Related Articles

• 
  Adnoc Onshore extends bid deadline for field facilities project

  3 August 2026

  

   

  Abu Dhabi National Oil Company’s onshore business (Adnoc Onshore) has given contractors extra time to prepare bids for a project to build on-plot and off-plot facilities at the Rumaitha and Shanayel fields, part of the Northeast Bab cluster of oil fields in Abu Dhabi.

  The project aims to enhance and sustain oil production at the Rumaitha and Shanayel fields at a rate of 45,000 barrels a day (b/d). It forms part of Adnoc Onshore’s contribution to parent company Adnoc Group’s broader objective of increasing oil production capacity to 5 million b/d by 2027 through its Accelerated Integrated Programme 5 (AiP5). Adnoc Group currently has a production capacity of 4.85 million b/d.

  Adnoc Onshore issued the main tender for the engineering, procurement and construction (EPC) works package for the Rumaitha and Shanayel on-plot and off-plot facilities project on 19 June, MEED previously reported.

  The project operator has now extended the deadline for contractors to submit technical bids to 5 August, from 2 August previously, according to sources. The prior deadline had been 30 July.

  Adnoc Onshore issued the expression of interest for the Rumaitha and Shanayel on-plot and off-plot facilities project in early December, with contractors submitting their responses later that month, MEED previously reported.

  The prequalification and ongoing tendering process is understood to result from Adnoc Onshore revising its strategy for executing EPC works on an earlier, larger project covering the Northeast Bab cluster, which comprises the Al-Nouf, Rumaitha and Shanayel fields.

  MEED reported in December that Adnoc Onshore had cancelled the engineering, procurement and construction management (EPCm) phase it launched in 2024 for the Northeast Bab on-plot and off-plot facilities project in favour of executing the scheme under a conventional EPC model.

  The operator awarded a contract to state-owned China Petroleum Engineering & Construction Corporation (CPECC) to carry out EPCm services for the Northeast Bab off-plot facilities package in October 2024. However, the contract was subsequently cancelled last year.

  Separately, Adnoc Onshore received bids during the second quarter of 2025 for the EPCm tender covering the Northeast Bab on-plot facilities package, but that procurement process was also later cancelled.

  Project scope of work

  The detailed scope of work on the Rumaitha and Shanayel on-plot and off-plot facilities project is as follows:

  On-plot facilities:

  • Oil train: One new oil train with slug catcher, two-stage separation, desalting, exchangers for crude heating and stabilisation, and all associated interconnections, utilities and civil/structural works, etc.
  • Produced water treatment (PWT): New produced water treatment package to enable 100% produced water reinjection (PWRI), including chemical dosing, tanks, pumps, all associated controls and blending with aquifer water, etc.
  • Water injection system: New water injection system, including surface water injection pumps, necessary connections and controls from produced water systems, headers, chemical dosing, power and controls, etc.
  • Gas handling and export:
    • Low-pressure gas compression system
    • Medium-pressure gas compression system
    • Gas dehydration and regeneration system
    • Export gas compression system
  • Utilities and offsites: Plant air and instrument air systems, nitrogen generation system, potable water system, vapour recovery system (liquid ejector package), fuel gas import and distribution, closed and open drain systems, hot oil heater, snuffing nitrogen package, enclosed ground flare systems (high-pressure and tank flares), etc.
  • Modifications in existing systems, including, but not limited to, installation of a slug catcher at phase-I, connectivity of gas systems, water systems, existing high-pressure compressors modifications, etc
  • Electrical, instrumentation and control, and safety: Electrical systems, instrumentation and control system (ICSS, F&G system, field instrumentation, HIPPS, etc.), substation and ITR room building, fire water system, etc.
  • Overhead line (220 kV): Installation and extension of overhead lines and 220 KV GIS compound or equivalent power distribution solutions to the central processing plant and other designated areas, as necessary.

