meed-logo

line1 line2 line3
SIGN IN / REGISTER

Traffic drives construction underground

3 April 2025

 

On 14 February, Dubai construction was thrust again onto the global stage when Elon Musk, the world’s richest man, announced plans to explore the development of an underground Dubai Loop transportation system, along the lines of the Las Vegas Convention Centre Loop project in the US.

Dubai has typically made headlines globally by constructing the world’s tallest towers. As the city becomes increasingly congested on the surface, it is taking some of its largest construction projects underground.

With Musk’s backing, the Dubai Loop scheme is the most high-profile tunnelling project launched to date. It involves carving a futuristic transport system underneath Dubai. The initial phase of the project is currently being studied by Dubai’s Roads & Transport Authority (RTA) in partnership with The Boring Company, which is owned by Musk. It will cover 17 kilometres (km) and have 11 stations, with the capacity to transport over 20,000 passengers an hour.

The project highlights the importance of expanding underground infrastructure in the Middle East region. This is mostly necessitated by the pressure that rapidly growing cities have put on existing transport and utility networks, particularly in major urban centres such as Dubai, Riyadh and Doha.

Underground opportunities

Projects that involve tunnelling, such as metro rail systems, underground highways and pedestrian walkways, are deemed key enablers in reducing congestion and optimising land use.

The recently completed metro systems in Riyadh and Doha are examples of how underground rail networks can facilitate efficient urban mobility, and more such schemes are planned. 

Without these subterranean projects, cities risk being stuck in a permanent state of gridlock, with longer commute times and decreased productivity. At the same time, tunnelling allows urban planners to integrate sustainable transport solutions, as well as large-scale utilities networks, without disturbing existing cityscapes, thereby enhancing connectivity and economic growth.

These developments signal a major shift in engineering priorities, with regional governments investing in underground transport, sewerage and metro extensions to accommodate their growing populations and infrastructure needs.

While the tower crane-dotted skylines of urban centres in the GCC attract attention, delivering major projects underground is an equally impressive engineering feat. Tunnelling under busy cities requires advanced excavation techniques, careful planning and coordination to avoid disruptions.

More tunnelling work is expected as Dubai takes another significant step forward in tackling its ongoing traffic problems [with] a new metro link

UAE tunnelling projects

Tunnelling work forms a significant portion of the Dubai Metro Blue Line extension. Awarded in December for AED20.5bn ($5.5bn), the project includes 15.5km of underground track and five subterranean stations. When operational in 2029, the Blue Line will significantly expand Dubai’s metro capacity, linking major residential and commercial hubs.

More tunnelling work is expected as Dubai takes another significant step forward in tackling its ongoing traffic problems by starting the procurement process for its next metro link: the Gold Line.

Although the technical details of the project have yet to be revealed, it is expected that tunnels will form a major component of the scheme given that the new line will run through busy urban areas where there is little space to build overground. 

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.

As a first step, the RTA has sent a request for proposals to companies for the lead consultancy role on the multibillion-dollar project.

The UAE’s Etihad Rail also began a study of the tunnels required for the high-speed railway line connecting Abu Dhabi and Dubai in January. The survey works are ongoing on the Jaddaf and Dusup tunnels that will serve the high-speed rail link. Initial plans for the project include tunnelling works totalling 31km.

Another major tunnelling project in the UAE is the $22bn Dubai Strategic Sewerage Tunnels scheme. The client, Dubai Municipality, is preparing to tender its first packages, which include deep tunnels that will stretch 42km in Jebel Ali and 16km in Warsan.

The project will be delivered under a public-private partnership model, with international consortiums competing for contracts. Once completed, these tunnels will replace the traditional wastewater network, reducing energy consumption and enhancing long-term sustainability.

Saudi schemes

In Saudi Arabia, Riyadh is preparing to expand its metro network with the addition of a Line 7 and an extension to the existing Line 2.

The total length of Line 7 will be about 65km, of which 47km will be underground. The line will have 19 stations, 14 of which will be underground.

The project involves constructing a metro line linking the Qiddiya entertainment city development, King Abdullah International Gardens, King Salman Park, Misk City and Diriyah Gate. 

In March, the Royal Commission for Riyadh City (RCRC) gave consortiums until 15 June to submit their bids for a design-and-build contract for the construction of Line 7.

The planned Line 2 extension is 8.4km long, of which 7.1km is underground, and three out of its five stations will be built underground. The RCRC is expected to award the construction contract this year.

