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Abu Dhabi mends fences with Riyadh Administrator9 October 2026
Ongoing political turmoil in the region may be prompting Abu Dhabi to review its approach to key diplomatic issues, not least its relations with its larger neighbour, Saudi Arabia.
In late September, UAE Vice-President Sheikh Mansour Bin Zayed Al-Nahyan travelled to Riyadh for talks with Crown Prince Mohammed Bin Salman and Defence Minister Prince Khalid Bin Salman. Such visits may have been commonplace in the past, but over the past year they have been relatively rare, given the friction between the two Gulf powers over issues such as the conflict zones of Yemen and Sudan, relations with Israel and economic rivalry.
At the start of the year, the UAE retreated from Yemen under pressure from Riyadh, after the UAE-backed Southern Transitional Council made rapid territorial gains at the expense of Saudi-backed groups and advanced close to the kingdom’s southern border.
Since then, against the backdrop of the Iran war, relations have shown further signs of strain, with cross-border financial transactions reportedly being blocked or delayed.
However, there have been intermittent attempts to present a more collegial relationship, such as in July, when a photo emerged on social media of Sheikh Mansour and Prince Khalid posing with their arms around each other, reportedly while on holiday in Europe.
Yemen dynamics
Gains by another group in Yemen may lie behind the latest rapprochement between Riyadh and Abu Dhabi. The visit by Sheikh Mansour on 29 September came in the wake of significant advances by the Houthis, who had recently captured Mokha port and strategically significant areas of land overlooking the Bab El-Mandeb Strait – heightening their ability to menace passing ships.
Saudi Arabia has been leaning on its allies – particularly Pakistan and Turkiye – to support its campaign against the Houthis. It is unclear whether the UAE would be willing to get involved militarily in Yemen again, or whether Riyadh would be happy for it to do so, but it could still be a useful ally in the fight. Analysts have noted that UAE-backed forces have, over the years, had a far greater record than anyone else of scoring battleground victories against the Houthis.
It is also notable that Mansour’s delegation to Riyadh included several senior security officials, including Ali Bin Hammad Al-Shamsi, secretary general of the Supreme Council for National Security; Ali Saeed Matar Al-Neyadi, chairman of the National Emergency, Crisis and Disaster Management Authority; and Nasser Humaid Al-Nuaimi, secretary general of the Tawazun Council for Defence Enablement.
The visit was a surprise, given the GCC states’ lack of unified action this year amid the crises in Yemen and Iran. Speaking at an event in Washington in mid-September, Bernard Haykel, professor of Near Eastern Studies at Princeton University, noted that: “Despite the fact that [the GCC states] all face a common threat in Iran and its proxies, you still don’t see real coordination between them. You still have these differences between the Saudis and the UAE, for instance; you have differences between the Qataris and the UAE. If anything would have united them, this would be it. And you don’t see that kind of unity.”
Writing for the Arab Gulf States Institute in early October, Kristian Coates Ulrichsen, a Baker Institute fellow for the Middle East at Rice University, said Mansour’s visit to Riyadh in late September was “likely meant to signal that the thaw [in bilateral relations] was real” and “designed to enable a more coordinated approach to managing the forces ranged against the Houthis in southern and central Yemen”.
Further signs of warming ties came on 8 October, when UAE Investment Minister Mohamed Hassan Alsuwaidi signed a memorandum of understanding with Saudi Industry and Mineral Resources Minister Prince Abdulaziz Bin Salman covering power grid interconnections, trade in electricity and freight rail connectivity.
On the same day, the Saudi ambassador to the UAE invited President Sheikh Mohamed Bin Zayed Al-Nahyan to attend a GCC-EU Summit in Saudi Arabia later in the month.
Sheikh Mansour was not the only senior Emirati on diplomatic manoeuvres in recent weeks. The day after the vice-president was in Riyadh, national security adviser Sheikh Tahnoun Bin Zayed Al-Nahyan was in Muscat for talks with Sultan Haitham Bin Tariq Al-Said.
Oman is a critical partner for the UAE in several areas. Omani ports have provided a trade lifeline for Emirati importers and exporters at a time when ports in Dubai and Abu Dhabi have been sidelined by Iran’s threats against shipping through the Strait of Hormuz. Muscat’s approach of maintaining dialogue with all actors means it is also able to mediate with both Iran and Yemen’s Houthis.
