firm is developing the project in a joint venture with Shanghai-based Lumaotong Group and China Mobile International. The joint venture plans to invest a total of $1.9bn in the projects.
Ezditek 64MW Riyadh data centre
Ezdihar Advanced Company for Information Technology (EzdiTek) is undertaking the construction of a 64MW data centre project in Riyadh’s Al-Jenadriyah Technical Zone, Saudi Arabia.
The planned cloud-based data centre facility will have a capacity of 64MW, requiring an investment of around AED2.64bn. The land allocated for Ezditek’s data centre project is 55,000 square metres.
Related read: Kent acquires Sudlows Consulting
Exclusive from Meed
-
-
Kuwait contractor wins Shagaya power grid deal24 March 2026
-
Prequalification begins for Cairo Metro Line 2 upgrade24 March 2026
-
-
Local firm wins Al-Ras Dubai Walk masterplan deal24 March 2026
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
French contractor begins work on Morocco’s Noor Atlas project24 March 2026

France-headquartered Eiffage is carrying out construction works on phase one of Morocco’s 305MW Noor Atlas solar photovoltaic (PV) programme, according to sources close to the project.
Morocco’s National Office of Electricity & Drinking Water (Onee) and the Moroccan Agency for Sustainable Energy (Masen) recently signed power purchase agreements (PPAs) for the programme covering the development, financing, construction, and operation of six solar PV power plants.
The plants were tendered in two lots in 2022, covering the eastern and southern parts of the country.
The first lot comprises the following four projects:
- Ain Beni Mathar: 121MW
- Enjil: 42MW
- Boudnib: 33MW
- Buonane: 29MW
The second lot comprises two solar PV projects in Tan-Tan and Tata, with each having a planned capacity of 40MW.
Eiffage, through its subsidiary Clemessy Maroc, previously carried out electrical works on Morocco’s Noor Tafilalt solar programme.
However, it is understood that the contract for lot one is the company’s first role as full engineering, procurement and construction contractor for a solar project in the region.
Local media reports previously said plants under the programme will be developed by consortiums comprising Moroccan and European companies.
Contractor details for phase two of the project have not been disclosed. However, it is understood that construction work has begun, with the project scheduled to begin delivering electricity by July 2027.
In 2025, Masen established a dedicated subsidiary (Noor Atlas Energy Company) to oversee the project’s implementation.
Germany’s development bank KfW and the European Investment Bank (EIB) are providing concessional financing, while Bank of Africa is providing commercial financing (local) for the project.
US/India-based Synergy Consulting is acting as consultant on the project.
In May 2025, Onee obtained EIB financing of €170m and KfW financing of €130m to expand the national grid by 731 kilometres and increase its evacuation capacity by 1,850 MVA.
EIB previously announced in 2018 that it is providing concessional financing of €129m under the ELM guarantee for Noor Atlas, against a total project cost of €272m.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16100781/main.jpg -
Kuwait contractor wins Shagaya power grid deal24 March 2026
Kuwait-based contractor Power Grid Company has won a KD48.6m ($158.7m) contract to build a 400kV overhead transmission line linking the Shagaya solar energy generation station with Wafra in southern Kuwait.
The contract was awarded by Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE).
Power Grid was one of three firms that submitted bids last year, according to regional projects tracker MEED Projects.
The other bidders included India’s Larsen & Toubro, with an offer of $135m, and Kuwait’s National Contracting Company, with a bid of $140m.
The transmission line will connect Shagaya to the Wafra (Z) transformer station. The project forms part of the wider Shagaya masterplan, which is being developed as a key component of Kuwait’s renewable energy strategy, including the Shagaya renewable energy complex.
The Kuwait Authority for Partnership Projects (Kapp) is currently procuring a 500MW solar photovoltaic (PV) independent power project (IPP) in partnership with MEWRE.
As MEED exclusively reported, the deadline to bid for a contract to develop the plant was recently pushed back to the end of April.
The plant is being developed under zone two of the third phase of the Al-Dibdibah power and Al-Shagaya renewable energy project.
In January, three consortiums submitted bids for a contract to develop Kuwait’s first utility-scale solar PV plant.
The Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one IPP will have a total power generating capacity of 1,100MW.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16097432/main.jpg -
Prequalification begins for Cairo Metro Line 2 upgrade24 March 2026

