Growth inevitable for the Saudi water sector
14 March 2024
Latest news on Saudi Arabia’s water sector:
> Sepco 3 and Wabag team wins Al Haer EPC package
> Miahona and Besix team signs Al Haer deal
> Ras Mohaisen bids due by end of March
> King Salman Park selects water package bidder
> Bid evaluation for Oxagon cooling continues
> Three consortiums form for Jubail-Buraydah scheme
> Firms to submit Neom water documents
> Neom’s utility projects take shape

The water sector is playing an increasingly important role as Saudi Arabia enters the execution phase of Vision 2030.
In the foreseeable future, the momentum to build water desalination, treatment, district cooling, storage and transmission facilities will only accelerate. This is due to the need to ensure security of supply, adopt a circular carbon economy and support the development of sports and tourism destinations such as Trojena at Neom, not to mention the kingdom's aggressive population growth,
Over a 10-year window, the sector had its best year in 2023, awarding contracts with a total value of approximately $10bn, some 50% higher than in 2022.
But 2024 looks to be even better than the previous year if the value of contracts awarded in the first two months is any indication.
Key clients, including Saline Water Conversion Company (SWCC), Saudi Water Partnership Company (SWPC) and National Water Company (NWC), along with Neom, have awarded contracts valued at more than $6.2bn as of mid-March. This equates to 63% of the value of contracts awarded in 2023 and 95% in 2022.
Trojena dams
In January, Italian contractor WeBuild awarded a single contract worth $4.7bn to construct dams at the Trojena mountain resort in Tabuk, Saudi Arabia. The deal includes the construction of three dams that will form a freshwater lake for the Trojena ski resort.
Other schemes awarded so far this year include a package for sewage networks and pumping stations in Al-Khobar as well the expansion of an existing sewage treatment plant in the city; the second phase of the Arda water transmission system and the upgrade of the Hali dam and Shuiba water transmission system; and the Al Haer independent sewage treatment plant (ISTP) project.
2023 highlights
In 2023, water transmission and distribution (T&D) deals accounted for more than half, 54%, of the total contracts awarded in the kingdom’s water sector.
The water transmission segment's impressive performance hinged on the award of a contract to develop and operate the kingdom’s first independent water transmission pipeline (IWTP) project.
The $2.07bn Rayis-Rabigh IWTP project will have a length of 150 kilometres and transmit 500,000 cubic metres a day (cm/d) of drinking water between the two municipalities.
A team comprising the local Alkhorayef Water & Power Technologies Company, Spain’s Cobra Group and Egypt’s Orascom Construction won the contract to develop the Rayis-Rabigh IWTP scheme.
It offered a levelised water transmission cost of SR1.25678 a cubic metre for the build-operate-transfer (BOT) contract, which lasts 450 months, including the 30-month construction period.
The value of awarded water T&D contracts eclipsed those seen in the water desalination and treatment segments, although they individually registered sizeable contract awards uplift relative to 2022.
An estimated $1.3bn-worth of waste desalination contracts were awarded in 2023. These include the Rabigh 4 independent water project (IWP), awarded by SWPC, and the Jafurah IWP, which caters to Saudi Aramco’s gas development scheme.
A more diverse client base boosted the water treatment segment, which awarded over $2.1bn of contracts in 2023. While the kingdom’s potable water distributor and water treatment company, NWC, dominated the water treatment segment, real estate developers such as King Salman Park Foundation, Neom, The Red Sea Development Company and Roshn also awarded water treatment contracts last year as part of their flagship real-estate projects.
Notably, SWPC selected a bidder for the kingdom’s first independent strategic water reservoir (ISWR) project last year.
A team comprising the local Vision International Investment Company, Kuwait's Gulf Investment Corporation and the UAE's Abu Dhabi National Energy Company (Taqa) proposed to develop the Juranah ISWR project for SRhals18.11 ($c4.83) a cubic metre.
The Juranah ISWR scheme is the first of several reservoir projects that SWPC intends to develop with private sector partners. It has a design capacity of 2.5 million cubic metres. The developer team has yet to reach financial close on the scheme as of March.
Unawarded projects
More than $31bn of projects are in the pre-execution phase across the kingdom’s five water segments, with T&D, desalination and water treatment accounting for over 80 per cent of the projects pipeline.
The three main stakeholders, SWPC, SWCC and NWC, are expected to continue to dominate future contract awards.
Bid evaluation is under way for water desalination engineering, procurement and construction (EPC) schemes tendered by SWCC, including the second phases of the Shuaibah and Yanbu water desalination plants. SWPC's second IWTP project, two IWPs and multiple NWC transmission schemes are in the bid phase and likely to be awarded in the remaining months of 2024.
However, the trend whereby some of the largest real-estate developers are going ahead with tendering utility projects independent of these state-backed companies is expected to be sustained.
In addition to the SWCC spin-off, Water Transmission and Technologies Company (WTTCO), gigaproject developers such as Neom and its utility arm, Enowa, and the various royal commissions, among others, have sizeable contracts likely to be awarded over the next 12 to 18 months.