Strategic independence
The flurry of diplomatic activity may be a sign of closer coordination between the UAE and its neighbours on some critical issues, but that does not necessarily herald a sea change in its approach.
Speaking at the UN General Assembly in New York on 28 September, Minister of State Khalifa Shaheen Al-Marar reviewed the crises in Iran, Sudan, Gaza, Ukraine and elsewhere and said “the importance of developing and reforming regional and international multilateral institutions … remains paramount” – but while he name-checked the UN, he did not mention the GCC.
It is also notable that the UAE has not yet joined either of the two security initiatives launched by Saudi Arabia during the summer: a maritime defence alliance designed to protect shipping in the Red Sea, or a mutual defence pact that Riyadh signed with Turkiye and Pakistan.
In his speech to the UN, Al-Marar listed what he saw as the main pillars of the UAE’s national strength: “strategic independence” was the first item in his list.
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Abu Dhabi mends fences with Riyadh Administrator9 October 2026
Ongoing political turmoil in the region may be prompting Abu Dhabi to review its approach to key diplomatic issues, not least its relations with its larger neighbour, Saudi Arabia.
In late September, UAE Vice-President Sheikh Mansour Bin Zayed Al-Nahyan travelled to Riyadh for talks with Crown Prince Mohammed Bin Salman and Defence Minister Prince Khalid Bin Salman. Such visits may have been commonplace in the past, but over the past year they have been relatively rare, given the friction between the two Gulf powers over issues such as the conflict zones of Yemen and Sudan, relations with Israel and economic rivalry.
At the start of the year, the UAE retreated from Yemen under pressure from Riyadh, after the UAE-backed Southern Transitional Council made rapid territorial gains at the expense of Saudi-backed groups and advanced close to the kingdom’s southern border.
Since then, against the backdrop of the Iran war, relations have shown further signs of strain, with cross-border financial transactions reportedly being blocked or delayed.
However, there have been intermittent attempts to present a more collegial relationship, such as in July, when a photo emerged on social media of Sheikh Mansour and Prince Khalid posing with their arms around each other, reportedly while on holiday in Europe.
Yemen dynamics
Gains by another group in Yemen may lie behind the latest rapprochement between Riyadh and Abu Dhabi. The visit by Sheikh Mansour on 29 September came in the wake of significant advances by the Houthis, who had recently captured Mokha port and strategically significant areas of land overlooking the Bab El-Mandeb Strait – heightening their ability to menace passing ships.
Saudi Arabia has been leaning on its allies – particularly Pakistan and Turkiye – to support its campaign against the Houthis. It is unclear whether the UAE would be willing to get involved militarily in Yemen again, or whether Riyadh would be happy for it to do so, but it could still be a useful ally in the fight. Analysts have noted that UAE-backed forces have, over the years, had a far greater record than anyone else of scoring battleground victories against the Houthis.
It is also notable that Mansour’s delegation to Riyadh included several senior security officials, including Ali Bin Hammad Al-Shamsi, secretary general of the Supreme Council for National Security; Ali Saeed Matar Al-Neyadi, chairman of the National Emergency, Crisis and Disaster Management Authority; and Nasser Humaid Al-Nuaimi, secretary general of the Tawazun Council for Defence Enablement.
The visit was a surprise, given the GCC states’ lack of unified action this year amid the crises in Yemen and Iran. Speaking at an event in Washington in mid-September, Bernard Haykel, professor of Near Eastern Studies at Princeton University, noted that: “Despite the fact that [the GCC states] all face a common threat in Iran and its proxies, you still don’t see real coordination between them. You still have these differences between the Saudis and the UAE, for instance; you have differences between the Qataris and the UAE. If anything would have united them, this would be it. And you don’t see that kind of unity.”
Writing for the Arab Gulf States Institute in early October, Kristian Coates Ulrichsen, a Baker Institute fellow for the Middle East at Rice University, said Mansour’s visit to Riyadh in late September was “likely meant to signal that the thaw [in bilateral relations] was real” and “designed to enable a more coordinated approach to managing the forces ranged against the Houthis in southern and central Yemen”.
Further signs of warming ties came on 8 October, when UAE Investment Minister Mohamed Hassan Alsuwaidi signed a memorandum of understanding with Saudi Industry and Mineral Resources Minister Prince Abdulaziz Bin Salman covering power grid interconnections, trade in electricity and freight rail connectivity.
