The region’s most ambitious causeway projects
8 February 2023

The submission of feedback questionnaires and meetings with contractors for the planned second causeway connecting Saudi Arabia and Bahrain is the latest sign of potential progress on one of the region’s largest infrastructure projects.
Causeways have a chequered history in the region. The first causeway connecting Saudi Arabia and Bahrain was completed during the 1980s, and since then, it has had a transformative impact on the Bahraini economy.
The project’s success has inspired other causeways. But while these schemes remain ambitions for many in the region, construction progress has been limited. The hope is that a successful second causeway linking Saudi Arabia and Bahrain will foster the delivery of other longstanding causeway plans.
These are the most ambitious causeway schemes that the region has planned:
| Second Saudi Arabia-Bahrain causeway |
The second causeway between Saudi Arabia and Bahrain is the most likely to proceed. Planned by the King Fahd Causeway Authority, the $3.5bn project, which has been called the King Hamad Causeway project, is moving towards construction.
In 2021, senior government officials in Bahrain told MEED that the project was progressing towards tendering as financial studies had been completed.
The project was included in Bahrain’s $30bn Strategic Projects Plan that was announced later in 2021. As well as the causeway, the plan includes building new urban areas on five reclaimed islands to increase the country’s total land area by 60 per cent. It also comprises plans for a new airport.
The second causeway involves building a 25-kilometre road and rail crossing linking Saudi Arabia and Bahrain. It will follow the same alignment as the existing King Fahd Causeway.
It has been earmarked for delivery on a public-private partnership (PPP) basis. The King Fahd Causeway Authority appointed a consortium to provide transaction advisory services in late 2019.
The $8.9m consultancy agreement was signed with a consortium of Netherlands-headquartered KPMG, US-based Aecom and UK-based CMS. The team was tasked with working on developing the financing model, the required engineering specifications and design, as well as helping with the assessment and selection of the project’s developers.
Canada-based SNC Lavalin and UK-based consultancy firm PwC conducted the project due diligence study in 2017.
The existing King Fahd Causeway is operating at capacity. About 11.5 million cars cross the causeway every year, and the growth has been 6 per cent per annum over the past 10 years.

| Qatar-Bahrain causeway |
There have also been suggestions that the proposed causeway bridging Bahrain and Qatar may be revived. In March 2022, Manama called for work to restart on the causeway joining the two countries.
“We in the Kingdom of Bahrain renew the call for the start of bilateral talks between the two sides in accordance with the mechanisms agreed upon in the Al-Ula statement,” said Bahrain’s undersecretary for land transportation and post in an official statement published by the official Bahrain News Agency.
The estimated $4bn Qatar-Bahrain causeway project was put on hold and the contracting consortium demobilised in 2010.
A joint venture of state-owned developer Qatari Diar Real Estate Investment Company and French contractor Vinci Construction Grand Projets led the consortium. The other consortium members were Germany’s Hochtief, Athens-based Consolidated Contractors Company (CCC), Dredging International from Belgium and the local Middle East Dredging Company (Medco).
The planned 40km bridge includes a four-lane motor crossing scheduled for completion in 2013 and two railway lines forming part of the GCC rail network.
The project also comprises 22km of bridges and viaducts, 18km of embankments and two 400-metre cable-stayed bridges. The causeway connects Ras Ashairij on the west coast of Qatar to Askar on the east coast of Bahrain.
The project was also known as the Friendship Bridge and was to be jointly funded by the Qatari and Bahraini governments, which intended to recover some of the construction costs by implementing a toll system on the bridge.
The crossing would cut the journey time between the two countries, which currently involves a detour through Saudi Arabia, from five hours to just 30 minutes.
| Saudi Arabia-Egypt causeway |
The prospects for the causeway connecting the $500bn Neom project in Saudi Arabia and Egypt’s Sinai Peninsula across the Straits of Tiran improved last year after US President Joe Biden’s visit to Saudi Arabia.
After the visit, a joint communique issued by Washington and Riyadh referred to the development of Tiran Island.
“President Biden welcomed the arrangements by Saudi Arabia to remove the Multinational Force & Observers (MFO) from the Island of Tiran, including the removal of US troops there as part of the MFO mission, while preserving and continuing all existing commitments and procedures in the area,” it said.
“This area of the Red Sea will now be developed for tourism and economic purposes, contributing to a more secure, peaceful and prosperous region.”
The US-Egyptian-Israeli-backed MFO was founded in 1981 to oversee the terms of the 1978 Camp David Accords, which included the full Israeli withdrawal from the Sinai Peninsula.
In 2016, Egypt and Saudi Arabia agreed during a state visit to Cairo by King Salman bin Abdulaziz al-Saud to develop a causeway linking the two countries across the Red Sea.
The agreement was made as part of a broader deal that would also involve Egypt ceding the sovereignty of the two Tiran islands to Saudi Arabia.
While details of the proposed crossing were never revealed at the time, it was understood to be a revival of a $4bn project announced in 2011. That scheme involved building a 32km crossing stretching over the Straits of Tiran from Ras Humaid in Tabuk, in the northern region of Saudi Arabia, to Ras Nasrani, close to the Egyptian resort of Sharm el-Sheikh.