In January, the kingdom also completed the phased roll-out of the Riyadh Metro network. The current network comprises six lines spanning about 176km, of which 74km is constructed underground.

These numbers indicate that over 42% of the overall network is underground, highlighting the growing importance of tunnels in the kingdom’s plans to improve infrastructure in its most densely populated cities.

Tunnelling works are also a key component of the plans to improve the stormwater drainage system in Jeddah, where the municipality is preparing for the construction of the King Abdullah Road-Falasteen Road tunnel.

The three-year scheme involves constructing 5.3km of tunnels with an internal diameter of 7.2 metres using tunnel boring machines (TBMs) and another 3.4km of tunnels with a diameter of 3.5 metres driven by pipe jacking or TBMs.

At the kingdom’s Neom gigaproject, city planners are looking to find solutions to many of the problems faced in existing cities and, as a result, tunnels and large-scale underground utilities corridors are being built at the beginning of the project. For example, the development’s Delta Junction tunnels will serve as a railway junction connecting the Spine infrastructure corridor with the Neom Connector rail link to the Oxagon industrial zone. 

The project involves 26.5km of tunnelling work that will be split into a north and a south lot. The construction works are expected to begin this year as the client is evaluating the revised proposals submitted by firms in November last year.

Kuwait Metro will feature extensive tunnelling … ensuring minimal disruption to existing roads while integrating with future transport networks

Further tunnel projects

Beyond the Gulf, Egypt has a long history of tunnelling projects, as it has had to deal with crippling congestion and urban overcrowding for decades. In the 1980s, work was completed on two major projects that involved tunnelling: the first phase of the Cairo Metro system and the Greater Cairo wastewater project, which involved the construction of sewage tunnels on the east and west banks of the Nile. 

Today, Cairo’s tunnelling projects include the Cairo Metro Line 4 project. Spanning 42km with 39 stations, it involves over 20km of tunnels.

Meanwhile, in Morocco, national railway operator L’Office National des Chemins de Fer (ONCF) is constructing a tunnel project in Rabat.

In February, ONCF announced a 3.3km tunnel to be constructed under the Bou Regreg river at an estimated cost of MD1.4bn ($140m). The tunnel will connect the Sale and Agdal stations in an effort to alleviate traffic.

Similarly, the long-awaited Kuwait Metro will feature extensive tunnelling to navigate the dense urban fabric of Kuwait City, ensuring minimal disruption to existing roads while integrating with future transport networks. 

Qatar’s expansion of Doha Metro, meanwhile, requires additional underground infrastructure to connect developing areas and support the country’s vision for a comprehensive public transport system. 

Mecca Metro, already serving millions of pilgrims, is also set for further expansion, likely involving significant tunnelling to facilitate smoother access to holy sites while overcoming geographic constraints. 

In Oman, the Muscat Metro project is likewise expected to link key districts while preserving the city’s landscape and avoiding disruptions to arterial roads by introducing underground sections. 

All of these projects show that tunnels will play an important role in the region’s future as it strives to create cities with more efficient and environmentally sustainable transit and utilities systems. 

https://image.digitalinsightresearch.in/uploads/NewsArticle/13561811/main.gif
Yasir Iqbal

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

Click here to register
Exclusive from Meed
Related Articles
  • Taqa H1 profit rises 9.7% to AED4.1bn

    13 August 2026

    Abu Dhabi National Energy Company (Taqa) has reported a 9.7% year-on-year increase in net income attributable to shareholders to AED4.1bn ($1.12bn) for the first half of 2026.

    The Abu Dhabi-listed utilities company said higher contributions from its utilities businesses offset lower oil and gas earnings following the planned decommissioning of UK North Sea assets.

    Taqa reported revenue of AED27.5bn ($7.5bn) for the six months to 30 June, down 2.6% from AED28.2bn ($7.68bn) in the same period last year. Earnings before interest, tax, depreciation and amortisation (Ebitda) increased 7.7% year-on-year to AED11bn ($3bn), from AED10.2bn ($2.78bn).

    Capital expenditure increased 38% year-on-year to AED7.2bn ($1.96bn), reflecting continued investment across power, water and transmission networks. Free cash flow fell to AED4.6bn ($1.25bn) from AED7bn ($1.91bn) in the first half of 2025, largely because of the higher investment.

    Taqa’s board also approved a second-quarter interim dividend of 0.8 fils a share, totalling about AED899m ($245m).

    Power and water projects

    During the first half of 2026, Emirates Water & Electricity Company (Ewec) awarded the 2.6GW Taweelah C independent power project (IPP) to a consortium led by Taqa, which holds a 60% stake.