On the same day, the Saudi ambassador to the UAE invited President Sheikh Mohamed Bin Zayed Al-Nahyan to attend a GCC-EU Summit in Saudi Arabia later in the month.
Sheikh Mansour was not the only senior Emirati on diplomatic manoeuvres in recent weeks. The day after the vice-president was in Riyadh, national security adviser Sheikh Tahnoun Bin Zayed Al-Nahyan was in Muscat for talks with Sultan Haitham Bin Tariq Al-Said.
Oman is a critical partner for the UAE in several areas. Omani ports have provided a trade lifeline for Emirati importers and exporters at a time when ports in Dubai and Abu Dhabi have been sidelined by Iran’s threats against shipping through the Strait of Hormuz. Muscat’s approach of maintaining dialogue with all actors means it is also able to mediate with both Iran and Yemen’s Houthis.
Strategic independence
The flurry of diplomatic activity may be a sign of closer coordination between the UAE and its neighbours on some critical issues, but that does not necessarily herald a sea change in its approach.
Speaking at the UN General Assembly in New York on 28 September, Minister of State Khalifa Shaheen Al-Marar reviewed the crises in Iran, Sudan, Gaza, Ukraine and elsewhere and said “the importance of developing and reforming regional and international multilateral institutions … remains paramount” – but while he name-checked the UN, he did not mention the GCC.
It is also notable that the UAE has not yet joined either of the two security initiatives launched by Saudi Arabia during the summer: a maritime defence alliance designed to protect shipping in the Red Sea, or a mutual defence pact that Riyadh signed with Turkiye and Pakistan.
In his speech to the UN, Al-Marar listed what he saw as the main pillars of the UAE’s national strength: “strategic independence” was the first item in his list.
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Adnoc secures Thailand LNG supply deal Administrator9 October 2026
Abu Dhabi National Oil Company (Adnoc) has secured a deal with Thailand-based energy and infrastructure company Gulf Group to supply 2 million tonnes a year of liquefied natural gas (LNG), with deliveries starting in 2027.
The multi-year sale and purchase agreement (SPA), whose exact duration Adnoc did not disclose, builds on an initial LNG supply deal agreed between the two companies last year. The transaction was arranged through Adnoc’s integrated LNG marketing and trading platform, which was established in July within Abu Dhabi Global Market.
The hub integrates the marketing operations of Adnoc subsidiaries Adnoc Gas and XRG with the trading activities of Adnoc Trading. It targets a combined portfolio of 47 million t/y of marketable LNG by 2035. Adnoc Trading has developed an active third-party trading portfolio over the past four years, operating from commercial offices in Abu Dhabi, Singapore and Geneva.
ALSO READ: Adnoc signs energy agreements with Japan and South Korea
Separately, Adnoc has secured offtake commitments covering approximately 90% of the 9.6 million-t/y capacity planned for its low-carbon Ruwais LNG project.
In July, Adnoc signed a 15-year SPA with Japan’s Inpex Corporation for the supply of up to 1 million t/y from Ruwais. That contract marked Adnoc’s third long-term Ruwais supply agreement with a Japanese buyer, following deals with Osaka Gas and Mitsui & Co in March and April 2025, respectively. Together, the agreements with the three Japanese firms account for 2.4 million t/y – one-quarter of the terminal’s total capacity, which will be delivered across two 4.8 million-t/y liquefaction trains.
Adnoc has also secured long-term Ruwais LNG supply agreements with Malaysia’s Petronas, Germany’s EnBW Energie Baden-Wurttemberg and SEFE (Securing Energy for Europe), China’s ENN Natural Gas, UK-based Shell and Indian Oil Corporation.
Currently under construction in Ruwais Industrial City, Abu Dhabi, the facility is scheduled to begin commercial operations in 2028. Its commissioning will more than double Adnoc’s LNG production capacity to approximately 15 million t/y.
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Fibrex wins $217m Abu Dhabi Seamont residences contract Administrator9 October 2026
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Abu Dhabi-based contractor Fibrex Construction Group has won an AED800m ($217m) contract to build the Seamont Autograph Collection Residences project, located on Al-Reem Island in the UAE capital.