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The contract is focused on accelerating technology innovation in the country’s upstream energy sector, the statement said.
Baker Hughes did not disclose the contract value.
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Under the terms of the agreement, Baker Hughes and KOC will focus on developing and deploying technology solutions that optimise production as well as addressing other issues.
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These solutions are designed to help operators increase recovery from existing wells, lower operating costs, reduce water production and minimise power consumption, it said.
Baker Hughes chairman and CEO Lorenzo Simonelli said: “Baker Hughes is committed to deeply understanding KOC’s development aspirations and providing the solutions needed to help achieve them.
“Working together, we aim to deliver tailored technology solutions at scale that improve production performance and efficiency, supporting KOC’s goals to maximise value from their assets.”
As part of the agreement, Baker Hughes will build a dedicated research and technology development centre in the AIV to deliver technology solutions and build local expertise.
Kuwait’s oil and gas sector is currently in crisis due to the regional war that started after the US and Israel attacked Iran on 28 February.
The war has severely disrupted exports through the Strait of Hormuz, which Kuwait relies on in order to ship crude exports.
Shaikh Nawaf Saud Al-Sabah, deputy chairman and CEO of Kuwait Petroleum Corporation (KPC), the country’s state energy conglomerate, has described the current crisis as the biggest oil crisis the country has faced since Iraq’s 1990 invasion.
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Despite the dramatic reduction in crude exports, Kuwait’s state-owned oil companies continue to tender some projects.
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Firms submit Mid Island Parkway prequalifications18 August 2026

Abu Dhabi’s Modon Infrastructure has received expressions of interest and prequalification statements for the next phase of Abu Dhabi’s Mid Island Parkway Project (MIPP), which will be developed as a public-private partnership.
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Phase two of the MIPP involves constructing about 11 kilometres (km) of highways, comprising a mix of three-, four- and five-lane sections. The highways will connect the Um-Yifeenah, Al-Jubail, Al-Sammaliyyah and Sas Al-Nakhl islands to Khalifa City and the E10 road.
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Abu Dhabi awarded three packages for phase one of the MIPP in 2024. The contract for Package 1A was awarded to a joint venture of Turkish contractor Dogus Construction and UAE firm Gulf Contractors. Package 1B was awarded to a joint venture of Yas Projects (Alpha Dhabi Holding) and China Railway International Group. Beijing-headquartered China Harbour Engineering Company and the UAE’s Agility Engineering & Contracting Company won the contract for Package 1C.
Phase one starts at the existing Saadiyat Interchange, connecting the E12 to the MIPP, and ends at the recently constructed Um-Yifeenah Highway.
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Adnoc selects contractors for new LNG project in the UAE18 August 2026

Abu Dhabi National Oil Company (Adnoc) has selected contractors for a design competition it is overseeing for a major project to build a new liquefied natural gas (LNG) export facility along the UAE’s eastern coast.
The proposed onshore LNG liquefaction facility – whose precise location Adnoc has yet to reveal – will have a nameplate output capacity of 4 million tonnes a year (t/y) and will mainly serve export purposes, MEED reported in June. The facility will receive sales-gas-quality feedstock via pipelines from Adnoc’s gas processing facilities in Abu Dhabi and will export LNG via a loading jetty.
MEED previously reported on Adnoc’s intention to execute work on the project through a design competition or front-end engineering and design (feed)-to-engineering, procurement and construction (EPC) contest.
Under this model, the project operator selects contractors to carry out feed work. The operator then awards the EPC contract to the contractor with the most competitive feed proposal, while compensating the other contestants for their work.
The Abu Dhabi energy giant has selected the following three entities to undertake feed work on the planned onshore LNG liquefaction facility, according to sources:
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- Technip Energies (France) / JGC Corporation (Japan)
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Adnoc issued draft letters of award to the selected contractors between 11 and 12 August, the sources added.
In addition to the contractors picked by Adnoc, MEED previously reported that the following contractors were shortlisted for the feed-to-EPC contest:
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MEED reported that Adnoc issued the expression of interest (EoI) document for the planned LNG facility project on 2 June, with contractors submitting responses by 5 June.
Given the strategic importance of the project, Adnoc is understood to be fast-tracking the tendering exercise, issuing the main tender for the feed-to-EPC contest within days of the EoI submission. The company sought proposals from participating contractors by 1 July, sources said.
In its EoI document, Adnoc said it intends to award the main EPC contract in the third quarter of this year.
Adnoc has yet to specify where it plans to build the LNG complex, stating only in the EoI document that it will be located at a coastal site in the UAE.
MEED understands Adnoc may be considering a site near one of the UAE’s eastern port facilities in the emirate of Fujairah. The blockade of the Strait of Hormuz in recent months has increased interest in prioritising exports and maritime trade through ports on the Gulf of Oman.
