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Abu Dhabi selects Yas Island site for $1.7bn Sphere venue Administrator14 May 2026
Abu Dhabi’s Department of Culture & Tourism (DCT Abu Dhabi) and US-based Sphere Entertainment have selected Yas Island as the location for the $1.7bn Sphere Abu Dhabi project.
The venue will be built on a plot between Yas Mall and SeaWorld Abu Dhabi, close to Yas Island’s theme parks and attractions. Construction is expected to be completed by the end of 2029. Dubai-listed Alec is understood to be the selected contractor and has been working on the project’s pre-construction phase.
The project will be the first Sphere venue outside the US. It is expected to echo the scale of Sphere Las Vegas, with a capacity of up to 20,000 depending on configuration.
DCT Abu Dhabi said it will coordinate enabling and infrastructure works with Abu Dhabi entities, including the Department of Municipalities & Transport and its Integrated Transport Centre, the Department of Energy, Taqa, Etihad Rail and Aldar. The scope includes road enhancements, site access and site-wide infrastructure integrated with surrounding Yas Island assets.
Sphere Abu Dhabi is the latest addition to Abu Dhabi’s integrated tourism and destination-development pipeline on Yas Island, alongside major attractions and the Disney theme park resort that was announced in 2025.
DCT and Sphere Entertainment finalised an agreement last year related to the construction, development and operation of the Sphere entertainment venue in Abu Dhabi. According to the agreement, Sphere Entertainment granted DCT the exclusive rights to build and operate the Sphere Abu Dhabi entertainment venue.
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Consortiums prepare bids for Al-Khairan phase one IWPP Administrator14 May 2026
Two developer consortiums are finalising bids for the first phase of Kuwait’s Al-Khairan independent water and power producer (IWPP) project, the deadline for which has been extended to 1 June.
The facility will have a capacity of 1,800MW and 150,000 cubic metres a day of desalinated water. It will be located in Al-Khairan, adjacent to the Al-Zour South thermal plant.
The project is expected to run on Low Sulphur Fuel Oil (LSFO) as the primary fuel and to accommodate crude oil, gas oil, and natural gas as backup fuels. Later phases will further expand capacity.
The main contract was tendered last September. Three consortiums and two individual companies were previously prequalified to participate, with the following groups currently preparing offers:
- Abu Dhabi National Energy Company (Taqa) / A H Al-Sagar & Brothers (Saudi Arabia)
- Acwa (Saudi Arabia) / Gulf Investment Corporation (Kuwait)
The two individual companies, Sumitomo Corporation (Japan) and Nebras Power (Qatar), are now “unlikely” to submit a bid, according to a source close to the project.
It is also understood that the third consortium of China Power, Malakoff International (Malaysia) and Abdul Aziz Al-Ajlan Sons (Saudi Arabia) is no longer bidding for the contract.
The project is being procured by the Kuwait Authority for Partnership Projects (Kapp) and the Ministry of Electricity, Water & Renewable Energy (MEWRE).
The Al-Khairan IWPP project is part of Kuwait’s long-term plan to expand power and water production capacity through public-private partnerships (PPPs).
The winning bidder will sign a set of PPP agreements covering financing, design, construction, operation and transfer of the project.
The energy conversion and water purchase agreement is expected to cover a 25-year supply period.
Upcoming awards
Kuwait is also preparing to offer a contract to develop zone one of the third phase of the Al-Dibdibah power and Al-Shagaya renewable energy project.
In January, three consortiums submitted bids for a contract to develop Kuwait’s first utility-scale solar photovoltaic (PV) plant.
The Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one independent power project (IPP) will have a total power-generating capacity of 1,100MW.
MEED understands that the preferred bidder announcement will happen after the bid closes for zone two of the third phase of the Al-Dibdibah power and Al-Shagaya renewable energy project.
The PPP authority is procuring the 500MW solar photovoltaic IPP in partnership with the ministry.
The bid deadline for this project was recently extended to 31 May.
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Bidders compete for new Dubai Metro line project Administrator14 May 2026
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Dubai’s Roads & Transport Authority (RTA) has held a pre-bid meeting for the Dubai Metro Airport Express Line with consultants understood to be competing for work on the project.
