meed-logo

line1 line2 line3
SIGN IN / REGISTER

Neom’s top five projects

11 October 2023

Neom has awarded major contracts over the past two years, indicating the kingdom's flagship development project is moving ahead as planned. It has also attracted local and international investment partners for the implementation of these projects.

Except for the Neom Green Hydrogen project, the majority of the contracts that have been awarded so far are for basic infrastructure such as roads, staff accommodation and utilities.

Below is a round-up of the top five projects that are under construction at Neom.

  1. NGHC Green Fuels Renewable Energy Project

Saudi Arabia’s Neom Green Hydrogen Company (NGHC), a consortium of Neom, Saudi utility developer Acwa Power and the US' Air Products is developing a green fuels renewable energy facility, which will produce hydrogen to be synthesised into carbon-free ammonia for export exclusively by Air Products to global markets.

The planned facility will integrate 4GW of renewable power from solar, wind and storage that will be used for the production of 650 tonnes a day of hydrogen and nitrogen and 1.2 million tonnes a year of green ammonia.

In June 2022, Indian contractor Larsen & Toubro (L&T) secured a major engineering, procurement, and construction (EPC) contract worth $2.7 billion from NGHC for the renewable energy package of the programme.

L&T has since awarded several sub-contracts for different elements of the project. These include the supply contract for the wind turbines to China's Envision Energy, the supply of 380 kV gas-insulated substations to US-based GE Grid Solutions, the supply of solar trackers to Spanish PV Hardware and, most recently, the contract to inverter skid solutions to Chinese company Sungrow.

  1. NEOM Community Villages: Wave 1

In June, Neom finalised SR21bn ($5.6bn) of public-private partnership (PPP) housing deals for worker accommodation. The developers for the first phase of its residential communities, also known as Wave I, include local companies Alfanar Global Development, Almutlaq Real Estate Investment Company, Nesma Holding Company and Tamasuk, which is involved through two separate partners, Al-Majal al-Arabi Group Company and Saudi Arabian Trading & Construction Company (Satco).

The scheme involves building ten communities across Neom, adding capacity for 95,000 more occupants once the project's first phase is completed. The temporary accommodation needed during Neom's construction period is being built sustainably as relocatable modular units that can be repurposed once the communities are no longer required.

The tender for a second phase of the project, known as Wave II, is expected to be issued to the market in the coming months.

 

  1. NEOM Backbone Infrastructure: Drill and Blast Running Tunnels

Tunnel projects worth over $4.6bn are in the execution phase at Neom. These include the backbone infrastructure tunnels for The Line project, which involve constructing two railway tunnels in parallel using the drill-and-blast method, one for passengers and the other for goods.

In June 2022, Neom awarded $2.7bn-worth of main contracts to the joint venture of Shibh al-Jazira Contracting, China State Construction Engineering and FCC Construction for lots two and three of this scheme.

A separate contract worth about $1.8bn was awarded by Neom for lots four and five to a team of Archirodon, Samsung Engineering and Hyundai Engineering.

Beijing-based China Railway Construction Corporation (CRCC) was awarded a contract in 2021 for the adits and portals package serving the bored tunnels.

  1. NEOM Oxagon Connector South

In May, Neom awarded a joint venture of Italy-based Webuild and Riyadh-headquartered Shibh al-Jazira Contracting (Sajco) an estimated $2bn contract to build the Connector South rail line that will link Oxagon with The Line at Neom.

The contract involves the construction of a 75-kilometre railway line, including earthworks, 14 viaducts, seven roads, nine rail underpasses, 152 culverts (pipe and box culverts), a freight line, infrastructure maintenance depots and associated facilities.

The infrastructure corridor will run south from The Line to Neom City Station through Neom Bay Mansions, Neom Bay airport and on to Oxagon.

  1. NEOM Oxagon Port

Crown Prince Mohammed bin Salman launched Oxagon in late 2021. It includes onshore elements as well as floating structures offshore. Construction works on the 48 square-kilometre, eight-sided industrial city have already started.

