meed-logo

line1 line2 line3
SIGN IN / REGISTER

Transport links stitch GCC together

25 November 2024

This package also includes: Cooperation strengthens Gulf markets

Analysis
Colin Foreman
Editor

Transport projects connecting the GCC have made stuttering progress over the years, with brief periods of intense project positioning typically followed by years of little progress. 

These projects are crucial for intra-GCC trade, and, once built, should provide a catalyst for further economic activity.

Since the Al-Ula Accords were signed in January 2021, projects have started to move forwards again, with schemes including the GCC railway network, the GCC grid, and several other road and causeway links at various stages of planning and construction. 

GCC rail

For the GCC railway network, GCC leaders approved the establishment of the GCC Rail Authority in January 2022. The entity is entrusted with overall policymaking and coordination among member states to ensure the smooth delivery and operation of the scheme.

The railway will stretch over 2,177 kilometres (km), from Kuwait, through Dammam in Saudi Arabia, to Bahrain, with a causeway to be constructed between the two countries, and from Dammam to Qatar, Saudi Arabia, the UAE and finally to Muscat via Sohar in Oman.

There will be 684km of track in the UAE, 663km in Saudi Arabia, 306km in Oman, 283km in Qatar, 145km in Kuwait and 36km in Bahrain.

Passenger trains will run at 220 kilometres an hour (km/h), while freight trains will travel at 80-120km/h.

The project is expected to take a significant step forward this year with the award of the contract to prepare the operational plan study for the scheme. Speaking at the Global Rail event in Abu Dhabi on 8 October, sources told MEED that “the evaluation is in the final stages and the contract award is imminent”.

A source added that the General Secretariat of the Cooperation Council has set a deadline of 2030 for the project to be operational.

Several causeways are planned that will provide transport links between countries in the GCC. After stalling after 2010, Qatar and Bahrain have agreed to restart plans to develop the $4bn Qatar-Bahrain Causeway project. The two countries have also instructed the respective authorities to finalise plans for initiating the implementation of the project. The next step will be establishing a technical committee and appointing a consultancy to work on the designs.

The 40km-long causeway will connect the eastern coast of Bahrain to the northern region of Qatar. It will feature a dual two-lane highway and a rail link for the GCC rail network.

Once built, these transport projects should provide a catalyst for further economic activity

Construction on the project was originally scheduled to start in early 2009 after a consortium led by Vinci Construction Grands Projets signed a $3bn design-and-build contract in May 2008.

The consortium also included Qatari Diar Real Estate Investment Company, Germany’s Hochtief, Greece’s Consolidated Contractors Company and Belgium’s Deme Group.

The project was initially designed by France’s Lavigne & Cheron Architects. US-based consultant KBR was appointed as the project management consultant with support from Halcrow, which is now part of US-based Jacobs.

Further crossings

Another planned international crossing is the second causeway between Saudi Arabia and Bahrain. The $3.5bn project, which has been called the King Hamad Causeway project, was moving towards construction in 2021 when it was included in Bahrain’s $30bn Strategic Projects Plan. Since then progress has been slow, and it is understood that the authorities are re-evaluating how the project should move ahead. 

The project involves building a 25km 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 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 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 annum over the past 10 years.

Another causeway being considered is a link connecting Abu Dhabi and Qatar. The proposed link could provide road and rail access between Qatar and the UAE, bypassing Saudi Arabia, located between the countries. 

The concept has been considered before. There were plans in 2005 that involved building a 40km causeway starting near Sila in Abu Dhabi emirate and extending to the south of Doha.

In the past, there have been difficulties with the route because it runs across Saudi Arabian territorial waters.

Road links

Overland road links have also been built. In 2021, a 725km-long road running through the Empty Quarter from Saudi Arabia to Oman opened. The Saudi section of the highway is 564km long, and the Oman section runs for 161km. The highway provides a link between the two countries bypassing the UAE.  

When it opened, the authorities added that the road would improve trade between Oman and Saudi Arabia and give Oman access to Saudi Arabia’s Red Sea Ports. Likewise, it gives Saudi Arabia access to Oman’s ports on the Arabian Sea. 

 

https://image.digitalinsightresearch.in/uploads/NewsArticle/12995564/main.jpg
Colin Foreman

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

Click here to register
Exclusive from Meed
Related Articles
  • Parsons wins role on Elon Musk-backed Dubai Loop project

    4 May 2026

    US-based Parsons Corporation has been appointed to deliver programme management services for the Dubai Loop transportation system.