Plans to link Saudi Arabia and Egypt are far from new. The development of a causeway was first mooted as far back as 1988. However, the idea has received additional focus in recent years following the launch of the Neom development in northwestern Saudi Arabia, which includes Ras Humaid. Part of the Neom scheme, the 170km-long linear city known as The Line, will extend from the promontory inland to the city of Tabuk.
UK-based Arup was reported to have been selected in 2019 for the next stage of the feasibility study for the causeway.
Saudi Arabia was understood to be considering using a public-private partnership (PPP) model for the scheme, similar to other transport projects planned in and around the kingdom.
| Yemen-Djibouti causeway |
A 28.5km causeway was planned to connect Yemen and Djibouti before the scheme was put on hold in 2010 until the governments of both countries signed the framework agreement for the project. The civil war in Yemen means it is unlikely the scheme will make any progress soon.
The estimated $20bn first phase involved building the link between the Yemeni mainland to the island of Perim in the Red Sea. Phase two would have then connected Perim with Djibouti.
The wider project also involves building two cities at each end of the link. The total investment required to construct the cities and the bridge is $200bn.
Dubai-based Al-Noor Holding Investment Company was developing the project.
In 2009, the company said it expected to award a build-operate-transfer contract for the first phase of the bridge and that three companies had expressed interest in funding and building the road and rail link. Denmark’s Cowi prepared the preliminary design for the crossing.
| UAE-Qatar causeway |
In 2005, Abu Dhabi and Doha were reported to have been setting up a joint company to oversee the implementation of the proposed UAE/Qatar causeway.
The 40km causeway was expected to start near Sila in Abu Dhabi emirate and extend to the south of Doha.
The estimated $13bn crossing would have significantly cut journey times. At present, traffic between Qatar and the UAE has to pass through 125km of Saudi Arabian territory.
The scheme stalled shortly afterwards. Problems included difficulties with the route, which ran through Saudi Arabian territorial waters.
Exclusive from Meed
-
-
Kuwait tenders major infrastructure packages23 March 2026
-
Qiddiya tenders new infrastructure package23 March 2026
-
Kuwait’s Mina Al-Ahmadi refinery attacked23 March 2026
-
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Chinese firm announces $1.9bn Abu Dhabi renewables contract23 March 2026
China Power Construction Corporation (PowerChina) has announced details of a contract signed for the engineering, procurement and construction (EPC) works on part of Abu Dhabi’s $6bn round-the-clock solar and battery storage project.
The independent power project (IPP) will combine 5.2GW of solar photovoltaic (PV) capacity with 19GWh of battery storage. Last October, Emirates Water & Electricity Company (Ewec) and Abu Dhabi Future Energy Company (Masdar) broke ground on what will be the world’s largest combined solar and battery energy storage system (bess), designed to supply 1GW of round-the-clock power.
India’s Larsen & Toubro and Beijing-headquartered PowerChina were awarded the EPC contract for the project last year, with PwC Middle East advising Ewec on financial structuring.
According to the Chinese firm, the full project has been divided into two blocks, north and south, indicating at least two major packages.
PowerChina’s contract, valued at about $1.9bn, covers the northern block of the project, which includes 2.1GW of DC-side PV installations and a 7.75GWh bess. The scope includes the design, procurement and construction of substations, PV facilities and battery energy storage systems.
Located in the Mshayrif area of Abu Dhabi, the wider project is designed to supply steady delivery of power between April and October each year, the UAE’s peak electricity demand season due to cooling loads.
This includes serving large energy users that require 24/7 clean electricity, such as fast-growing data centre operators and technology firms driving artificial intelligence deployment in the region.
Ewec will act as the offtaker under a long-term power purchase agreement.
MEED previously reported that China’s CATL (Contemporary Amperex Technology Co), Jinko Solar and JA Solar will supply the bess and PV modules, with Jinko and JA each providing 2.6GW of modules.
The project will avoid 5.7 million tonnes of CO₂ emissions annually and provide enough clean energy to power nearly half a million homes.
Construction is expected to be completed in 2028.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16083288/main.jpg -
Kuwait tenders major infrastructure packages23 March 2026

Kuwait’s Ministry of Public Works (MPW) has tendered several contracts for infrastructure works across various parts of the country.
The first tender covers the construction of rainwater drainage systems in the Sabah Al-Ahmad South, Sabah Al-Ahmad, Al-Khairan and Al-Wafra residential areas.
The second tender includes the construction of a treated water system in Kuwait’s southern region.
The third tender covers the construction of a treated water system in Kuwait’s northern region.
The final tender covers the construction of roads, bridges, stormwater drainage, sewage and other services for a section of the Kabd-Sulaibiya Road, as well as a section of the Kabd-Sulaibiya industrial road link.
MPW issued all of these tenders on 22 March, with a bid submission deadline of 21 April.
UK analytics firm GlobalData expects Kuwait’s construction industry to grow by 5.1% in 2026-29, supported by government investment in the oil and gas sector aimed at raising production, as well as investment in the infrastructure sector.