  Off-plot facilities:

  • New gas-lifted oil producers and water injectors installation with necessary piping, controls, etc. and their connections to the new or existing clusters and pipeline networks
  • New clusters with facilities such as control panels, ITR, production and test manifolds, headers, chemical injection skids, multiphase flow meters, closed drain systems, HIPPS valves, WHCPs, pig traps, ICSS/telecom extensions, etc.
  • Modifications in existing clusters, including the addition or extension of manifolds, headers, additional pipelines with pig traps, ICSS/telecom extensions, chemical injection kids, etc.
  • Gathering and injection networks: Construction of new and modified oil gathering and water injection trunklines/laterals, pigging facilities (launchers/receivers), valve stations, block valves, corrosion protection and monitoring, and all associated equipment, etc.
  • Export gas pipelines and Adnoc Gas interface: Provision for export gas pipeline and facilities from Rumaitha central processing plant to new manifold station and from NMS to Adnoc Gas, including isolation/blowdown, etc.
  • Overhead line: Installation and extension of 33kV overhead lines to clusters, etc., as required.

  The tendering exercise for the Rumaitha and Shanayel on-plot and off-plot facilities project is taking place as Adnoc Onshore continues to make progress with EPC works on another, similar project to build off-plot facilities at the Southeast cluster of oil fields in Abu Dhabi, which is also integral to Adnoc Group’s AiP5 campaign.

  The Southeast cluster comprises the Asab, Mender, Qusahwira, Sahil and Shah fields and accounts for approximately a third of Adnoc Onshore’s oil production capacity.

  MEED previously reported that Adnoc Onshore had awarded EPC works on the Southeast off-plot facilities project to state-owned China Petroleum Engineering & Construction Corporation (CPECC), with the value of the contract estimated to be around $1.2bn.

  The overall scope of work on the Southeast off-plot facilities project includes tying in more than 150 wells across the area’s fields, upgrading remote and central degassing stations, laying more than 270 kilometres of flowlines, digitising wells for remote monitoring, and implementing artificial intelligence-driven telemetry technologies.

  MEED also recently reported that CPECC awarded subcontracts on the Southeast off-plot facilities project, in its capacity as the main EPC contractor.

  The off-plot facilities project is a component of the overall $2bn-$3bn South East AIP5 development, with the on-plot facilities project forming the other part of the programme.

  CPECC is also performing EPC works on the Southeast on-plot facilities project in a consortium with Greece-headquartered Archirodon. Adnoc Onshore awarded an estimated $1.5bn contract for that project to the consortium in December 2024, with EPC works scheduled for completion in 2027.

  ---

  READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

  Saudi 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:

  > AGENDA: Expo 2030 Riyadh construction gathers pace > 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 > PORTS: Geopolitical risk shapes $513bn of global ports projects > INTERVIEW: Developers look beyond standalone solar

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

  https://image.digitalinsightresearch.in/uploads/NewsArticle/18022436/main2622.jpg

  Indrajit Sen
• 
  Lebanon seeks interest for power generation projects

  3 August 2026

  Lebanon’s Electricity Regulatory Authority (ERA) has invited the private sector to submit expressions of interest (EoIs) for several upcoming power generation projects.

  The EoI covers up to five grid-connected solar photovoltaic projects with a combined installed capacity of 350MWp. The projects are also expected to include battery energy storage systems (bess) with a combined capacity of 1,000MWh. 

  The regulator is also seeking proposals for distributed dual-fired thermal power plants with net capacities ranging from 20MW to 100MW. The plants are expected to operate on natural gas as the primary fuel and heavy fuel oil as a backup fuel. 

  The submission deadline is 31 August. 

  Regulatory progress

  The EoI follows the establishment of Lebanon’s Electricity Regulatory Authority earlier this year, more than two decades after it was envisaged under Law No. 462/2002 but not implemented due to political delays. The electricity sector had previously been overseen by the Ministry of Energy & Water and state utility Electricite du Liban.

  Lebanon’s electricity sector continues to face insufficient generation capacity, fuel supply constraints, ageing generation assets and limited grid flexibility. These challenges have led to prolonged electricity shortages and increased reliance on private diesel generation and distributed solar systems, prompting the government to seek additional private investment in new generation capacity. 