    The contract was awarded by Elon Musk-backed firm The Boring Company, which signed a construction agreement with Dubai’s Roads & Transport Authority (RTA) in February.

    Parsons’ scope of work includes independent design verification, stakeholder management, permitting and no-objection certificate (NOC) support, and multidisciplinary design reviews for the project’s first phase.

    The first phase comprises a 6.4-kilometre route with four stations, linking the Dubai International Financial Centre (DIFC) and Dubai Mall.

    Stations will be located at DIFC 2, ICD Brookfield Place, Dubai Mall Zabeel Parking and Burj Khalifa.

    The first phase is expected to cost about AED565m ($154m) and to be delivered within one year after design work and other preparations are completed. Tunnelling is expected to begin in the second half of this year.

    Next phase

    The second phase will connect Dubai World Trade Centre and DIFC with Business Bay.

    The tunnels will extend up to 22km and include 19 stations.

    The total cost across both phases is expected to be around AED2bn ($545m), with completion scheduled within three years.

    The pilot route is expected to serve around 13,000 passengers a day, while the full route is projected to have a capacity of about 30,000 passengers a day.

    The RTA and The Boring Company signed a memorandum of understanding on the sidelines of the World Governments Summit in Dubai in February last year to explore the development of the Dubai Loop transportation system.

    The Dubai Loop is expected to be similar to The Boring Company’s Las Vegas Convention Centre (LVCC) Loop project. The LVCC Loop is a 2.7km underground tunnel system that connects different convention centre halls, reducing walking time across the site to about two minutes.

    The LVCC Loop has been in operation since 2021. It uses Tesla Model 3 cars to carry passengers between five stations. The Boring Company began construction in November 2019 at an estimated cost of $49m.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/16672074/main.jpg
    Yasir Iqbal
  • Humain tenders infrastructure for 6GW data centre campus

    4 May 2026

    Saudi artificial intelligence (AI) infrastructure company Humain, owned by the Public Investment Fund (PIF), has issued a tender inviting firms to develop infrastructure for its planned 6GW hyperscale AI data centre campus in Riyadh.

    The project will be delivered on an early contractor involvement (ECI) basis. Under the ECI process, selected contractors are required to submit methodologies and design proposals, after which one team will be selected to deliver the construction works.

    Firms have until 8 May to submit proposals.

    The development will be built on a 24-square-kilometre site in the Al-Saad area in east Riyadh. It will be delivered in two phases across six plots, each with a capacity of 1GW.

    The scope of infrastructure work covers:

    • Construction of 380kV/132kV/33kV electrical distribution network, two substations with a capacity of 500MVA and 200MVA, bulk supply point (2,000MVA)
    • Water network and fire protection systems
    • Sewage treatment plant and wastewater network
    • Stormwater systems
    • Roads
    • Underground cable and fibre optic networks
    • Landscaping works

    The client is being supported by Canadian engineering firm Hatch, France’s Egis and US-based firm JLL.

    Humain was launched in May last year to operate and invest across the AI value chain.

    Humain is building full-stack AI capabilities across four core areas: next-generation data centres, hyper-performance infrastructure and cloud platforms, and advanced AI models, including Allam.

    Also in May 2025, Humain signed preliminary deals with US chipmakers AMD and Nvidia to build multibillion-dollar advanced digital infrastructure in the kingdom.

    AMD said it will invest up to $10bn to deploy 500MW of AI compute capacity in Saudi Arabia over the next five years.

    In October, PIF and Saudi Aramco signed a non-binding term sheet setting out key terms under which Aramco would acquire a minority stake in Humain, with PIF retaining majority ownership.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/16671267/main.jpg
    Yasir Iqbal
  • Abu Dhabi selects consortium for 2.5GW Taweelah C IPP

    4 May 2026

     

    Register for MEED’s 14-day trial access 

    A consortium of Al-Jomaih Energy & Water Company (Saudi Arabia) and Sembcorp Industries (Singapore) has been selected to develop the Taweelah C independent power producer (IPP) project in Abu Dhabi.

    The consortium will sign a power purchase agreement (PPA) in mid-May, a source told MEED.

    The combined-cycle gas turbine (CCGT) plant will have a capacity of 2.5GW. It will be located at the Al-Taweelah power and desalination complex, about 50 kilometres northeast of Abu Dhabi city.