It is understood that the RTA has requested firms to form joint ventures for the project. The firms that attended the meeting include:
- Aecom (US)
- Arup (UK)
- ARX (Switzerland)
- AtkinsRealis (Canada)
- DB (Germany)
- Egis (France)
- Jacobs (US)
- Mott Macdonald (UK)
- Parsons (US)
- Sener (Spain)
- Surbana Jurong (Singapore)
- Systra (France)
- WSP (Canada)
The consultancy contract covers the study and design of the Airport Express Line, which will extend from the Al-Garhoud area of the city to Al-Maktoum International airport (DWC) in the Jebel Ali area. The proposed line will stretch about 55 kilometres (km) and include five stations, providing passengers with facilities such as remote airline check-in, baggage drop-off and security screening.
Consultants have been allowed until June to submit their proposals.
The new line will run from the Red Line metro station at Dubai International airport through Al-Jaddaf, along Al-Khail Road to a new station at Jumeirah Village Circle (JVC) before continuing on to DWC.
There will be two spur lines. The first will run from the new JVC station to the Al-Fardan Exchange metro station at Emirates Golf Club, while the second will branch out towards Business Bay, where another station will be built.
The new line appears to follow a similar route to the Etihad Rail high-speed railway project, which is now under construction and due to be completed by 2030.
Route 2020 extension
The Airport Express Line scheme is the latest metro project to be tendered by the RTA this year. Tendering activity is already ongoing for the Route 2020 extension, which will start from the Expo 2020 metro station and connect to DWC’s West Terminal.
In April, MEED exclusively reported that consultants had submitted bids for the project.
The extension to the line will run for about 3km and will feature two stations.
The existing Route 2020 metro link is a 15km-long line that branches off the Red Line at Jebel Ali metro station. The line comprises 11.8km of elevated tracks and 3.2km of tunnels, and has five elevated stations and two underground stations.
The RTA awarded the AED10.6bn ($2.9bn) design-and-build contract for the project to a consortium of Spain’s Acciona, Turkiye’s Gulermak and France’s Alstom in 2016.
Gold Line
Dubai’s plans for its metro network do not stop with connecting the extension of the Route 2020 metro line to DWC. There are long-term plans for further extensions.
In October last year, MEED exclusively reported that the RTA had selected US-based engineering firm Aecom to provide consultancy services for the upcoming Dubai Metro Gold Line project, also known as Metro Line 4.
The Gold Line will start at Al-Ghubaiba in Bur Dubai. It will run parallel to – and alleviate pressure on – the existing Red Line, before heading inland to Business Bay, Meydan, Global Village and residential developments in Dubailand.
The existing network includes the Red and Green lines of the Dubai Metro and the Dubai Tram, which connects Al-Sufouh and Dubai Marina to the metro network. The last rail project to start operations in Dubai was the Red Line extension that opened for Expo 2020.
There are also existing and planned rail lines connecting Dubai to other emirates that are being developed and operated by Abu Dhabi-based Etihad Rail. These include passenger and freight services, as well as a high-speed rail connection.
Blue Line
In December 2024, the RTA awarded a AED20.5bn main contract for the Dubai Metro Blue Line project to a consortium of Turkish firms Limak Holding and Mapa Group and the Hong Kong office of China Railway Rolling Stock Corporation.
The Blue Line consists of 14 stations, including three interchange stations at Jaddaf, Rashidiya and International City 1, as well as a station in Dubai Creek Harbour.
By 2040, the number of daily passengers on the Blue Line is projected to reach 320,000. It will be the first Dubai Metro line to cross Dubai Creek, doing so on a 1,300-metre viaduct.
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Local firm wins $100m Kuwait substation contract Administrator14 May 2026
The local Al-Ahleia Switchgear Company has won an engineering, procurement and construction contract for a $100m substation project in Wafra in Kuwait’s Al-Ahmadi Governorate.
According to a source, the firm has been appointed as the contractor for the Wafra 2Z substation 400/132/33kV project, with construction scheduled for completion in January 2029.
The contract was awarded by US-headquartered Chevron, which is undertaking its first major power project in Kuwait, according to data from MEED Projects.
It is understood that contractor bids for the project were first submitted in 2023 by National Contracting Company (Kuwait), Al-Ahleia Switchgear (Kuwait), Imco Engineering & Construction Company (Kuwait) and Larsen & Toubro (India).