    The project is intended to support grid stability and enable the large-scale integration of renewable energy into Abu Dhabi’s power system through 2050.

    Taqa and Abu Dhabi National Oil Company (Adnoc) also signed a 27-year utilities purchase agreement to provide utilities to the Taziz Industrial Chemicals Zone in Ruwais.

    In the water sector, Taqa Water Solutions, Etihad Water & Electricity (EtihadWE) and Saur International signed a long-term agreement with the Ras Al-Khaimah government to develop a 60,000-cubic-metre-a-day wastewater treatment plant.

    The plant will be the emirate’s largest wastewater treatment facility and will serve up to 300,000 people.

    Taqa, Ewec, Masdar, EDF Power Solutions and Jinko Power also completed an $870.75m (AED3.2bn) green bond issuance to refinance the Al-Dhafra solar photovoltaic IPP.

    Masdar expansion

    Taqa said it continued to expand its international renewable energy exposure through its 43% stake in Masdar. This included Masdar’s binding agreement in April to establish a $2.2bn joint venture with TotalEnergies covering onshore renewable energy projects across Asia.

    The developer also signed an agreement with Repsol to acquire a 49.99% stake in a €849m, 705MW operational renewables portfolio in Spain. The portfolio has potential for a further 565MW of hybridisation capacity.

    Additionally, Masdar secured contracts for difference for 3GW of new offshore wind capacity across the Dogger Bank South projects in the UK.

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

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18434744/main.jpg
    Mark Dowdall
  • Kuwait selects developer for Shagaya zone one plant

    13 August 2026

     

    A consortium of Abu Dhabi Future Energy Company (Masdar) and Kuwait’s Fouad AlGhanim & Sons has been selected for a contract to develop the 1.1GW Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone one independent power project (IPP).

    Kuwait’s first utility-scale solar photovoltaic (PV) plant is being procured by Kuwait’s Ministry of Electricity, Water & Renewable Energy (MEWRE), through the Kuwait Authority for Partnership Projects (Kapp).

    According to a source, China’s Aiko Energy, Yingli Energy Development and Hengdian Group DMEGC Magnetics have been selected to supply PV modules.

    Another Chinese firm, Sungrow, will supply the project’s PV inverters, the source said.

    As MEED understands, the Masdar-led consortium will export the plant’s electricity output to the national grid under a 30-year power-purchase agreement with the ministry. The contract also includes the construction of an associated 400kV transmission substation. 

    Financial bids for the developer’s contract were opened in July, with MEED exclusively reporting that the Masdar consortium had emerged as a frontrunner for the contract after making “the most competitive” offer.

    In January, MEED reported that three developer consortiums had submitted bids for the project. Kapp previously issued the request for proposals in June 2025.

    London-headquartered consultancy firm EY is the lead and financial transaction adviser. The UK’s DLA Piper is the legal adviser, while Norwegian engineering services firm DNV is the client’s technical and environmental adviser.

    Zone two

    Kuwait aims to have a renewable energy installed capacity of 22,100MW by 2030 as part of the 20-year strategy announced in March 2025 and ending in 2050.

    In July, MEED exclusively reported that at least three consortiums had submitted bids for Al-Dibdibah power and Al-Shagaya renewable energy phase three, zone two IPP, which will have a capacity of 500MW. 

    The Al-Dibdibah power and Al-Shagaya complex is located within the administrative boundaries of Kuwait’s Jahra governorate, west of Kuwait City.

    The zone two scheme is the fourth renewable energy project to be developed under Kuwait’s public-private partnership programme.

    Kapp opened bidding for the zone two IPP in September last year. The winning bidder will design, finance, construct and maintain the project.

    Similar to the 1.1GW zone one project,  EY and DLA Piper, together with DNV, are advising the client on the zone two solar IPP.

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

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18415704/main.jpg
    Mark Dowdall
  • Contractors prepare prices for Al-Ghubar field facilities project

    13 August 2026

     

    Contractors are preparing commercial bids for a key Petroleum Development Oman (PDO) project to build a new facility to handle additional oil production from the Al-Ghubar field in the Ghaba Salt Basin at Qarn Alam, within its Block 6 concession area.

    The Al-Ghubar gas-oil gravity drainage (GOGD) facility will be designed as a sour (hydrogen sulphide) facility and is expected to handle maximum oil production of 1,800 standard cubic metres a day (cm/d), a maximum total water flow rate of 10,421 standard cm/d, and maximum gas lift of 256,934 standard cm/d. Production from the planned Al-Ghubar GOGD facility will be exported to PDO’s main oil line.

