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  Chinese firm wins Emaar Address Zabeel contract

  17 October 2025

  

  Beijing-headquartered China State Construction Engineering Corporation has been awarded a contract by UAE-based developer Emaar Properties to build a multi-tower complex in Dubai’s Zabeel area called Address Residences Zabeel.

  The development will comprise four towers offering more than 1,700 one- to four-bedroom residential units, 2,600 square metres of retail space and parking for 2,000 cars. The towers will be 50, 58, 52 and 54 storeys high.

  The project is expected to be completed in 2027.

  The latest contract award from Emaar follows the start of construction activity at the Dubai Square mall, which will be connected to the upcoming Dubai Creek Harbour tower within Emaar's Dubai Creek Harbour development.

  MEED recently reported that Dubai-based contractor Dutco Construction had started mobilising for the main works on the project.

  Dubai’s heightened real estate activity has led to record-breaking announcements from several UAE-based real estate firms. 

  In February this year, Emaar reported a total revenue of AED19.1bn ($5.2bn) in 2024, a 61% increase from 2023. It said it recorded a net profit before tax of about AED10.2bn ($2.8bn), a 20% rise compared to 2023.

  According to data published earlier this year by the Emirates News Agency (Wam), the total value of real estate transactions in the UAE reached AED893bn, with more than 331,300 transactions recorded last year.

  UK analytics firm GlobalData forecasts that the UAE construction industry will register an annual growth of 3.9% in 2025-27, supported by investments in infrastructure, renewable energy, oil and gas, housing, industrial and tourism projects.

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

  Private sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking

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

  > AGENDA 1: A new dawn for PPPs > AGENDA 2: GCC pushes PPPs to deliver $70bn pipeline > CHINA: China’s Belt and Road initiative surges in Middle East  > TUNISIA: Tunisia’s president faces growing challenge from unions > POWER DEVELOPER RANKING: Acwa Power consolidates power sector dominance > IPPs: GCC enters pivotal year for IPPs > ACQUISITION: Wood takeover could boost Sidara profits > INTERVIEW: SLB strives to boost regional standing  > ALEC: IPO is chance for Alec to showcase its capabilities > SAUDI MARKET FOCUS: Riyadh strives for sustainable growth

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

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  Yasir Iqbal
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  Power market reshapes contractor landscape

  16 October 2025

  Commentary
  Mark Dowdall
  Power & water editor

  Register for MEED’s 14-day trial access 

  The number of UAE-based power projects awarded under the traditional engineering, procurement and construction (EPC) model has fallen to its lowest level in the past decade.

  Admittedly, this does not include the Covid year of 2020, but the point stands. Across the GCC, capital is still flowing into the sector at record levels. What has changed is how that capital is being deployed.

  In a recent analysis, I revealed 2025 to be a record-breaking year, with the UAE’s power market recording its highest annual total for contract awards on record. Yet instead of a broad spread of smaller contracts, governments and utilities are concentrating investment in fewer larger and more complex schemes that are reshaping how the region’s energy systems are built and financed.

  In 2025, a single solar and battery storage independent power project (IPP) in Abu Dhabi accounts for 67% of the country’s total power contract value. EPC contracts, once the mainstay of the market, have been eclipsed by developer-led models as the preferred route for large-scale power generation.

  Saudi Arabia is moving in the same direction, albeit at a different pace. While EPC work remains central to grid expansion, the kingdom’s largest investments are now in utility-scale IPPs backed by the Public Investment Fund.

  In my recent annual ranking of private power developers across the GCC, the surge in power generation capacity owned by Saudi Arabia’s Acwa Power was telling. Not only did the firm’s net equity grow by 70% in a single year, but it now eclipses the combined equity of the other leading developers in the region, a direct result of its dominant role in PIF-backed schemes. These projects, including multi-gigawatt solar and wind developments, are redefining the scale and structure of procurement.

  Behind this shift is a combination of market maturity, financing strategy and energy transition goals. Developer-led projects concentrate capital and risk in fewer hands, streamline procurement timelines and align closely with long-term policy objectives.

  For governments, they deliver capacity without requiring large upfront capital commitments. For developers, they offer stable, long-term returns through secure offtake agreements.

  But this concentration also narrows the field of opportunity. Where dozens of smaller EPC packages once supported a broad ecosystem of contractors and suppliers, today’s market is increasingly revolving around a handful of mega deals.

  Competition is intensifying for fewer projects, and entry barriers, ranging from balance sheet strength to technical capabilities, are rising.

  Smaller EPC contractors, once central to power delivery across the GCC, risk being pushed to the margins. Some will adapt by partnering with larger developers, but others may find fewer opportunities to participate.

  Which takes me back to the UAE. In the water sector, 2026 is already shaping up to be a landmark year, with nearly $31bn-worth of projects in tender. A single project, Dubai’s $22bn Strategic Sewerage Tunnel scheme, accounts for over 70% of this total.

  It will follow a public-private partnership (PPP) delivery model that consolidates the entire scope under one consortium, streamlining delivery. However, this approach significantly reduces the number of prime contracting opportunities, with smaller EPC firms more likely to find themselves competing for limited subcontracting roles rather than leading bids.