The scope of work on the planned LNG facility covers the following units:
LNG facilities:
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- Process units necessary to bring sales feed to a liquefaction-quality feed gas (i.e. carbon dioxide removal, dehydration, mercury removal and total sulphur reduction);
- Common facilities including inlet receiving facilities, refrigerant storage and flares;
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- LNG export facilities, including a jetty and berth;
- Structures including control buildings, amenities, a laboratory, a warehouse, workshops and administration buildings, to fully support the plant operation.
LNG storage facilities:
- LNG storage tanks, handling of boil-off gases (BOG) and potentially a BOG reliquefaction unit to facilitate major shutdown operations for bidders opting to compete with a single liquefaction train option.
Feed gas supply:
- Supplying and installing an additional identical gas compressor to be located at an existing compression station near Adnoc Gas’ Habshan complex in Abu Dhabi, to provide additional capacity in an existing gas pipeline system;
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Modifications to upstream facilities (alternative scope):
- Installation of sulphur removal beds in Habshan to bring feed gas to required LNG quality at the upstream gas conditioning facility, rather than at the LNG facility. This may be selected by bidders to avoid additional investment for processing the regeneration gas.
Construction facilities:
- Temporary construction facilities, laydown area and material offloading facility, to support EPC execution requirements;
- Construction labour accommodation camp.
Adnoc LNG output capacity
Adnoc has an LNG liquefaction capacity of 6 million t/y, which is set to more than double to 15 million t/y when its under-construction LNG terminal complex in Abu Dhabi’s Ruwais enters operations in 2028.
The upcoming LNG export terminal in Ruwais will have the capacity to produce about 9.6 million t/y of LNG from two processing trains, each with a capacity of 4.8 million t/y.
Adnoc awarded the full EPC contract and reached the final investment decision for the Ruwais LNG terminal project in June 2024. A consortium of France’s Technip Energies, Japan-based JGC Corporation and Abu Dhabi-owned NMDC Energy – a subsidiary of NMDC Group – was awarded the $5.5bn EPC contract. In March of that year, Adnoc issued a limited notice to proceed to the consortium of contractors led by Technip Energies for early EPC works on the Ruwais LNG terminal project.
The complex will feature process units, storage tanks and an export jetty for loading cargoes and LNG bunkering, as well as utilities, flare handling systems and associated buildings.
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Adnoc has also signed agreements with international energy companies to divest a total stake of 40% in the Ruwais LNG project. UK energy producer BP, Mitsui & Co, Shell and French energy producer TotalEnergies will each hold 10% stakes in the Ruwais LNG terminal project, with Adnoc retaining the majority 60% stake in the facility.
Adnoc Group subsidiary Adnoc Gas will acquire its parent company’s 60% stake in the Ruwais LNG facility at cost in the second half of 2028, when first production from the complex is due.
To date, Adnoc has secured offtake agreements totalling 8 million t/y, representing approximately 90% of the Ruwais LNG project’s output capacity.
Photo for illustration only
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Saudi Arabia extends bid deadline for Round 7 solar projects18 August 2026

Saudi Arabia’s principal buyer, Saudi Power Procurement Company (SPPC), has extended the deadline for developers bidding for four solar projects under the seventh round of the National Renewable Energy Programme (NREP).
Round seven of the NREP comprises solar photovoltaic (PV) and wind independent power producer (IPP) projects with a combined capacity of 5,300MW. The renewables programme is being led and supervised by the Ministry of Energy.
The four solar PV projects comprise:
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The projects were tendered in January, with submissions previously expected by 30 August. The new deadline is 13 September.
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As previously reported by MEED, procurement for the seventh round of the NREP opened in August 2025 when SPPC issued a request for qualification.
In January, MEED reported that 16 developers qualified to bid as both managing and technical members for the four solar PV projects. A further six companies qualified to bid as a managing member only.
For the wind IPPs, SPPC qualified 13 developers in the managing and technical members category, and a further six companies in the managing member category only. The request for proposals for both wind and solar IPPs was issued that same month.
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Earlier rounds under the NREP have already put in place large capacities. Last October, SPPC awarded contracts to develop and operate five renewable energy projects under round six of the NREP.
These comprise four solar PV IPP projects and one wind IPP project with a total combined capacity of 4,500MW.
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Construction begins on phase two of Cairo Metro Line 418 August 2026
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The main construction works contract was awarded to a joint venture of local firms, including Arab Contractors, Hassan Allam, Petrojet and Concord Engineering & Contracting.
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According to data from regional projects tracker MEED Projects, the scope also covers:
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The joint venture of Arab Contractors, Hassan Allam, Petrojet and Concord Engineering & Contracting is also undertaking the main works on the first phase.
The Japan International Cooperation Agency (Jica) provided half of the $4bn funding required for Line 4’s first phase.
The media reports added that NAT is currently studying the third and fourth phases of Line 4.
The third phase aims to connect the Ashgar Gardens and Al-Hosary areas via a rail line spanning more than 16km.
The fourth phase will be more than 38km long and will connect the Al-Rehab area with the capital’s international airport east of Cairo.
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In April last year, MEED reported on Egypt’s future rail project plans, which include eight key projects spanning metro, high-speed rail and light rail transit.
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.
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