    Majority state-owned PDO floated the tender for the Al-Ghubar GOGD facility project in March, setting an initial bid submission deadline of 4 May, MEED previously reported.

    PDO later extended the deadlines for submission of technical and commercial bids to 26 July and 7 August, respectively. Contractors submitted technical proposals by the revised deadline, according to sources.

    Following receipt of the technical bids, PDO has granted contractors additional time – until 16 August – to submit commercial bids for the project, sources told MEED.

    The following contractors, among others, are understood to be bidding for the project:

    • Archirodon (Greece)
    • Engineering for the Petroleum & Process Industries (Egypt) / Petrojet (Egypt)
    • Jereh (China)
    • Kent (UAE)
    • Larsen & Toubro Energy Hydrocarbon (India)

    The scope of work on the Al-Ghubar GOGD facility project covers the engineering, procurement and construction (EPC) of the following:

    • On-plot scope consists of:
      • Production separator  
      • Test separator  
      • Concentric wash tank
      • Wet oil pump
      • Water bath heater
      • Surge tank
      • Gas injection/gas lift compressor (centrifugal)
      • Utilities (Instrument Air compressors, chemical injection skids, drain system, vent system) 
      • Suction scrubber
      • Air coolers
      • Discharge scrubbers
      • Condensate flash drum
      • Atmospheric pressure knock-out drum 
      • Flare system
      • Gas heater
      • Water disposal pump
      • Oil shipping pump
      • New 132kV substation and plant substation (housing 6.6kV & 415-Volt switchboard)
      • New control room
         
    • Off-plot scope consists of:
      • Off-plot pipeline network (bulk header, test header, gathering infrastructure/ gathering line header, instrument air header, water disposal header)
      • Two remote manifold stations 
      • Tie-in connection to main oil line
      • Tie-in to gas network pipeline

    PDO previously intended to tender the Al-Ghubar GOGD project under its framework structure with selected EPC contractors, but eventually tendered it separately.

    PDO is the operator of the Block 6 hydrocarbons concession in Oman, which is the sultanate’s largest and most prolific concession. Situated onshore and covering an area of 75,119 square kilometres, Block 6 contains 202 oil fields and 43 gas fields, with PDO producing a total of approximately 680,000 barrels a day (b/d) of oil and condensates from those fields.

    The Omani government holds a 60% stake in PDO through Energy Development Oman (EDO). The other shareholders are UK-based Shell (34%), France’s TotalEnergies (4%) and Thailand’s state-owned PTTEP (2%).

    ALSO READ: PDO floats tender for major flare gas monetisation scheme
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18403226/main1151.jpg
    Indrajit Sen
  • Adnoc Gas receives contractor prices for Ewec sales pipeline

    13 August 2026

     

    Contractors have submitted bids to Adnoc Gas for a new pipeline that it plans to build to supply gas from the Habshan scraper launcher station at its Habshan gas compression complex to the Al-Nouf customer receiving station (CRS), for delivery to Emirates Water & Electricity Company (Ewec).

    The proposed 56-inch pipeline, stretching 127 kilometres, will help the UAE’s state utility, Ewec, meet additional gas demand to power the second phase of an artificial intelligence (AI) data centre in Abu Dhabi, as well as to support the relocation of some of its key assets in the Mirfa area of the emirate.

    Adnoc Gas, the natural gas processing business of Abu Dhabi National Oil Company (Adnoc Group), issued the tender in mid-April for the project, officially titled ‘Ewec Mirfa relocation + AI data centre phase 2: Habshan to Al-Nouf pipeline’.

    Contractors submitted technical bids for the project in late May, while commercial bids were submitted on 3 August, sources told MEED.

    According to sources, the following contractors, among others, are understood to have submitted bids:

    • Arkad Engineering & Construction (Saudi Arabia; part of Italy’s Arkad SpA)
    • China Petroleum Pipeline Engineering (China)
    • Galfar Emirates (UAE branch of Oman’s Galfar Engineering & Construction)
    • Kalpataru Projects International (India)

    China Petroleum Pipeline Engineering has performed front-end engineering and design (feed) work on the project.

    The planned pipeline will provide two sales-gas streams to Ewec: 600-660 million cubic feet a day (cf/d) for AI data centre phase 2, and 650-715 million cf/d for the Mirfa relocation project.

