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Saudi Arabia is preparing to start work on the $7bn Saudi Landbridge project early next year as the negotiations for the final cost and financing of the project reach the closing stages.

“The final arrangements are being sorted out and the project is expected to be live early next year,” a source close to the project told MEED.

Last year, Transport and Logistics Minister Saleh Al-Jasser told a forum in Riyadh that Saudi authorities were negotiating with the Saudi China Landbridge Consortium (SLCC) to determine the project’s final cost and financing.

The SLCC signed a memorandum of understanding to implement the project on a public-private partnership basis in October 2018. The SLCC was formed by Saudi Railway Company (SAR) and China Civil Engineering Construction Company.

Al-Ayuni Contracting was named the consortium’s local partner. Other members include French firms Systra and Thales, Canada’s WSP, Aldhabaan & Partners, the local partner of UK legal consultancy Eversheds & Sutherland, ALG Infrastructure and Calx Consultancy.

Landbridge lines

The Saudi Landbridge project is one of the largest infrastructure projects planned in Saudi Arabia. The scheme is being implemented by SAR.

It comprises six lines. The first line involves upgrading the Jubail Industrial City internal network, which is under construction. It will require building 10 kilometres (km) of track.

The second line entails upgrading the Jubail to Dammam railway line, which is also under construction. It will require building 35km of track.

The third line involves upgrading the Dammam to Riyadh railway line, with 87km of track to be built. 

The fourth line, known as the Riyadh bypass, runs from the existing network in the north of the city to the south. It is split into two packages: the first has 67km of track, and the second has 35km.

The fifth line is a link from Riyadh to Jeddah and then on to King Abdullah Port with three stations at Jamuma, Moya and Al-Doadmi. The Riyadh to Jeddah line will have 920km of track and the Jeddah to King Abdullah Port link will have 146km of track.

The sixth line is a new 172km line from King Abdullah Port to Yanbu Industrial City.

There will also be seven logistics centres: Jubail Industrial City Logistics Centre, Damman Logistics Dry Port, a relocated Riyadh Dry Port, King Khalid Airport Logistics Centre in Riyadh, Jeddah Logistics Dry Port, King Abdullah Port Logistics Centre and Yanbu Industrial City Logistics Centre.

In December 2023, MEED reported that the team of US-based Hill International, Italy’s Italferr and Spain’s Sener had been awarded the contract to provide project management services for the estimated $7bn Saudi Landbridge project.

The Landbridge is one of Saudi Arabia’s most anticipated infrastructure projects. Crown Prince Mohammed Bin Salman Bin Abdulaziz Al-Saud confirmed the government’s commitment to the Landbridge project in June 2021, when he launched the National Transport & Logistics Strategy.

Plans to develop the Landbridge were announced in 2004, but put on hold in 2010. They were revived again in 2011.

MEED previously reported that Saudi Arabia and China will continue working together on the Saudi Landbridge project.

In a joint statement at the end of Chinese President Xi Jinping’s visit to Saudi Arabia on 9 December 2022, the two countries said: “Regarding the transportation and logistics field, the two sides stressed the importance of enhancing cooperation and joint action on developing the air and sea transport sectors, modern transport modes and railways, and expediting the completion of studies on the Saudi Landbridge project.”

Photo credits: Maximilian Dörrbecker