  IPP model

  According to the EoI document, the projects are expected to be structured as independent power producer (IPP) schemes. Any future contractual arrangements, including power-purchase agreements, will be determined by the competent public authority under the applicable legal framework. 

  The ERA said the EoI is open to private investors, IPP operators, engineering, procurement and construction contractors, equipment suppliers and consortiums. It is intended to assess market interest, identify potential generation projects and evaluate the technical and financial capabilities of prospective developers. 

  Respondents are required to provide information on their technical and financial capabilities, proposed project locations, grid connection plans and relevant project experience. 

  For solar projects, developers are required to provide details including module and inverter technology, annual generation estimates and battery storage specifications where applicable. Thermal project submissions must include information on technology type, efficiency, fuel strategy, emissions performance and readiness for future natural gas operation. 

  The EoI states that developers will be responsible for land acquisition or leasing, permitting, financing, design, construction, grid interconnection, commissioning, and long-term operation and maintenance of the projects. 

  ---

  READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

  Saudi 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:

  > AGENDA: Expo 2030 Riyadh construction gathers pace > 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 > PORTS: Geopolitical risk shapes $513bn of global ports projects > INTERVIEW: Developers look beyond standalone solar

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

  https://image.digitalinsightresearch.in/uploads/NewsArticle/18018733/main.jpg

  Mark Dowdall
• 
  Saudi economy swings to 4.8% contraction

  3 August 2026

  Saudi Arabia’s economy contracted 4.8% year-on-year in the second quarter of 2026, as a sharp fall in oil activities outweighed continued growth in the non-oil economy, according to flash estimates from the General Authority for Statistics (Gastat).

  The contraction was driven by a 24.7% year-on-year drop in oil activities, which cut 5.4 percentage points from the headline figure. Non-oil activities grew 0.6% and government activities rose 0.9%, contributing 0.4 and 0.1 percentage points respectively. Net taxes on products added a further 0.1 percentage points.

  On a seasonally adjusted basis, real GDP fell 4.9% from the first quarter, with oil activities down 21.5% quarter-on-quarter. Non-oil activities eased 0.5% over the same period, while government activities rose 0.2%.

  The second-quarter figures mark a reversal from the first quarter, when the economy grew 3% year-on-year. In the first quarter, both oil and non-oil activities expanded by 2.9% and government activities rose 1.5%, with growth recorded across all major sectors. Oil activities have since swung from that modest expansion to a steep contraction, while non-oil growth has slowed from 2.9% to 0.6%.

  The divergence between the oil and non-oil economy has widened as a result. While crude output fell steeply in the second quarter, the broader non-oil sector, the focus of the kingdom’s economic diversification programme, continued to expand, albeit at a slower pace than in the opening months of the year.

  Public finances

  The contraction came in a quarter when higher oil revenue improved the public finances. The budget deficit narrowed to SR34.29bn in the second quarter, down from SR125.71bn in the first, as oil revenue rose 22% year-on-year to SR185.13bn, according to the Finance Ministry’s quarterly budget performance report. Total revenue reached SR338.78bn, up 12% on the same period of 2025, while non-oil revenue increased 3% to SR153.66bn.

  Total spending rose 11% year-on-year to SR373.07bn. The sharpest increases were in grants, up 199% to SR1.24bn, subsidies, up 73% to SR13.27bn, and financing expenses, up 41% to SR16.81bn. Capital spending rose 16% to SR46.23bn.

  For the first half, the deficit totalled SR160bn, financed entirely through borrowing with no drawdown on government reserves. Revenue for the six months rose 6% year-on-year to SR599.76bn, while spending increased 15% to SR759.76bn. Actual first-half spending reached 58% of the full-year budget of SR1.312tn. Health and social development recorded the highest sectoral outlay at SR170.61bn, followed by the military at SR124.57bn and education at SR109.73bn.