Abu Dhabi-based real estate developer Royal Development Holding, a subsidiary of Emirates Stallion Group, and local firm Saas Properties awarded the contract.
The development comprises two 22-storey towers offering 497 residences, ranging from one- to four-bedroom apartments.
The construction programme is scheduled to run for 27 months, with completion due in December 2028.
Fibrex will begin mobilisation immediately, following the completion of enabling works this month, which were undertaken by Sharjah-based Swiss Pro Foundations.
Dubai-based architectural firm Dewan Architects & Engineers is the project consultant.
The contract marks another major win for the contractor. Last year, Dubai-based developer Nakheel awarded Fibrex a AED2.6bn ($708m) contract to build the Bay Villas project at Dubai Islands.
That contract includes the construction of 636 villas.
READ THE OCTOBER 2026 MEED BUSINESS REVIEW – click here to view PDFIndustry 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:
> AGENDA: Oxagon takes centre stage at Neom> MARKET FOCUS: Saudi projects hold steady> INDUSTRY REPORT: MEED’s 2026 GCC power developer ranking> LEADERSHIP: The future city does not need to hang above the groundTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20420509/main.jpg -
Dubai picks contractor for Al-Maktoum airport terminal Administrator9 October 2026
Dubai Aviation Engineering Projects (DAEP) has selected a contractor for an estimated AED10bn ($2.7bn) substructure package for the West Terminal, as part of the first phase of the $35bn expansion of Al-Maktoum International airport.
A joint venture of Beijing-headquartered China Civil Engineering Construction Corporation (CCECC) and Abu Dhabi-based Tristar Engineering & Construction will execute the contract.
According to a description on DAEP’s website, the expanded airport’s West Terminal will be a seven-level facility spanning 800,000 square metres, with annual capacity for 45 million passengers.
The terminal will be the second of three planned terminals at Al-Maktoum International airport. It will connect to the airside via a 14-station automated people-mover (APM) system.
In July, MEED exclusively reported that DAEP had awarded an estimated $1.5bn contract to a joint venture of Japan’s Mitsubishi Corporation and Indian contractor Larsen & Toubro for the APM system.
The APM will run beneath the apron and terminal areas, using multiple tracks to transport passengers between terminals and concourses. Four underground stations are planned in the first phase, while the full airport development is expected to include 14 stations.
The latest awards form part of a wider programme of contracts recently signed by DAEP, covering enabling works, the second runway, initial structural foundations for passenger terminals and concourse substructures.
Upcoming awards
In June 2026, DAEP said it will award construction contracts worth over AED55bn ($15bn) for Al-Maktoum International airport by the end of the year.
At the time, DAEP said the planned awards included substructure works for the West Terminal, the fourth aircraft concourse and the baggage-handling system. The programme also included superstructure works for the West Terminal and the first, second and third aircraft concourses.
The packages are expected to include long-span structural frameworks for buildings covering about 1.5 million square metres, infrastructure works for the southern airfield area, and power-generation and district-cooling plants supporting the construction programme.
DAEP also plans to award façade and roofing packages in 2026.
The Dubai Government approved updated designs and timelines for its largest construction project in April 2024. In September 2024, MEED exclusively reported that a team comprising Austria’s Coop Himmelb(l)au and Lebanon’s Dar Al-Handasah had been confirmed as lead masterplanning and design consultants for the Al-Maktoum International airport expansion.
Construction of the airport is planned in three phases. Once complete, the airport will cover 70 square kilometres south of Dubai and include five parallel runways and 430 aircraft gates.
It will be five times the size of Dubai International airport and is planned to have a passenger-handling capacity of 260 million passengers a year – the largest in the world. For cargo, it is planned to have the capacity to handle 12 million tonnes a year.
READ THE OCTOBER 2026 MEED BUSINESS REVIEW – click here to view PDFIndustry 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:
> AGENDA: Oxagon takes centre stage at Neom> MARKET FOCUS: Saudi projects hold steady> INDUSTRY REPORT: MEED’s 2026 GCC power developer ranking> LEADERSHIP: The future city does not need to hang above the groundTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20417755/main.jpg -
Nakheel awards Dubai Islands marine works contract Administrator9 October 2026
Dubai-based developer Nakheel, part of Dubai Holding Real Estate, has awarded local firm Mar Marine & Building Contracting a contract for marine and beach works on Island B at Dubai Islands.