    The core elements of the project involve engineering, procurement and construction (EPC) of the main Habshan-to-Al-Nouf pipeline and the following associated units:

    • 56-inch scraper (pig) launcher (607-V-604) and associated hot tap
    • Four block valve stations (BVSs -637-BVS-01/02/03/04)
    • 56-inch scraper (pig) receiver (848-V-101)
    • CRS at Al-Nouf including sales gas filters, pressure regulating stations (PRS), custody transfer metering systems (CTMS)
    • 30-inch tapping to Ewec plants (cold tie-ins)
    • 52-inch tie-ins between Adnoc Gas’ Maximise Ethane Recovery & Monetisation (Meram) project and package 3 of its broader project to upgrade its sales gas pipeline network across the UAE, also known as Estidama.
    Adnoc Gas business

    Adnoc Group announced the creation of Adnoc Gas through the merger of its subsidiaries Adnoc Gas Processing and Adnoc LNG in November 2022. Adnoc Gas began operating as a commercial entity on 1 January 2023.

    The consolidation of Adnoc’s gas processing and liquefied natural gas (LNG) operations into Adnoc Gas has created one of the world’s largest gas-processing entities, with a processing capacity of about 10 billion standard cubic feet of gas a day at eight onshore and offshore sites, which include its Asab, Bab, Bu Hasa, Habshan and Ruwais plants.

    The company also owns a 3,250km gas pipeline network to supply feedstock to its customers in the UAE. This sales gas pipeline network is being expanded to over 3,500km through the estimated $3bn Estidama project.

    At present, the network delivers sales gas to Adnoc Group companies, Ewec, Dolphin Energy, Emirates Global Aluminium (EGA), and other industrial consumers in Abu Dhabi, Dubai, Sharjah and the Northern Emirates.

    The main critical facilities and/or manifolds of the Adnoc Gas sales-gas pipeline network are as follows:

    • Habshan gas compressor plant
    • Thammama-C manifold
    • Maqta manifold
    • KM-42 station
    • Taweelah gas compressor plant

    Additionally, Adnoc Gas will also acquire its parent Adnoc Group’s 60% share in the Ruwais LNG terminal project at cost in the second half of 2028. UK energy producer BP, Japan’s Mitsui & Co, UK-based Shell and French energy producer TotalEnergies are the other shareholders in the project, holding 10% stakes each.

    Adnoc Gas recently announced it is executing a capital expenditure (capex) budget of $28bn for 2026 to 2030, reaffirming the spending plan it previously committed to for the period.

    As part of that capex plan, Adnoc Gas said it achieved final investment decision (FID) on the second and third phases of its Rich Gas Development (RGD) programme earlier this year.

    The company awarded $8.2bn of EPC contracts for the second and third phases of the RGD programme. These relate to the construction of a new gas processing train at the Habshan complex and a natural gas liquids (NGL) fractionation train at the Ruwais gas processing facility, respectively.

    Adnoc Gas detailed its capex plan as part of a media roundtable to discuss its financial results for the second quarter of the year (Q2 2026).

    The company achieved net income of $665m in Q2 2026 – above the upper end of the $400m-$600m guidance range provided in the first quarter.

    Supported by its cash flow from operations, the company’s board has approved a quarterly dividend of $940m, payable in September, in line with its commitment to deliver annual dividend growth of 5% through 2030.

    The detailed scope of work on the Ewec Mirfa relocation + AI data centre phase 2: Habshan to Al-Nouf pipeline project covers the following:

    • 56-inch sales gas pipeline from Habshan to Ewec Al-Nouf plant:
      • The new 56-inch sales gas pipeline from Habshan to Al-Nouf CRS, covering 127km, will supply sales gas to Ewec plant. Majority of the pipeline route is through the Sabkha area (approximately 100km) and will be routing parallel to existing pipeline facilities. FOCs shall be laid on both sides of the pipeline. Approximately 30 NDRCs (mostly micro tunneling) are envisaged for this pipeline.
      • The 56-inch pipeline is envisaged with four block valve stations 647-BVS-01-04 based on the pipeline location class study.
      • The pipeline shall be provided with scrapper launcher at Habshan (located in Estidama package 3 scrapper launcher plot) along with 48-inch hot tap tie-in at the gas source point (on existing 56-inch supply line manifold) and scraper receiver at Al-Nouf CRS for pipeline cleaning and inspection.
      • Habshan outlet battery limit, available battery limit pressure is 39 – 41.5 barg.
      • At Al-Nouf CRS the tie-in pressure requirement is minimum 25 barg downstream of the CRS facilities at the tie-in point to Al-Nouf plant.
      • Maximum pressure during line pack condition is 41.5 barg.
         