  Public debt reached SR1.684tn by the end of the first half, up from an opening balance of SR1.519tn. Domestic debt stood at SR1.060tn and external debt at SR624.9bn. The government reserve closing balance was SR399.07bn.

  The kingdom has continued to tap the domestic debt market. The National Debt Management Centre closed its July 2026 issuance under the Saudi Arabian Government riyal-denominated sukuk programme at SR5.35bn, divided into five tranches. The largest, at SR3.83bn, matures in 2031, with further tranches of SR515m maturing in 2033, SR204m in 2036, SR300m in 2039 and SR500m in 2041.

  ---

  READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

  Saudi 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:

  > AGENDA: Expo 2030 Riyadh construction gathers pace > 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 > PORTS: Geopolitical risk shapes $513bn of global ports projects > INTERVIEW: Developers look beyond standalone solar

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

  https://image.digitalinsightresearch.in/uploads/NewsArticle/18015899/main.gif

  Colin Foreman
• 
  Emirates NBD buys HSBC Egypt retail business

  3 August 2026

  HSBC has agreed to sell the retail banking business of its Egyptian subsidiary to Emirates NBD Egypt, a unit of Dubai’s largest bank by assets, as the UK lender continues to simplify its global operations.

  The sale covers the assets and liabilities of HSBC Egypt’s entire retail banking business, including retail loans, deposits and accounts, along with the employees supporting the transferring business. The transaction is expected to complete in the second half of 2027, subject to regulatory approvals.

  There will be no immediate changes for retail customers, and their products and services in Egypt will continue to operate as normal. The two banks said they would work together to enable a smooth transition for staff and customers.

  Financial impact

  The sale is expected to generate an estimated pre-tax gain for HSBC Group of about $0.3bn, to be recognised largely at completion and classified as a material notable item. HSBC said the transaction would have an immaterial impact on the group’s Common Equity Tier 1 capital ratio.

  The disposal follows a strategic review of HSBC Egypt’s retail banking business announced last year. It forms part of an ongoing simplification of HSBC Group as the bank focuses on areas where it has a competitive advantage and the greatest opportunities to grow.

  Egypt remains an important market for HSBC, which said it would continue to support its corporate and institutional banking clients in the country and drive two-way trade and investment flows.

  Turkiye talks

  The Egypt agreement follows reports that Emirates NBD is in early talks to acquire HSBC’s business in Turkiye, a move that would deepen the Gulf lender’s presence in the country through its ownership of DenizBank. In late June, it was reported that discussions were at an early stage and might not lead to an agreement. Neither bank commented on the talks.

  HSBC’s Turkiye business has contracted sharply over the past decade. The bank, which has operated in the country since 1990, had 315 branches and about 6,000 employees in 2013, but its network had fallen to about 36 branches by March 2026, leaving it as Turkiye’s 15th largest lender by assets. Any deal would require approval from Turkish regulators and would mark one of Emirates NBD’s largest moves in the country since it acquired DenizBank from Russia’s Sberbank in 2019.

  ---

  READ THE AUGUST 2026 MEED BUSINESS REVIEW – click here to view PDF

  Saudi 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:

  > AGENDA: Expo 2030 Riyadh construction gathers pace > 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 > PORTS: Geopolitical risk shapes $513bn of global ports projects > INTERVIEW: Developers look beyond standalone solar

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

  https://image.digitalinsightresearch.in/uploads/NewsArticle/18014996/main.gif

  Colin Foreman
• 
  The Gulf’s next construction boom is happening underground

  31 July 2026

  

   

  Throughout the Gulf, some of the largest infrastructure contracts now being procured are for work that will never be seen from street level.

  In the UAE, Saudi Arabia and Qatar, metro lines, sewer networks and highway links are increasingly being built underground, making tunnelling the default approach to urban expansion rather than an occasional engineering solution.

  For two decades, the story of Gulf construction was told upwards, through record-breaking towers and ambitious skylines. Increasingly, it is now being told underground.

  Three things are happening at once. Cities across the region have run out of spare surface land on which to build new roads and rail lines. National transport plans require capacity that surface routes cannot provide without demolishing what has already been built. And governments have recognised that land no longer needed for transport infrastructure is far more valuable when used for development or public space.