The scope includes constructing breakwaters, removing existing rock revetments and forming a new 320-metre beach near the Bay Villas development.
The contractor will also refurbish existing beach areas and undertake remedial works along approximately 3 kilometres of the island’s western shoreline.
The works are scheduled for completion in the fourth quarter of 2027.
The package supports the Bay Villas project, which comprises 636 villas and townhouses on Island B. Nakheel awarded Fibrex Contracting an AED2.6bn ($708m) construction contract for the residential development in August 2025.
The marine works award follows Nakheel’s AED527m primary infrastructure and utilities contract for Island B, which was awarded to Al-Nasr Contracting Company in April 2026.
In September, Nakheel awarded a main construction contract worth more than AED800m ($218m) for phases one and three of Bay Grove Residences at Dubai Islands. The contract was awarded to local firm Metac General Contracting Company.
The contract covers the construction of 537 apartments, comprising one- to four-bedroom units, across seven residential buildings. Phase one includes 296 units in four buildings, while phase three comprises 241 units across three buildings.
READ THE OCTOBER 2026 MEED BUSINESS REVIEW – click here to view PDFIndustry 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:
> AGENDA: Oxagon takes centre stage at Neom> MARKET FOCUS: Saudi projects hold steady> INDUSTRY REPORT: MEED’s 2026 GCC power developer ranking> LEADERSHIP: The future city does not need to hang above the groundTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20418469/main.jpg -
Iraq refinery project given regional approval Administrator9 October 2026
Plans to establish a 70,000-barrel-a-day (b/d) refinery in the Iraqi town of Qayyarah have been approved by the Nineveh Provincial Council, which has called for the project to be referred to Iraq’s Council of Ministers. The council also recommended that Duhok-based Karband Company, an industrial manufacturer of asphalt products and lubricating oils, be involved in the project.
The council’s vote follows a meeting held in September between Iraq’s Oil Ministry and Angola’s Sonangol on potentially jointly developing the Qayyarah refinery.
The planned refinery would allow more of the crude produced in Qayyarah to be processed locally, increasing supplies of petroleum products and reducing the need to transport locally produced crude south for export via the Strait of Hormuz.
Iraq awarded the Qayyarah oil field to Sonangol in its second licensing round in 2009, with an initial target of around 120,000 b/d.
A new upstream expansion phase began in January 2025, when Sonangol contracted the Iraqi Drilling Company to drill 10 wells, with an option for three additional appraisal wells.
An existing refinery in Qayyarah, built in 1955, has a capacity of 20,000 b/d.
Progress on the new facility has stalled in recent years, with little movement since 2021, when Iraq signed a memorandum of understanding with Sweden’s SEAB and Turkiye’s Limak on developing the refinery.
Previously, Iraq’s Oil Ministry said the project would include modern units and complex refining technology to produce products meeting Euro 5 standards
The scope of the project is expected to include:
- Processing units
- Storage tanks
- Distillation units
- Associated facilities
The project was first announced in 2018 and has encountered several delays due to funding problems.
READ THE OCTOBER 2026 MEED BUSINESS REVIEW – click here to view PDFIndustry 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:
> AGENDA: Oxagon takes centre stage at Neom> MARKET FOCUS: Saudi projects hold steady> INDUSTRY REPORT: MEED’s 2026 GCC power developer ranking> LEADERSHIP: The future city does not need to hang above the groundTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20413126/main.png -
Oil exploration work ongoing in Iraq’s Block 7 Administrator9 October 2026
Oil and gas exploration is ongoing across Iraq’s Block 7, which spans the central and southern governorates of Diwaniyah, Babil, Najaf, Wasit and Muthanna.
The work includes seismic activities, according to industry sources. The sources added that stakeholders have not yet made a final decision on plans for full-field development in the area.
China National Offshore Oil Corporation (CNOOC) won the exploration, development and production contract for Iraq’s Block 7 in May 2024.
Block 7 was one of 10 blocks in Iraq that were won by Chinese companies as part of the country’s sixth licensing round.
Erbil-based KAR Group was the only non-Chinese firm to secure acreage.
On 19 May, Osama Hussein, director general of Iraq’s state-owned Oil Exploration Company (OEC), visited Block 7 and met the Fourth Seismic Crew of the Field Operations Division in Diwaniyah Governorate to review progress on the seismic survey.