In January, Neom awarded a contract to deliver the first phase of the port expansion. A team of Boskalis, Besix and the local Modern Building Leaders (MBL) was awarded that estimated SR3bn ($800m) contract in mid-January.

It was followed by another $1bn contract award in October to Belgium’s Deme with Greece’s Archirodon to complete phase two of the Duba port expansion at Oxagon industrial city.

The scope of the Duba port expansion package includes excavation and dredging, revetments for channel widening, demolition, container terminal quay expansion and earthworks, in addition to the development of a flexible quay, a roll-on/roll-off (RoRo) berth and quay walls to a marine services berth and a coast guard facility.

https://image.digitalinsightresearch.in/uploads/NewsArticle/11209234/main.jpg
Yasir Iqbal

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

Click here to register
Exclusive from Meed
Related Articles
  • Contractors prepare bids for more Qiddiya infrastructure

    8 October 2026

     

    Saudi gigaproject developer Qiddiya Investment Company (QIC) has tendered a design-and-build contract covering infrastructure works at District 0 in Qiddiya City.

    The scope includes the design, supply, construction, testing, commissioning and defects liability period for Road I in District 17, Road Q in District 19 and the District 18 Ring Road.

    In total, the package covers approximately 17.4 kilometres of roads, including 1.4km of bridge structures.

    Contractors have until 14 October to submit proposals.

    Beirut-headquartered Dar Al-Handasah is the lead design consultant for districts 17 and 19, with a remit that also includes potable water and recycled water storage tanks and pumping stations.

    US-based Jacobs is the lead design consultant for the District 18 Ring Road.

    The tender is the third infrastructure package for Qiddiya’s District 0. The first two packages, tendered in March, remain under procurement, as MEED exclusively reported.

    MEED understands that bid evaluation for these packages is in its final stages and that awards are expected shortly.

    QIC is also advancing plans to develop additional assets at Qiddiya City.

    Last month, MEED exclusively reported that QIC had awarded an estimated $500m-$600m contract to build an e-games arena, known as the Fortress Arena.

    The scope of work includes the construction of an auditorium with a capacity of about 5,100 seats, as well as commercial areas, hospitality facilities and other associated infrastructure.

    The Fortress Arena is one of several major projects within the wider Qiddiya development.

    Other projects include the Dragon Ball theme park, Prince Mohammed Bin Salman Stadium, a horse-racing venue, a performing arts centre, the Speed Park, the National Tennis Centre, Six Flags Qiddiya City and Aquarabia water park.

    The project is a key part of Riyadh’s strategy to boost leisure tourism in the kingdom. According to UK analytics firm GlobalData, leisure tourism in Saudi Arabia has grown significantly in recent years.

    MEED’s October 2026 report on Saudi Arabia includes:

    > COMMENT: Saudi projects hold steady
    > 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
    > DATABANK: Saudi data indicates project spending shift

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/20384978/main.jpg
    Yasir Iqbal
  • Chinese contractors begin Jordan rail construction

    8 October 2026

     

    Beijing-headquartered firms China Civil Engineering Construction Corporation (CCECC) and China First Highway Engineering Company (CFHEC) have started construction work on the Aqaba-Al-Shidiyeh-Maan Railway project in Jordan.

    The 403-kilometre rail network is divided into six packages. CCECC is executing packages one to four, while CFHEC is undertaking packages five and six.

    The scope of work covers constructing railway tracks, about 55 bridges, six tunnels and related structures.

    The project aims to link Aqaba with key mining and production sites and the Maan logistics zone, establishing an integrated system for transporting bulk cargo and containers between ports, production centres and inland logistics facilities.

    The network is expected to carry around 16 million tonnes of phosphate and potash each year from production sites to Aqaba’s ports.

    In April 2025, a French-Swiss joint venture of Egis and Arx was awarded the project’s design consultancy contract.

    The estimated $2.5bn project is being developed by the Jordan-UAE Railway Company, which is jointly owned by Abu Dhabi’s L’imad Holding and Jordanian entities including the Jordan Phosphate Mines Company, the Government Investments Management Company, the Social Security Investment Fund and the Arab Potash Company.

    Jordanian and UAE officials attended a groundbreaking ceremony held earlier this week to mark the formal start of construction work.

