meed-logo

line1 line2 line3
SIGN IN / REGISTER

Neom rescopes brine complex project

14 October 2024

Enowa, the utility and energy subsidiary of Saudi gigaproject developer Neom, is seeking interest from companies for a project to develop a brine processing complex.

MEED reported in 2022 that Neom was seeking investors for a brine processing complex that could require investments of up to several billion dollars.

However, it appears that the original plan and capacity have been rescoped following the cancellation of a project to build an advanced 500,000 cubic-metres-a-day (cm/d) seawater reverse osmosis (SWRO) plant catering to the gigaproject earlier this year.

Enowa is now considering a phased approach for the brine complex, starting with a plant that can treat 50 million litres of brine a day (MLD) in the first phase. Subsequent phases will allow the plant's capacity to increase to 150MLD and 450MLD, according to an industry source.

It is understood that a pilot phase with a capacity of 1.2MLD is ongoing in Duba. The pilot project aims to test technologies and prove the full process, leading to market acceptance. 

The brine complex's 50MLD first phase is expected to be operational in 2030. It will process brine output from an SWRO plant that is being tendered and is expected to have a capacity of 150MLD.  

Brine is the main waste output of processing seawater into potable water, which is discharged to the sea. Neom aims to process residue brine into various usable minerals and chemicals in line with its sustainability and carbon circularity vision.

Zero liquid discharge

In May, MEED reported that the joint development agreement (JDA) for a project to develop a zero liquid discharge plant in Arabia's Neom had expired and had not been renewed, leading to the project cancellation.

A consortium of Enowa, Japan’s Itochu and France’s Veolia signed a JDA for the scheme in December 2022, approximately six months after they signed a memorandum of understanding to develop the renewable-energy-powered advanced SWRO project in Oxagon, Neom’s industrial cluster.

The scope of the JDA covers the project's first phase with a desalination plant that can produce 500,000 cm/d of desalinated water by 2030.  

In a statement sent to MEED in May, Enowa said Neom's water requirements have evolved over the last year "leading us to adopt a stepwise approach to expanding capacity".

It continued: "As a result, we've decided to discontinue our JDA for this project. This decision was made after open communication and extensive discussions to ensure mutual understanding and commitment.

"Our dedication to delivering sustainable and innovative solutions remains unchanged, and we value our collaboration with international partners as we adjust our approach to best serve Neom's long-term goals."

Advanced technology

In addition to using 100% renewable energy, the proposed state-of-the-art desalination plant intended to use advanced membrane technology to produce separate brine streams, enabling the production of brine-derived products to be developed and monetised downstream.

The plan involved converting brine, the main waste output of desalination, into industrial materials to be used locally or exported internationally.

At the time, Enowa said brine generated from the desalination plant would be treated to feed industries utilising high-purity industrial salt, bromine, boron, potassium, gypsum, magnesium and rare metal feedstocks.

Neom appointed Japan’s Sumitomo Mitsui Banking Corporation as financial adviser for the project. UK-based DLA Piper was the legal adviser and Canada’s WSP was the technical adviser.

https://image.digitalinsightresearch.in/uploads/NewsArticle/12694674/main.jpg
Jennifer Aguinaldo

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • SAR prepares phosphate rail second section contract award

    25 September 2026

     

    Saudi Arabian Railways (SAR) is preparing to formally award another multibillion-riyal contract to double the tracks on the existing phosphate transport railway network connecting the Waad Al-Shamal mines to Ras Al-Khair in the kingdom’s Eastern Province.

    The contract covers construction works on the second section of the railway line, spanning more than 150 kilometres (km).

    The scope of work includes civil works, alignment modifications, track and loop construction, and associated infrastructure such as bridges and culverts, as well as enhancements to signalling and telecommunications systems.

    SAR floated the tender in February, and bids were submitted in April.

    SAR is making significant progress on its Phosphate 3 rail programme. Last month, MEED exclusively reported that SAR had awarded an estimated SR4bn-plus ($1.1bn) contract to add another track to the first section of the existing phosphate transport railway network.

    The contract was awarded to local firm Alomaier Trading & Contracting Company.