The tender was cancelled in 2024, and a new tender was issued last year.
In April, Al-Ahleia Switchgear won a contract to build a 400/132/11kV substation at the South Surra township for Kuwait’s Public Authority for Housing Welfare.
The firm also recently won a separate contract in Oman for the supply, installation, execution and maintenance of a main power substation.
The contract was awarded by Oman’s Public Authority for Social Insurance as part of its affordable housing project, known locally as Al-Masaken Al-Muyassara.
According to MEED Projects, Chevron owns about $11.2bn-worth of operational oil and gas projects across the Middle East and Africa. It also owns four major power generation projects in Saudi Arabia, valued at $810m.
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Al-Ain breaks ground on Four Seasons Saadiyat Administrator14 May 2026
Al-Ain Asset Management has held a groundbreaking ceremony for its Four Seasons Private Residences Abu Dhabi project at Saadiyat Beach.
Due for completion in 2029, the gated beachfront scheme will comprise 116 ultra-luxury homes with direct beach access. The unit mix includes villas, beachfront mansions, suites and penthouses, alongside a range of bespoke amenities and Four Seasons-branded services, Wam reported.
Al-Ain Asset Management said the majority of the residences have been sold, and that AED250m ($68m) of new villa sales were recorded within one week, underlining demand for ultra-prime homes in Abu Dhabi.
The developer added that the development set new pricing benchmarks for the emirate’s luxury coastal real estate, achieving prices above AED14,000 a square foot. Total sales have exceeded AED4bn since the project launched less than a year ago.
The groundbreaking ceremony was attended by senior leadership and key partners, including Four Seasons, Killa Design and Mirage Leisure & Development. LW Design Group is also involved in the development.
Al-Ain Asset Management is also developing another residential scheme on Saadiyat Island. The Vida Residences development will comprise apartment units geared towards long-stay living, supported by hotel-style facilities and operational spaces. Mimar Architecture & Engineering is working as the consultant.
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Aldar acquires Dubai Studio City development Administrator14 May 2026
Abu Dhabi-based developer Aldar has acquired a residential and community retail development in Dubai Studio City from Dubai-based developer SRG for AED1.1bn ($300m).
The deal is part of Aldar’s long-term strategy to build a high-quality, recurring-income portfolio and to scale its presence in the city.
Scheduled for delivery in 2028, the project comprises six mid-rise buildings with 312 homes, including one-, two- and three-bedroom apartments and duplexes. It also includes a community mall with retail, leisure and food-and-beverage offerings, as well as a 16,000-square-metre park.
“Dubai is a priority growth market for Aldar, and this acquisition reflects our belief in the city’s residential market and the central role that institutionally owned, professionally managed rental housing plays in meeting the needs of a growing population,” said Jassem Saleh Busaibe, CEO of Aldar Investment.
“Dubai Studio City’s established infrastructure, vibrant community and strong connectivity make it an excellent location for a high-quality, professionally managed living environment. This transaction is the latest step in a deliberate and broadening strategy to build a diversified portfolio of income-generating assets in Dubai, one that we expect to continue growing as the city attracts increasing global interest and talent,” he added.
The transaction expands Aldar’s activities in Dubai across a range of property types. Aldar Investment’s recurring-income portfolio in the emirate now includes residential, commercial, logistics and mixed-use assets. Key holdings include a mixed-use joint venture with Expo City Dubai, a signature office tower in Dubai International Financial Centre, a Grade A office building on Sheikh Zayed Road, and logistics facilities in National Industries Park and Dubai South.
On the development front, Aldar’s partnership with Dubai Holding continues to gain traction, with three master-planned residential communities already launched and a pipeline exceeding 2.3 million sq m of new gross floor area.
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Algeria awards major gas project contract Administrator14 May 2026
The Chinese-Algerian joint venture Groupement Sonatrach-Sinopec (GSS) has provisionally awarded a major contract to upgrade the gas lift compression unit at Algeria’s Zarzaitine field.
The $238.8m contract has been awarded to a consortium of the Chinese companies Tianchen Engineering Corporation and Shaanxi Yanchang Petroleum.
The client on the project is a partnership between Beijing-headquartered Sinopec and Algeria’s state-owned oil and gas company Sonatrach.