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

    Industry and logistics drive development at Neom; Saudi Arabia’s investment priorities realign amid conflict; MEED’s 2026 power developer ranking.

    Distributed to senior decision-makers in the region and around the world, the October 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/20371915/main.jpg
    Yasir Iqbal
  • Iraq discusses starting operations at $3.78bn refinery project

    8 October 2026

    Iraq’s Minister of Oil, Basem Muhammad Khudair Al-Abadi, has met with Japanese officials to discuss plans to commission the fluid catalytic cracking (FCC) unit at the Basra refinery upgrade project, according to a ministry statement.

    The meeting was attended by the Japanese Embassy’s executive officer as well as representatives from the Japan International Cooperation Agency (Jica) and Japan-based JGC, which is the main contractor on the project.

    According to the ministry, discussions focused on direct implementation steps and coordination between Iraqi authorities and the Japanese partners to bring the unit online using Japanese refining technologies.

    Iraq’s South Refineries Company (SRC) sent JGC notice of the main contract award for the Basra refinery upgrade project’s FCC package in August 2020.

    JGC was awarded the contract in consortium with South Korea’s Hyundai E&C.

    The official contract signing ceremony was held in Baghdad on 1 October 2020.

    The contract awarded to JGC, which uses the engineering, procurement, construction and commissioning model, was worth $3.78bn.

    Project delays

    The project has faced issues related to the ongoing regional conflict, which started when the US and Israel attacked Iran on 28 February.

    JGC evacuated its personnel from the site in the southern oil hub of Basra following the start of the regional war, stopping work on the project, which was in its final stages of construction.

    In August, JGC signed an agreement to restart work.

    The project will produce around 5 million litres a day of gasoline and 7 million litres a day of diesel.

    The FCC package is part of a broader project to upgrade the Basra refinery.

    Oil Ministry officials said in late 2025 that the Basra refinery upgrade project aims to slash Iraq’s fuel import bill and convert heavy refining residues into high-value petroleum products.

    The project site is located about 12 kilometres east of Iraq’s southern city of Basra.

    The wider upgrade project is installing new facilities on land adjacent to the existing Basra refinery, including a vacuum distillation unit and a diesel desulphurisation unit.

    In April 2021, France’s Axens won a contract to provide four process technologies to SRC for the Basra refinery upgrade project.

    The technologies that SRC selected are:

    • Diesel hydrotreatment unit (Prime-D)
    • Vacuum gasoil (VGO) hydrotreating unit
    • VGO fluid catalytic cracker unit
    • Oligomerisation unit (polynaphtha)

    In addition, Axens is providing catalysts and adsorbents and proprietary equipment, training and technical services.

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

    Industry and logistics drive development at Neom; Saudi Arabia’s investment priorities realign amid conflict; MEED’s 2026 power developer ranking.

    Distributed to senior decision-makers in the region and around the world, the October 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/20366574/main.png
    Wil Crisp
  • Drilling resumes at Iraq’s Akkas field

    8 October 2026

     

    Drilling has resumed as part of the project to further develop Iraq’s Akkas gas field, according to industry sources.

    In March, MEED reported that development of the field had been disrupted by security issues related to the US and Israel’s war with Iran.

    Activity at the project site had been significantly reduced due to security concerns, which led to the evacuation of most non-Iraqi workers.

    Now, the project is progressing and drilling at the field is ongoing, sources said.

    One source said: “Many of the major issues that stopped drilling at the site have been dealt with in various ways, and the development of the field is proceeding.”

    Iraq held a ceremony in January to mark the start of drilling operations under the current phase of development. In July of the previous year, the Iraqi Oil Ministry announced a contract with US-based oilfield services provider SLB to develop the field. Under the agreement, SLB is drilling wells to raise initial output to 100 million cubic feet a day (cf/d), with a long-term production target of 400 million cf/d.

    The contract with SLB replaced a previous deal with Ukraine-based Ukrzemresurs, which has been terminated.

    It also covers the construction of surface infrastructure and pipelines to connect Akkas to central processing units.