    The scope includes track doubling, alignment modifications, utility bridges, culvert widening and hydrological structures, as well as the conversion of the AZ1 siding into a mainline track. It also covers support works for signalling and telecommunications systems.

    The existing railway runs from the Waad Al-Shamal mines to Ras Al-Khair. The first-section works will cover about 100km, connecting the AZ1/Nariyah Yard to Ras Al-Khair.

    Switzerland-based engineering firm ARX is the project consultant.

    Formerly known as the North-South Railway, the North Train is a 1,550km freight line running from the phosphate and bauxite mines in the far north of the kingdom to the Al-Baithah junction. From there, it diverges into a line south to Riyadh and another line east to downstream fertiliser production and alumina refining facilities at Ras Al-Khair on the Gulf coast.

    Adding a second track and freight yards will significantly increase the network’s cargo-carrying capacity and support growth in industrial production. Project implementation is expected to take four years.

    State-owned SAR is also considering increasing the localisation of railway materials and equipment, including developing a cement sleeper manufacturing facility.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/19983928/main.jpg
    Yasir Iqbal
  • Meraas awards $272m Nad Al-Sheba Gardens villas deal

    25 September 2026

    Dubai-based real estate developer Meraas Holding, part of Dubai Holding, has awarded a AED1bn ($272m) contract for the construction of the seventh phase of the Nad Al-Sheba Gardens community.

    The contract, which covers the delivery of 272 villas and townhouses, was awarded to local firm GCC Contracting.

    The scope of work includes 130 villas, 142 three-bedroom townhouses, and associated utilities and infrastructure.

    Construction has started, and the project is slated for completion in 2028.

    Last year, Meraas awarded a AED690m ($188m) contract for the construction of the fourth phase of the Nad Al-Sheba Gardens community in Dubai.

    Meraas awarded the contract to local firm Bhatia General Contracting.

    The scope of that contract covers the construction of 92 townhouses, 96 villas and two pool houses.

    In December last year, Meraas announced the eleventh and final phase of its Nad Al-Sheba Gardens residential community. This phase includes the development of 210 new villas and townhouses, as well as a school, located in the northwest corner of the development.

    According to UK analytics firm GlobalData, the UAE’s construction industry will register annual growth of 3.9% between 2025 and 2027, supported by investments in infrastructure, renewable energy, oil and gas, housing, industrial and tourism projects.

    The residential construction sector is expected to record an average annual growth rate of 2.7% between 2025 and 2028, supported by private investment in residential housing, along with government initiatives to meet rising demand.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/19983032/main.png
    Yasir Iqbal
  • KBR opens new office in Libya

    25 September 2026

     

    US-based KBR has opened a local branch office in Libya as it seeks to expand operations in the country, according to industry sources.

    The local branch opening follows several significant contract wins in the country.

    In March, KBR announced that it had been awarded a contract by Zallaf Exploration, Production & Refining of Oil & Gas Company to provide project management and technical services for the South Refinery Project in Libya’s southern city of Ubari.

    Under the terms of the contract, KBR will provide contract management, project management and supporting technical services throughout the engineering, procurement and construction (EPC) phases of the project, according to a company statement.

    The EPC work is expected to be executed over a 50-month period.

    In its statement, KBR said that the project was aligned with its “long-standing commitment to advancing vital oil and gas infrastructure in Libya”.

    KBR is currently re-evaluating the front-end engineering and design (feed) for the project to develop the J6 North Gialo field in Libya.

    In February this year, KBR officials said registration procedures to open a local branch were being finalised and that the company was seeking the necessary operating permits.

    KBR has previously provided engineering services for major national projects in Libya, but was forced to shut down its office in the country several times amid political instability and security issues.

    When the company was known as Brown & Root, it worked on the Great Man-Made River Project in Libya, which is widely recognised as the largest irrigation project in the world.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/19981331/main.png
    Wil Crisp
  • Contractors submit bids for jet fuel pipeline to Doha airport

    25 September 2026

     

    Contractors have submitted technical bids for a QatarEnergy project to build a pipeline that will supply Jet A-1 fuel from its tank farm in Mesaieed Industrial City to Hamad International airport in Doha, a distance of approximately 53 kilometres.