In a subsequent statement, OEC said the crew began operations on 5 May 2026 under a 180-day work programme.
Block 7 covers 6,300 square kilometres within the Mesopotamian tectonic zone, located near existing petroleum infrastructure and established oil discoveries. The block was first offered during Iraq’s fourth licensing round in 2012, where it failed to attract bids.
READ THE OCTOBER 2026 MEED BUSINESS REVIEW – click here to view PDFIndustry 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:
> AGENDA: Oxagon takes centre stage at Neom> MARKET FOCUS: Saudi projects hold steady> INDUSTRY REPORT: MEED’s 2026 GCC power developer ranking> LEADERSHIP: The future city does not need to hang above the groundTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20411257/main.png -
Saudi Arabia extends deadline for Group 2 bess projects Administrator9 October 2026
Saudi Arabia’s principal power buyer, Saudi Power Procurement Company (SPPC), has extended the deadline for developers to submit bids for the second phase of its independent battery energy storage system (bess) projects in the kingdom.
The Group 2 programme comprises six independent storage provider (ISP) projects with a total capacity of 3GW, equivalent to 12,000 megawatt-hours (MWh) based on a four-hour storage duration.
According to a source, the new bid submission deadline is 12 November.
The request for proposals was issued in July, as exclusively reported by MEED. That same month, developers submitted a first round of clarification requests to SPPC.
The six bess projects include:
- Samha bess ISP: 500MW (Qassim)
- Al-Leeth bess ISP: 500MW (Mecca)
- Al-Henakiyah bess ISP: 500MW (Medina)
- Khulis bess ISP: 500MW (Mecca)
- Sadawi bess ISP: 500MW (Eastern Province)
- Ashyrah bess ISP: 500MW (Mecca)
Earlier, on 1 July, MEED reported that up to 27 firms had prequalified to participate in the second phase. SPPC previously received statements of qualification on 13 May.
It is understood that Abu Dhabi National Energy Company (Masdar, UAE), Acwa (Saudi Arabia), EDF (France), Korea Electric Power Corporation (Kepco, South Korea), International Power (Engie, France) and Marubeni Corporation (Japan) are among the companies likely to make offers for the contracts.
Group 1
In August, SPPC signed four storage services agreements totalling SR4.35bn ($1.16bn) for the Group 1 bess projects. The projects have a combined capacity of 2,000MW and will provide four hours of storage, equivalent to 8,000MWh.
Three projects were awarded to a consortium comprising Saudi Energy, Acwa and Al-Sharif Contracting & Commercial Development Company. The fourth project, the Al-Khushaybi bess ISP in the Qassim region, was awarded to a consortium of France’s Engie and local firm Haji Abdullah Alireza & Co.
Also in August, MEED exclusively reported that India’s Larsen & Toubro and China’s Sepco 3 had been appointed to carry out engineering, procurement and construction works for the Group 1 projects.
Winning bidders will hold 100% equity in a special purpose vehicle (SPV), with each SPV entering into a storage services agreement with SPPC under the independent storage provider structure.
US/India-based Synergy Consulting is advising SPPC on the energy storage Group 1 and Group 2 programme.
The programme forms part of Saudi Arabia’s National Renewable Energy Programme (NREP) and supports the kingdom’s target of generating about 50% of its electricity from renewable energy by 2030. The projects will be developed under a build-own-operate model.
Separately, bids were submitted in September for four solar and two wind projects under round seven of the NREP, led and supervised by the Ministry of Energy.
The four solar projects comprise the 1,400MW Tabjal 2, 600MW Mawqqaq, 600MW Tathleeth and 500MW South Al-Ula solar independent power projects. The two wind projects are the 1,300MW Bilgah and 900MW Shagra schemes.
According to a source, at least some of the projects are expected to be awarded by the end of the year.
READ THE OCTOBER 2026 MEED BUSINESS REVIEW – click here to view PDFIndustry 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:
> AGENDA: Oxagon takes centre stage at Neom> MARKET FOCUS: Saudi projects hold steady> INDUSTRY REPORT: MEED’s 2026 GCC power developer ranking> LEADERSHIP: The future city does not need to hang above the groundTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20397128/main.jpg -
Contractors prepare bids for more Qiddiya infrastructure Administrator8 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 shiftTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/20384978/main.jpg