  Dubai’s AED34bn ($9.2bn) Gold Line, its AED80bn ($22bn) Strategic Sewerage Tunnels project and Riyadh’s Metro Line 7 demonstrate that this calculation is now driving how the region’s biggest projects are delivered.

  Metro and rail tunnels

  The Gold Line illustrates this point clearly. Rather than extend the metro on elevated viaducts, as the original Red and Green lines did, Dubai’s Roads & Transport Authority (RTA) is building the new line entirely underground.

  When completed in September 2032, the line will add 35% to the length of the Dubai Metro network, extending it by more than 42 kilometres through 18 stations. It will connect more than 55 real estate projects that are still under construction and serve about 1.5 million residents. Surface land along the route was judged too valuable to sacrifice for a viaduct.

  Riyadh is following a similar path. Metro Line 7 will run 65km between Qiddiya Entertainment City, King Abdullah International Gardens, King Salman Park, Misk City and Diriyah Gate, with 47km of the route underground. Fourteen of its 19 stations will also be below ground, preserving valuable surface corridors that connect some of the kingdom’s most valuable gigaproject developments.

  Dubai Metro’s Blue Line extension is already demonstrating the scale of the engineering involved. Its tunnel boring machine (TBM), named Al-Wugeisha by the RTA, began operating in May. The machine is 163 metres long, weighs more than 2,000 tonnes and advances at around 13 to 17 metres a day along 15.5km of the line’s 30km route.

  The same constraints are shaping Etihad Rail’s planned high-speed line between Abu Dhabi and Dubai. Designed for trains travelling at up to 350km an hour, the railway will require underground sections through its urban core. The line’s stations at Al-Zahiyah and Abu Dhabi International airport, together with its Dubai station at Al-Jaddaf, will all be built below ground, as there is no practical way to route a high-speed railway through built-up city centres without demolishing existing development.

  Dubai’s experiment with The Boring Company’s Loop system reflects the same shift towards underground infrastructure. The 6.4km first phase, valued at AED565m ($154m) and linking Dubai International Financial Centre to Dubai Mall, allows the emirate to test a lower-cost tunnelling model in a market still dominated by heavy civil engineering contractors. A second phase is already planned to extend the network to 22km and 19 stations within three years.

  Rather than extend the metro on elevated viaducts, as the original Red and Green lines did, Dubai’s RTA is building the Gold Line entirely underground

  Sewerage and stormwater tunnels

  A second, less visible tunnelling boom is under way beneath the region’s streets in stormwater and sewerage infrastructure. Dubai Municipality is finalising the first packages of the Strategic Sewerage Tunnels project, an AED80bn public-private partnership divided into three packages terminating at pump stations in Warsan and Jebel Ali.

  The scheme will convert Dubai’s sewerage system from a pumped network into a gravity-based one using deep tunnels and more than 200km of sewer links.

  Qatar is implementing a smaller version of the same concept. Ashghal has recently awarded a $104m contract for a trunk sewer running from Sheehaniya to the Doha North sewage treatment works. The tunnel will extend for about 39km, with diameters ranging from 600mm to 1,800mm, serving a catchment area covering 27,320 hectares of villages, farms, military facilities and a new residential development.

  These projects may lack the glamour of a metro line, but they demonstrate the same underlying principle. Once a city reaches a certain level of density, even routine utility infrastructure defaults to tunnelling rather than trenching.

  Roads and enabling works

  The third strand of the tunnelling boom covers the roads and enabling works that gigaprojects and dense cities increasingly require. Abu Dhabi’s Mid Island Parkway project combines bridges, a causeway and tunnels, including a cut-and-cover section on Bilrimaid Island, linking the emirate’s eastern islands.

  Another scheme currently under tender will connect Hudayriat Island to the mainland through two underwater tunnels feeding a 4.8km highway.