  It is important to note that while large-scale projects tend to dominate during major build-out phases, attention inevitably turns to smaller, more distributed schemes.

  However, this alone does not necessarily mean a return to the EPC-heavy landscape of the past. For now, as these large projects set the pace, the region’s energy transition may accelerate, but it will also decide who gets to reshape and build it.

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  Mark Dowdall
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  Saudi crown prince launches King Salman Gate project

  16 October 2025

  Register for MEED’s 14-day trial access 

  Saudi Arabia's Crown Prince, Mohammed Bin Salman Bin Abdulaziz Al-Saud, has launched a mixed-use development in Mecca known as King Salman Gate.

  The project will have a gross floor area of over 12 million square metres (sq m) and will be adjacent to the Holy Mosque in Mecca.

  The integrated mixed-use development will offer residential, hospitality, commercial and cultural facilities. The project will also add capacity for approximately 900,000 indoor and outdoor prayer spaces.

  HRH Crown Prince announces the launch of #King_Salman_Gate, a transformative multi-use development in the Holy City of Makkah. pic.twitter.com/JLxCi8J50W

  — Public Investment Fund (@PIF_en) October 15, 2025

  The King Salman Gate project will be developed by Rua Al-Haram Al-Makki Company, which is backed by Saudi Arabia's sovereign wealth vehicle, the Public Investment Fund (PIF).

  In an official statement published by the Saudi Press Agency, the firm said: "The project will also restore and develop approximately 19,000 sq m of heritage sites, preserving Mecca’s cultural and historical legacy. The project will contribute to Saudi Vision 2030’s goals of economic transformation through generating more than 300,000 jobs by 2036."

  The statement added: "The company aims to support the PIF’s strategy by advancing urban development around the Al-Masjid Al-Haram to establish Mecca as a global benchmark for real estate development."

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  Yasir Iqbal
• 
  Local firm wins Oman wastewater consultancy deal

  16 October 2025

  Register for MEED’s 14-day trial access 

  Muscat-based Monenco Consulting Engineers has been appointed as the consultant for a major wastewater network upgrade and extension project in Dhofar Governorate in Oman.

  The three-year contract was awarded by Nama Dhofar Services, a subsidiary of state-owned Nama Group responsible for elecricity, water and wastewater services in the southern Omani governorate.

  The project includes design and supervision services across civil, structural, mechanical, electrical, hydraulic and control disciplines. It is part of broader efforts to expand critical utility networks in the governorate, which is Oman’s largest by area.

  In February, Nama Dhofar Services commissioned the RO45m ($117m) Sahalnout sewerage project in Salalah, one of the largest wastewater infrastructure schemes in the Dhofar region.

  It said the scheme will serve 4,000 connection points initially, with plans for future expansion to accommodate up to 20,000.

  The utilities provider also recently carried out site assessments in the wilayat of Sadah for a planned wastewater treatment facility, part of its strategy to increase coverage from Salalah's current 76% to 95%.

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  Mark Dowdall
• 
  Wood Group CEO to step down following takeover deal

  16 October 2025

  Register for MEED’s 14-day trial access 

  Ken Gilmartin has informed the board of directors of Wood Group of his intention to step down from his position as group CEO of the company and as a director on its board, according to a statement from the UK-based engineering company.

  The announcement comes less than two months after Wood agreed to a $292m conditional takeover bid from Dubai-based Sidara.

  Gilmartin will step down after an upcoming shareholder vote on the Sidara transaction and until then will remain in post to support an orderly transition, according to a statement from Wood.

  Iain Torrens, currently the company’s interim group chief financial officer (CFO), will take on the role of CEO following Gilmartin’s departure.

  A process is under way to identify a new CFO and further announcements will be made in due course on that appointment and the timing of Gilmartin’s departure, Wood said.

  The company’s chairman, Roy Franklin is also due to step down in the near future. In May this year, he said that he will step down “as soon as there is greater clarity regarding Wood’s future direction”.

  Commenting on the departure of Gilmartin and the appointment of Torrens, Franklin was quoted in the Wood statement as saying: “We are pleased to announce the appointment of Iain as Wood’s new CEO. Since joining the company earlier this year, Iain has demonstrated experience, leadership and decisiveness to guide the business through a very challenging period.

  “The board is confident he is well-placed to lead the company into its next chapter.”

  In June, Wood announced the appointment of Nick Shorten as the new executive vice-president of the company's projects business unit.

  Wood in Mena

  As of February, Wood Group employed 35,000 people across about 60 countries, many in consulting and engineering roles.

  In the Middle East, the company has project contracts in Iraq; Kuwait; Oman; Qatar; Saudi Arabia; and the UAE, where it has opened its third office in Sharjah.

  The firm’s regional projects pipeline includes pre-front-end engineering and design work on Saudi Aramco’s Southern and Northern Areas project in Saudi Arabia.

  It is also delivering integrated front-end engineering and design, detailed design, procurement support and construction and commissioning services for TotalEnergies in Iraq.

  Despite several years of financial difficulties, Wood Group’s integration into Sidara will significantly boost UAE-based engineering capacity – at a time when many firms in the Middle East and North Africa (Mena) region cite attracting and retaining top engineering talent as a major challenge.

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  Wil Crisp