In the short term, growth will be boosted by planned expenditure under the 2025-26 budget, which was approved in March 2025.
The construction industry in Kuwait is expected to record an annual average growth rate of 4.9% in 2026-29, supported by investments in renewable energy, transport, and oil and gas projects.
The commercial construction sector is expected to grow by 4.8% in 2026-29, supported by public and private sector investment in the construction of hotels, retail outlets and office buildings.
READ THE MARCH 2026 MEED BUSINESS REVIEW – click here to view PDFRiyadh urges private sector to take greater role; Chemical players look to spend rationally; Economic uptick lends confidence to Cairo’s reforms.
Distributed to senior decision-makers in the region and around the world, the March 2026 edition of MEED Business Review includes:
> RAMADAN: Data disproves the Ramadan slowdown story> INDUSTRY REPORT: Chemicals producers look to cut spending> INDUSTRY REPORT: Global petrochemical project capex set to rise until 2030> MARKET FOCUS: Egypt’s crisis mode gives way to cautious revival> LEADERSHIP: Delivering Saudi Arabia’s next phase of rail growth> INTERVIEW: Abu Dhabi’s Enersol charts acquisitions pathTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/16083252/main.jpg -
Qiddiya tenders new infrastructure package23 March 2026

Saudi Arabian gigaproject developer Qiddiya Investment Company (QIC) has tendered a contract inviting firms to bid for new infrastructure works in Qiddiya Entertainment City.
The scope covers two infrastructure development packages in District 0 of Qiddiya Entertainment City, including the construction of four event park-and-ride facilities.
The tender was issued on 11 March, with a bid submission deadline of 22 April.
Lebanese firm Dar Al-Handasah and Saudi-based Sets International are serving as project consultants.
QIC is accelerating plans to develop additional assets at Qiddiya City. Earlier this month, the company set a 16 April deadline for firms to submit prequalification statements for the Qiddiya high-speed rail project in Riyadh.
Previously, MEED reported that QIC had received bids from contractors on 23 February for a SR980m ($261m) contract covering the construction of staff accommodation at Qiddiya Entertainment City.
The project will cover an area of more than 105,000 square metres (sq m).
Last month, QIC started the main construction works on its performing arts centre at Qiddiya Entertainment City.
The Qiddiya City performing arts centre is one of several major projects within the greater Qiddiya development. Other projects include an e-games arena, Prince Mohammed Bin Salman Stadium, a motorsports track, the Dragon Ball and Six Flags theme parks, and Aquarabia.
In December last year, QIC officially opened the Six Flags theme park to the public.
The theme park covers an area of 320,000 sq m and features 28 rides and attractions, 10 of which are thrill rides and 18 designed for families and young children.
The Qiddiya 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 experienced significant growth in recent years.
The kingdom’s tourism sector posted record-breaking numbers last year, with over 130 million domestic and international visitors entering the kingdom, representing a 6% increase over 2024.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16083013/main.jpg -
Kuwait’s Mina Al-Ahmadi refinery attacked23 March 2026
Register for MEED’s 14-day trial access
Several units were shut down at Kuwait’s largest oil refinery after it was hit by drones as Iran targeted energy infrastructure across the Gulf, according to a statement from state-owned Kuwait Petroleum Corporation (KPC).
Fires broke out across multiple units at the Mina Al-Ahmadi refinery in the morning of 20 March 2026 following the attack.
The refinery normally processes about 730,000 barrels of oil a day.
There were no casualties as a result of the attack, according to KPC.
Kuwait’s oil and gas sector has been severely disrupted by the ongoing regional conflict.
On 10 March, MEED revealed that the state-owned upstream operator Kuwait Oil Company (KOC) was operating with just 30% of its total workforce in their normal workplaces.
Earlier in the month, KPC also declared force majeure due to difficulties transporting oil and gas through the Strait of Hormuz caused by the conflict.
Force majeure, a French term meaning “superior force”, is a clause included in many international commercial contracts. It allows companies to suspend contractual obligations when extraordinary events occur beyond their control.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16067425/main.gif -
Iraq declares force majeure on foreign-operated oil fields23 March 2026
Register for MEED’s 14-day trial access
Iraq has declared force majeure on all oil fields developed by foreign oil companies as the US and Israel’s war with Iran disrupts navigation through the Strait of Hormuz.
The initial attack and Iran’s response have slashed Iraq’s exports.
Prior to the war starting on 28 February, Iraq was exporting between 3.3 and 3.5 million barrels a day of crude oil.
Oil sales account for nearly 90% of Iraq’s government revenues.
Earlier this month, two drone strikes hit infrastructure at Iraq’s Majnoon oil field, increasing security concerns in the country’s energy sector.
One of the drones hit a communications tower, and the other hit the office of the US engineering company KBR.
There were no casualties as a result of the attacks.
Foreign workers were evacuated from the site days after the US and Israel’s war with Iran started, and only Iraqi staff are currently working at the site.
Shortly before the war started, KBR announced that it had been awarded a “major contract” by Iraq’s state-owned Basra Oil Company to provide integrated field management services for the Majnoon oil field.
https://image.digitalinsightresearch.in/uploads/NewsArticle/16067302/main.png