  In Al-Ain, Al-Fahjan Construction is boring a 120-metre tunnel through the Naqfa Mountains as part of a AED291m ($80m) dual carriageway, demonstrating that tunnelling is becoming viable outside the three largest urban centres wherever terrain, rather than density, presents the principal obstacle.

  Sharjah and Riyadh illustrate how the same approach is being adopted across different scales of urban development. Sharjah’s Al-Taawun Tunnel, the centrepiece of a AED750m ($204m) road programme linking Al-Nahda Bridge towards Dubai, and Riyadh’s Thumamah Road package, where Turkish contractor Yuksel Holding’s local subsidiary is constructing three tunnels and three bridges designed to carry 200,000 vehicles a day by 2028, reflect the same need to maximise surface capacity while avoiding disruption above ground.

  Dubai continues applying the same solution to smaller transport bottlenecks. The RTA’s contract to upgrade Umm Suqeim Street, Al-Wasl Road and Al-Safa Street includes bridges and tunnels totalling about 11km in what would once have been a straightforward at-grade junction improvement. The twin tunnels due to open on the Sheikh Rashid Corridor this August serve the same purpose: maintaining traffic flow between Oud Metha and Al-Wasl Club Street without adding a single lane of surface road.

  The contractors that have absorbed the lessons from Riyadh Metro’s earlier phases and Dubai’s Blue Line, rather than simply bidding aggressively to secure a share of a buoyant market, are likely to emerge strongest

  Contractors and technology

  The contractors delivering these projects increasingly move between them. The same firms bid for metro tunnels, sewerage tunnels and road tunnels, while the TBM fleets, grouting crews and tunnelling expertise developed on one project are redeployed on the next, sometimes in a different country.

  Turkish, Chinese, Korean and European civil engineering contractors that built Riyadh Metro’s earlier lines are now bidding for Metro Line 7 and for packages on Dubai’s Strategic Sewerage Tunnels project. Local firms such as Al-Marwan Contracting in Sharjah and Al-Fahjan Construction in Al-Ain also demonstrate that tunnelling is no longer the preserve of a handful of European and Japanese specialists, but a capability that regional contractors can increasingly offer.

  Clients have noticed. Procurement is likely to favour contractors and joint ventures that can demonstrate tunnelling experience across multiple countries, because ground conditions, TBM logistics and underground station construction involve too much risk to entrust to first-time operators.

  What happens next

  The main constraint on the region’s tunnelling boom is unlikely to be client appetite or financing. Instead, it will be the availability of TBMs and specialist subcontractors. Herrenknecht and its competitors cannot manufacture bespoke machines overnight, and every metro, sewerage and highway tunnel competing for the same large-diameter TBMs will continue to push lead times and day rates higher throughout the remainder of the decade.

  The pressure extends well beyond the machines themselves. Waterproofing, grouting, segment casting and ground-freezing specialists remain a relatively small global pool, and a region delivering metro, sewerage and highway tunnels simultaneously across three countries will inevitably compete for the same expertise.

  Day rates for tunnelling specialists are therefore likely to strengthen before this cycle reaches its peak. Clients are also expected to secure framework agreements with preferred contractors rather than repeatedly tendering individual projects, simply to secure access to equipment and specialist crews.

  Ground conditions remain the other major risk. The UAE’s gypsum-bearing and karstic geology, Riyadh’s mixed rock formations and Qatar’s high water table have already generated cost and programme surprises on previous tunnelling contracts. Delivering this volume of work within overlapping construction schedules makes it likely that some projects will experience delays or cost overruns.

  The contractors that have absorbed the lessons from Riyadh Metro’s earlier phases and Dubai’s Blue Line, rather than simply bidding aggressively to secure a share of a buoyant market, are likely to emerge strongest.

  The GCC’s tunnel boom is not a passing trend. The real question over the next decade is not whether governments will continue commissioning underground infrastructure, but which contractors have built the capability to deliver it without the delays and cost overruns that have affected comparable tunnelling booms elsewhere.

  https://image.digitalinsightresearch.in/uploads/NewsArticle/17850670/main.gif

  Yasir Iqbal