The contract uses the engineering, procurement, construction and commissioning (EPCC) model and has a 45-month term.
The gas lift unit was first installed in 1988. It processes and injects gas into the field to help boost oil production at the Zarzaitine oil field.
Under the terms of the contract, the unit will be upgraded to boost its performance.
Its functions include gas separation, filtration, compression and condensate recovery.
The latest contract award comes at a time when Sonatrach is taking advantage of concerns about global gas and crude supplies to sign deals and push ahead with major upstream projects.
In recent weeks, the country has launched an oil and gas licensing round, taken steps to boost crude production in the short term and awarded a $1.1bn oil and gas field development project.
This comes as shipping remains disrupted through the Strait of Hormuz, a key global oil and gas supply route. The disruption began after the US and Israel attacked Iran on 28 February 2026, triggering a regional war.
READ THE MAY 2026 MEED BUSINESS REVIEW – click here to view PDFGlobal energy sector forced to recalibrate; Conflict hits debt issuance and listings activity; UAE’s non-oil sector faces unclear recovery period amid disruption.
Distributed to senior decision-makers in the region and around the world, the May 2026 edition of MEED Business Review includes:
> REGIONAL LNG: War undermines business case for Middle East LNG> CAPITAL MARKETS: Damage avoidance frames debt issuance> MARKET FOCUS: Conflict tests UAE diversificationTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/16822685/main.jpg -
Kuwait continues to deploy oil drilling rigs Administrator14 May 2026
Kuwait is continuing to deploy oil drilling rigs despite the ongoing crisis disrupting shipping through the Strait of Hormuz, according to a statement from Kuwaiti drilling and oilfield services provider Action Energy Company (AEC).
In a statement released on 13 May, the company’s chief executive, Ahmad Mohammad Al-Ajlan, said it had secured awards for an additional seven rigs announced in January 2026, before the US and Israel’s 28 February attack on Iran.
He added that deployment of these rigs was “progressing in line with schedule”.
The ongoing deployment of the rigs comes amid significant disruption to Kuwait’s oil and gas sector.
Kuwait’s oil and gas sector has been severely impacted by the blockade of the Strait of Hormuz, through which all of its crude exports are normally shipped.
The country recorded zero crude oil exports in April for the first time since the end of the Gulf War in 1991, according to shipping monitor TankerTrackers.com.
The inability to export crude has quickly filled domestic storage capacity, forcing production cuts at the country’s largest oil fields.
Rising revenues
Despite the ongoing crisis, AEC has reported positive financial results for the first quarter of this year, which ended on 31 March.
The company’s revenue grew by 69.2% year-on-year, primarily driven by the expansion of the operating rig fleet from 13 rigs in the first quarter of 2025 to 20 rigs in the first quarter of 2026, including the full-quarter contribution of 10 new rigs deployed during 2025.
The company is benefitting from a substantial multi-year contracted backlog with the state-owned upstream operator, Kuwait Oil Company (KOC).
Sheikh Mubarak Abdullah Al-Mubarak Al-Sabah, the chairman of AEC, said: “Despite regional disturbances during the period, AEC delivered performance in line with expectations, ensured uninterrupted support to KOC operations, and continued to operate with safety as a core value.”
In January 2026, AEC announced two contract awards from KOC.
The first contract, worth KD4.8m ($15.6m), covers two 750-horsepower (HP) rigs, which are expected to be deployed in the second half of the year.
The second contract, worth KD62.1m ($201.5m), covers four 1,500 HP rigs and one 1,000 HP rig.
These are expected to start operations from the fourth quarter of 2026 and the first quarter of 2027.
Together, these awards bring the company’s rig fleet backlog to 27 rigs once fully mobilised, according to AEC.
READ THE MAY 2026 MEED BUSINESS REVIEW – click here to view PDFGlobal energy sector forced to recalibrate; Conflict hits debt issuance and listings activity; UAE’s non-oil sector faces unclear recovery period amid disruption.
Distributed to senior decision-makers in the region and around the world, the May 2026 edition of MEED Business Review includes:
> REGIONAL LNG: War undermines business case for Middle East LNG> CAPITAL MARKETS: Damage avoidance frames debt issuance> MARKET FOCUS: Conflict tests UAE diversificationTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/16822649/main5931.jpg -
Aramco aims to raise $10bn with real estate deal Administrator14 May 2026
Saudi Aramco is considering plans to generate more than $10bn by leveraging its real estate assets, which include its headquarters and campus in the kingdom’s Eastern Province. The move could involve a sale-and-leaseback structure, which would provide the oil giant with a significant influx of capital while allowing it to retain use of the properties.