Egypt’s National Authority for Tunnels (NAT) has issued a request for prequalification (RFQ) notice inviting firms to prequalify for a contract to rehabilitate and upgrade the Cairo Metro’s Line 2 network.
The notice was issued in mid-March. The prequalification submission deadline is 30 April.
According to the official notice, the scope of the works includes the design, execution, supply, installation, testing and commissioning of major system upgrades across the Cairo Metro Line 2 infrastructure and stations, along with integration into existing operational systems.
The project aims to refurbish and modernise the metro line systems and enhance onboard communications across the current rolling stock fleet, to extend the metro system’s operational lifespan by at least 25 years.
The contract duration is five years.
The project is receiving a financing grant of €250m ($263m) from the European Bank for Reconstruction and Development (EBRD), €240m ($252m) from the European Investment Bank (EIB) and €60m ($63m) from the Egyptian government.
Cairo Metro Line 2 has been operational since 1996. The line runs from Shubra El-Kheima to El-Mounib, spanning about 21.5 kilometres (km) with 20 stations.
The route includes 12 underground stations, six at-grade stations and two elevated stations.
The track infrastructure is built around two primary track configurations.
The line carries about 1.8 million passengers a day.
The project is part of NAT’s key planned railway projects in the country. According to NAT’s official website, eight key projects, including metro lines, high-speed rail and light rail transit, are currently in the pipeline.
According to GlobalData, the Egyptian construction industry is expected to grow by 6.4% in 2026, supported by rising foreign direct investment in the country, coupled with the government’s investment in energy and industrial construction projects.
The industry’s expansion in the forecasted period will be supported by investments outlined in Egypt’s financial year 2025-26 budget, approved in June 2025. The budget includes a total government spending of E£4.6tn ($91.3bn).
The infrastructure construction sector is expected to expand by 6.9% from 2026 to 2029, supported by investments in road, rail and port infrastructure projects.
According to MEED Projects, Egypt has been the most active market for the rail sector in the Mena region, with contracts worth over $34bn awarded in the past decade.
MEED’s March 2026 report on Egypt includes:
> COMMENT: Egypt’s crisis mode gives way to cautious revival
> GOVERNMENT: Egypt adapts its foreign policy approach
> ECONOMY & BANKING: Egypt nears return to economic stability
> OIL & GAS: Egypt’s oil and gas sector shows bright spots
> POWER & WATER: Egypt utility contracts hit $5bn decade peak
> CONSTRUCTION: Coastal destinations are a boon to Egyptian constructionTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/16097414/main.jpg -
Contractors submit bids for Safaniya onshore facilities project24 March 2026

Contractors have submitted bids to Saudi Aramco for a project to build onshore surface facilities to boost productivity at the Safaniya offshore oil field development in Saudi Arabia.
The Safaniya field is the world’s largest offshore oil field, with a production capacity of nearly 1.2 million barrels a day (b/d). Discovered in 1951, the field is located in the Gulf waters, approximately 265 kilometres north of Aramco’s headquarters in Dhahran.
Contractors submitted bids for the Safaniya onshore surface facilities project by the deadline of 17 March, according to sources.
Aramco issued the main tender for engineering, procurement and construction (EPC) works on the Safaniya onshore surface facilities project on 9 July last year.
Contractors were initially given deadlines of 24 October and 7 November to submit technical and commercial bids for the project, MEED previously reported. Aramco later merged the technical and commercial bid submission requirements and extended the techno-commercial proposal submission deadline until 31 January.
Prior to that, Aramco is understood to have issued the solicitation of interest document for the Safaniya field onshore surface facilities project in May, with contractors submitting responses by 28 May.
The EPC scope of work has been divided into two packages:
- Package 1 – Water treatment and injection plant:
- Building new water injection units
- Expansion of gas-oil separation plant one
- Building storage tanks, transfer pumps and substation
- A central processing facility at the Zuluf field development, including water transfer pumps, chemical injection skids and other components
- Package 2 – Produced water utilities:
- Fire water system
- Potable water units
- Utilities
- Nitrogen generation system
- Site buildings
- Electrical infrastructure
- Security systems
- Telecommunications networks
In addition to pursuing the onshore facilities project to boost Safaniya’s productivity, MEED also previously reported that Aramco had issued three key offshore tenders last year for the field’s next expansion phase.
Contractors in Aramco’s Long-Term Agreement pool of offshore service providers submitted bids for the three tenders – Contracts Release and Purchase Order (CRPO) numbers 154, 155 and 156 – by 31 August.
Aramco awarded Italian contractor Saipem the EPCI contract for CRPO 156, valued at an estimated $500m, in February. The scope of work on the contract covers the EPCI of a 48-inch trunkline, comprising approximately 65 kilometres offshore and 12km onshore, as well as associated subsea facilities at the Safaniya oil field.
The Saudi energy giant is evaluating bids for the other two tenders for the Safaniya offshore field expansion project and is expected to award contracts within the first quarter.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16097410/main1828.jpg - Package 1 – Water treatment and injection plant:
-
Local firm wins Al-Ras Dubai Walk masterplan deal24 March 2026

Abu Dhabi-based firm Western Bainona Group has won a contract from Dubai’s Roads & Transport Authority (RTA) to develop the first phase of the Dubai Walk masterplan in the Al-Ras area.
The project’s first phase focuses on developing the historic Al-Ras walkway, including 12 kilometres (km) of pedestrian paths and 5km of cycling tracks, along with the rehabilitation of 10 artistic spaces.
The Al-Ras walkway project will link pedestrian routes with 11 metro stations, bus stops and marine transport points to improve first- and last-mile access.
The RTA said that the works include upgrades to internal pedestrian paths and the waterfront promenade, using straightforward urban design interventions that will maintain the area’s historic identity.
Planned improvements include wider sidewalks, added shade elements, more seating, increased greenery and heritage-sensitive wayfinding signage.
The overall masterplan includes extending a connected pedestrian network across 160 locations, with plans to build and upgrade around 6,000km of walkways throughout the emirate by 2040.
It also includes developing 110 pedestrian bridges and underpasses to improve links between districts, supporting a shift in walking and other low-impact mobility from 16% of trips in 2025 to 25% by 2040.
Proposed highlights include a bridge on Al-Ittihad Street between Al-Nahda and Al-Mamzar; another on Tripoli Street linking Al-Warqa with Mirdif; a crossing on Al-Khawaneej Street connecting Mushrif and Al-Khawaneej; and a bridge on Dubai-Al-Ain Road tying Dubai Silicon Oasis to Dubailand.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16097076/main.jpeg