    • Facilities at Al-Nouf CRS:
      • 56” Scraper Receiver with Scrapper Handling Trolley and Jib crane. Both CRSs shall be identical in design and size.
      • The battery limit pressure at tie-in connection to Al-Nouf is 25 barg.
      • Electrical and Instrumentation (E&I) building and fire point shelter.
      • Permanent power supply to CRS from Ewec or Taqa and associated facilities.
         
    • AI data centre phase 2 project – CRS 1:
      • Sales gas filters (duty + standby configuration)
      • Custody transfer metering skid (duty + standby configuration)
      • Pressure regulating skid (duty + standby configuration)
      • Gas chromatograph, hydrocarbon dew point analyser inside AC shelter
      • Flow limiting control valves with bypass control valves
      • 30-inch cold tie-in to AI data centre phase 2.
         
    • Mirfa relocation – CRS 2:
      • Sales gas filters (duty + standby configuration)
      • Custody transfer metering skid (duty + standby configuration)
      • Pressure regulating skid (duty + standby configuration)
      • Gas chromatograph, hydrocarbon dew point analyser inside AC shelter
      • Flow limiting control valves with bypass control valves
      • 30-inch cold tie-in to Mirfa relocation power plant.
         
    • 52-inch jump over between Meram and Estidama package 3:
      • A 52-inch interconnection including ROV and associated facilities shall be provided between Meram 56” sales gas pipeline tie-in and Estidama package-3 56-inch pipeline tie-in. 52-inch piping to be installed on the existing / new pipe rack to cross the existing pipeline corridor. Cold tap Tie-ins on both existing pipeline is envisaged to install this jump-over connection.
      • The existing Meram plot or Estidama package 3 plot at 8.2km shall be extended to install the new ROV and associated facilities.
      • The new 52-inch ROV and associated facilities shall be connected to the Meram area existing systems and suitable modification and integration with SMC/telecommunication systems shall be performed by the EPC contractor.
      • Necessary adequacy checks shall be performed on the piping structures, supports, plots, systems, as applicable.
         
    • Electrical and instrumentation buildings:
      • E&I building type 1 at Al-Nouf CRS.
      • Block valve station (BVS) shall be provided with hybrid cooling shelter for equipment installation in case solar power system is to be adopted. If power source available nearby, electrical and instrumentation building (type 2) is to be provided.

    The duration of EPC works on the project is 31 months from the award of contract.

    ALSO READ: Adnoc Gas to move prudently on Bab gas cap project
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18400012/main3645.jpg
    Indrajit Sen
  • Oman plans seven factories to localise transformer parts

    13 August 2026

    Oman has signed 10 agreements worth an expected RO15m ($39m) to localise the manufacture of key electrical transformer components typically used in power transmission and distribution projects.

    The agreements were signed on 12 August under the Authority for Public Services Regulation in cooperation with Muscat-headquartered Voltamp Energy.

    They cover the establishment of seven new factories, which will manufacture eight essential electrical transformer components.

    Two existing factories will also add production lines to manufacture a further two components.

    The agreements were signed with four local small and medium-sized enterprises and six local and international companies.

    It is understood that local firms Al-Mahri Industrial Enterprises, Al-Maha Ideal Solutions and United Engineering Services are among the companies participating in the programme.

    The projects are expected to occupy a proposed total area of 34,000 square metres, with commercial production scheduled to start in 2027.

    In March, state utility Nama Power & Water Procurement (PWP) said it expects the renewable energy share to increase steadily, reaching 16% in 2028 and 21% in 2029 before rising to 30% in 2030. This compares to about 4% in 2024.

    To support the sultanate’s renewable energy expansion, about 70 transmission projects are expected to enter service between 2026 and 2030, according to the Oman Electricity Transmission Company’s Five-Year Annual Transmission Capability Statement.

    The localisation initiative is intended to strengthen domestic supply chains and reduce reliance on imports amid global supply risks and market fluctuations.

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

    Saudi Arabia builds for the global stage; Rising uncertainty creates fresh set of challenges in the Maghreb; Gulf banks remain robust in the face of geopolitical tensions.

    Distributed to senior decision-makers in the region and around the world, the August 2026 edition of MEED Business Review includes:

    > MARKET FOCUS: Maghreb fortunes diverge
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/18398112/main.jpg
    Mark Dowdall