According to Bloomberg, Aramco is working with advisers to facilitate the transaction, which is expected to attract interest from major infrastructure and real estate investment funds. The initiative follows an $11bn lease agreement signed last year with a group led by BlackRock for facilities supporting the Jafurah gas project.
Aramco is also reportedly pursuing deals involving its gas-fired power plants, water infrastructure, and stakes in oil export and storage terminals.
These efforts to unlock capital come as the firm supports the kingdom’s economic transformation under Vision 2030 amid rising costs and regional conflict.
Aramco reported $12bn of capital expenditure in the first quarter of this year, which it said supports its growth objectives. It previously guided for capex of $50bn to $55bn for the full year.
Aramco’s capex in Q1 2026 was down 4% from the same period last year. The company spent $13.37bn in Q4 2025 and $52.2bn for the full year.
Offshore oil and gas projects are understood to have accounted for a significant share of Aramco’s first-quarter capex.
The company reported a sharp rise in profit in Q1 2026, beating analyst expectations as higher oil prices and increased crude sales offset geopolitical disruptions linked to shipping constraints in the Strait of Hormuz.
Aramco’s adjusted net income rose nearly 26% to $33.6bn in Q1 2026, from $26.6bn a year earlier.
Net income rose more than 25% year-on-year to $32.04bn, compared with $25.51bn in Q1 2025, driven by higher crude oil prices and increased sales volumes.
Revenue increased 7% to $115.49bn, supported by higher prices for crude oil, refined products and chemicals, as well as higher sales volumes of crude and chemical products.
On a quarterly basis, net income jumped 72.9% from Q4 2025, rising from $18.53bn to $32.04bn, helped by stronger margins and lower operating costs despite higher taxes and zakat payments.
Cash flow from operating activities totalled $30.7bn, while free cash flow came in at $18.6bn, down slightly from $19.2bn a year earlier. This reflected a strategic $15.8bn increase in working capital aimed at ensuring business continuity.
READ THE MAY 2026 MEED BUSINESS REVIEW – click here to view PDFGlobal energy sector forced to recalibrate; Conflict hits debt issuance and listings activity; UAE’s non-oil sector faces unclear recovery period amid disruption.
Distributed to senior decision-makers in the region and around the world, the May 2026 edition of MEED Business Review includes:
> REGIONAL LNG: War undermines business case for Middle East LNG> CAPITAL MARKETS: Damage avoidance frames debt issuance> MARKET FOCUS: Conflict tests UAE diversificationTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/16821588/main.gif -
GCCIA appoints contractor for Saudi substation expansion Administrator14 May 2026
France-headquartered Cegelec has won an engineering, procurement and construction (EPC) contract to expand the Salwa 400kV substation in Saudi Arabia.
The project is being developed under the Gulf Cooperation Council Interconnection Authority (GCCIA) with local firm Ekbart Engineering Company (EECC) serving as the civil sub-contractor.
The GCCIA previously awarded a contract to Omexom for the construction of a 400kV overhead transmission line linking the Salwa substation with the Al-Silaa substation in Abu Dhabi.
Cegelec and Omexom are both engineering subsidiaries of France’s Vinci Energies, part of the wider Vinci Group.
The wider $230m project involves the construction of a 96-kilometre, double-circuit 400kV overhead line, the expansion of three key substations in Gonan, Al-Silaa and Salwa, and the installation of upgraded 400kV switchgear, circuit breakers and reactors.
As MEED previously reported, the project is being financed by the Abu Dhabi Fund for Development, which signed a $205m financing agreement with the GCCIA last July.
France’s EDF is acting as the main consultant on the project.
The interconnection is intended to strengthen power grid connectivity between the UAE and Saudi Arabia. It forms part of wider GCC grid expansion plans, including the $700m Oman power grid interconnection, which began implementation in February.
This project marks one of the largest expansions in the authority’s history and involves building a 400kV double-circuit transmission line extending about 530km between the two countries.
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