    According to information obtained by MEED Projects, the following locally based contractors are understood to have submitted technical bids for the project earlier in September:

    • Doha Petroleum Construction Company (Dopet)
    • Qatar Engineering & Construction Company (QCon)
    • CAT Group (Qatar branch of Lebanese contractor)
    • MedGulf Construction Company

    Following the receipt of technical bids, QatarEnergy has requested commercial proposals for the project in October, according to MEED Projects.

    The scope of work includes:

    • Installation of a fully welded 53km steel pipeline, including pressure testing and non-destructive testing inspection
    • Trenching, bedding, laying, backfilling, reinstatement, erosion control, landscaping and restoration works
    • Construction of a pumping station, including motors and drives, redundancy provisions, safety systems, instrumentation and controls
    • Implementation of a pigging system, including launchers and receivers, and provision for inspection, purging and isolation
    • Installation of instrumentation and metering for flow, pressure and temperature monitoring and control
    • Construction of electrical supply infrastructure, including substations, switchgear, earthing and emergency shutdown provisions
    • Integration of a leak detection system, sectional block valves, SCADA communications and redundancy provisions

    QatarEnergy operates crude oil refining facilities, including natural gas liquids units, petrochemical production complexes and other assets across the hydrocarbon value chain in Mesaieed Industrial City, located about 45km south of Doha.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/19957351/main.jpg
    Indrajit Sen
  • Saudi projects hold steady

    24 September 2026

    Commentary
    Colin Foreman
    Editor

    Saudi Arabia’s project market is holding steady in 2026, with contract awards reaching $68bn in the year so far. The resilience is notable given the regional conflict that began in February and ongoing security threats that have disrupted shipping through key maritime chokepoints.

    The kingdom’s investment strategy has also shifted. After years of aggressive project spending through sovereign wealth vehicle the Public Investment Fund, Riyadh has moved towards event-driven procurement with fixed deadlines: the 2034 Fifa World Cup, Expo 2030 Riyadh and non-negotiable housing and healthcare commitments, together with a focus on the future economy with major investments earmarked for data centres. 

    The approach is leaner than the sprawling gigaproject model that characterised early Vision 2030 years, and more focused on achieving tangible milestones.

    Construction contract awards hit $20bn in the first half of this year, maintaining momentum against the backdrop of geopolitical uncertainty and a GDP contraction in the second quarter. 

    Saudi Aramco’s upstream investment programme remains substantial, with $50bn-$55bn committed for 2026, split about 65%-70% towards oil and gas. Major projects including the Dorra gas field development and the Jafurah unconventional gas expansion are progressing, underpinned by the company’s strategy of maintaining oil production at 12 million barrels a day while expanding gas capacity.

    Downstream activity is also contributing. Chemicals giant Saudi Basic Industries Corporation (Sabic) approved $3.6bn in projects this year, led by the San VII ammonia and urea complex, which was awarded to South Korea’s Samsung E&A for $3.47bn. The company is returning to significant capital investment after several years of constrained spending.

    Power sector activity is shifting towards transmission and battery storage infrastructure to support renewable energy targets. The kingdom’s infrastructure pipeline encompasses $175bn of projects in the transport, rail, aviation and roads segments.

    Private sector participation is expanding through public-private partnership (PPP) structures, with the National Centre for Privatisation & PPP managing about 200 projects in 17 sectors, worth approximately $190bn.

    The market needs more awards. Project completions have reached $91.5bn in 2026, outpacing awards by 35%. While this reflects successful execution of work awarded in prior years, it also indicates that new deals are required in the coming months to maintain activity levels into 2027.

     

    MEED’s September 2026 report on Saudi Arabia includes:

    > GOVERNMENT: Riyadh looks to reset its regional defence outlook
    > ECONOMY: Conflict bolsters case for Saudi economic diversification
    > BANKING: Saudi lenders readjust to lower lending and deposit climate
    > UPSTREAM: Aramco upstream spending gathers pace
    > DOWNSTREAM: Sabic steps up Saudi petchems investment
    > POWER: Saudi Arabia’s power award activity slows
    > WATER: Saudi water sector hits sharp slowdown
    > CONSTRUCTION: Saudi construction defies the headwinds
    > TRANSPORT: Saudi infrastructure pushes forward amid conflict

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/19794535/main.gif
    Colin Foreman