    The gas produced at Akkas will fuel the Anbar combined-cycle power plant, which the Electricity Ministry is building.

    Akkas gas field development

    Located in western Anbar province, Akkas holds an estimated 5.6 trillion cubic feet of proven natural gas reserves. The field was discovered in 1992 and entered initial production in 1993, but efforts to develop it commercially have faced repeated delays.

    Development rights were originally awarded to a consortium of South Korea’s Kogas and Kazakhstan’s KazMunaiGas (KMG) during Iraq’s third licensing round in 2010. After KMG withdrew, Kogas took over as sole operator under revised contractual terms before work was subsequently halted.

    In April 2024, the Oil Ministry signed an agreement with Ukraine’s Ukrzemresurs targeting 100 million cf/d within two years and 400 million cf/d within four years. However, the deal faced strong domestic political resistance.

    Iraq’s parliamentary Oil and Gas Committee opposed the award, with committee member Ali Al-Mashkour telling Shafaq News Agency: “This contract involves a great waste of Iraq’s wealth, and there will be a waste of Iraq’s oil, and this confirms that Iraq is once again failing to choose reputable companies to work with in the most important economic field in the country.”

    He added: “We will work to uncover and expose the suspicions in this contract during the next stage, especially since this contract was made by some representatives for specific interests, which we will reveal soon with evidence.”

    The deal was subsequently terminated, paving the way for the current contract with SLB.

    The development of Akkas is central to Baghdad’s broader ambition to transition from a net gas importer into an exporter. Iraq remains heavily dependent on gas imports from Iran to meet domestic electricity demand. Both the US and Saudi Arabia have backed Iraq’s efforts to develop non-associated gas fields to reduce its economic and energy dependence on Tehran.

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

    Industry and logistics drive development at Neom; Saudi Arabia’s investment priorities realign amid conflict; MEED’s 2026 power developer ranking.

    Distributed to senior decision-makers in the region and around the world, the October 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/20366494/main5816.jpg
    Wil Crisp
  • Neom extends bid deadline for Oxagon wastewater plant

    8 October 2026

     

    Neom has extended the bid submission deadline for a contract to build a wastewater treatment plant for Oxagon, its industrial cluster.

    According to a source, the new deadline is 25 October. The original deadline was 2 October.

    Enowa, Neom’s energy and water utility, is tendering the contract.

    The industrial wastewater treatment package will have an initial capacity of 35,000 cubic metres a day (cm/d), supplied in modular trains of 5,000 cm/d each. A separate sanitary wastewater treatment package will have a capacity of 1,000 cm/d.

    The contract is structured as a design-build-operate project and covers the supply, installation and commissioning of industrial and sanitary wastewater treatment packages, as well as three years of operation and maintenance.

    According to sources, local contractor Alfanar, Beijing-based PowerChina and France-based Veolia are among the companies preparing bids.

    The project follows an earlier tender for the Oxagon Village Water Recycling Plant, which was cancelled despite contractors submitting bids in 2024.

    MEED reported at the time that PowerChina, Alfanar and Cairo-headquartered Orascom had submitted bids for that project.

    The earlier scheme included truck-receiving facilities, pretreatment, biological treatment using food chain reactor technology, tertiary treatment, sludge handling and recycled-water storage.

    The latest procurement appears to take a reworked approach to wastewater treatment at Oxagon Industrial Quarter. It replaces the previous engineering, procurement and construction scheme with an interim modular and demountable facility.

    The plant is designed to provide “interim wastewater treatment” capacity for Oxagon Industrial Quarter as industrial development progresses.

    As MEED understands, this includes treatment systems that can be installed and subsequently removed or relocated as requirements at Oxagon evolve. The plant can be expanded to a maximum capacity of 45,000 cm/d.

    The tender documents also state that Neom may consider export credit agency (ECA) financing for the project. The strength of bidders’ ECA financing proposals will form part of the commercial evaluation.

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

    Industry and logistics drive development at Neom; Saudi Arabia’s investment priorities realign amid conflict; MEED’s 2026 power developer ranking.

    Distributed to senior decision-makers in the region and around the world, the October 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/20347018/main.jpg
    Mark Dowdall