    It is understood that China Energy Engineering Corporation (CEEC) will be the engineering, procurement and construction (EPC) contractor.

    Last September, MEED reported that state offtaker Emirates Water & Electricity Company (Ewec) had received three bids for the facility.

    The bidders included:

    • Al-Jomaih Energy & Water Company / Sembcorp Industries
    • Sumitomo Corporation (Japan) / Korea Overseas Infrastructure & Urban Development Corporation / Korean Midland Power
    • Korea Western Power Company / Etihad Water & Electricity (UAE) / Kyuden International (Japan)

    At the time, Mohamed Al-Marzooqi, chief asset development and management officer at Ewec, said the bids would make Taweelah C “one of the lowest tariff CCGT projects in the region”.

    The carbon-capture-ready facility had been scheduled to begin commercial operations in the fourth quarter of 2028.

    This was based on the initial timeline for a PPA to be signed in the fourth quarter of 2025.

    Taweelah C is part of Ewec’s wider programme to support the UAE’s Net Zero by 2050 Strategic Initiative and the Abu Dhabi Department of Energy’s Clean Energy Strategic Target 2035.

    Ewec plans to raise solar power capacity to 18GW and wind capacity to 2.6GW by 2035, while reducing the carbon intensity of its power generation by more than half compared to 2019.

    Ewec is also expanding its low-carbon water desalination capacity, with the Taweelah reverse osmosis (RO) plant already operating as the world’s largest RO facility and additional projects, such as the Mirfa 2 RO and Shuweihat 4 RO, under way.

    By 2030, it expects 95% of Abu Dhabi’s installed water capacity to come from RO technology.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/16670622/main0858.jpg
    Mark Dowdall
  • Dubai launches Blue Line metro tunnelling works

    4 May 2026

    Dubai has announced the launch of tunnelling works for the Dubai Metro Blue Line extension project.

    In a post on X, Sheikh Mohammed Bin Rashid Al-Maktoum, UAE Vice President, Prime Minister and Ruler of Dubai, announced the start of operations of the tunnel boring machine (TBM), which the Roads & Transport Authority (RTA) has named ‘Al-Wugeisha’.

    The TBM is 163 metres long, weighs more than 2,000 tonnes and will operate around the clock. The post added that its average excavation rate ranges from 13 to 17 metres a day.

    The Blue Line will connect the existing Red and Green lines. It will be 30 kilometres (km) long, with 15.5km underground and 14.5km above ground.

    The line will have 14 stations, seven of which will be elevated. There will be five underground stations, including one interchange station, and two elevated transfer stations connected to the existing Centrepoint and Creek stations.

    In December 2024, the RTA awarded a AED20.5bn ($5.5bn) main contract for the construction of the project to a consortium comprising Turkiye’s Limak Holding and Mapa Group, along with the Hong Kong office of China Railway Rolling Stock Corporation (CRRC).

    The consortium is responsible for all civil works, electromechanical works, rolling stock and rail systems. After completing the project, it will assist with maintenance and operations for an initial three-year period.

    According to an official statement, the Blue Line will have a capacity of 46,000 passengers an hour in both directions.

    The project is scheduled for completion in September 2029.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/16670584/main.jpeg
    Yasir Iqbal
  • Firms submit Jeddah distribution centre bids

    4 May 2026

     

    Contractors submitted bids on 26 April for an estimated SR140m ($37m) contract to build a distribution centre in Jeddah.

    Saudi Logistics Services Company (SAL) launched the tender on 11 March, as previously reported by MEED. The project will cover an area of about 37,000 square metres. Egyptian firm Cosmos-E Engineers & Consultants has been appointed as the project consultant.

    This tender follows the start of construction by Egyptian contractor Rowad Modern Engineering, a subsidiary of Elsewedy Electric Group, on the expansion of SAL’s facilities at King Khalid International airport in Riyadh. The scope of work includes rehabilitating and upgrading existing infrastructure, as well as constructing new supporting facilities and services.

    SAL also launched the tendering process in September last year for its SR4.2bn ($1bn) logistics zone in northern Riyadh, MEED previously reported. UAE-based Global Engineering Consultants is the consultant for that development.

    The logistics hub aims to meet demand for customised warehouses near King Khalid International airport and the Riyadh Metro. The project aligns with Vision 2030 and the National Transport & Logistics Strategy, which aims to strengthen the kingdom’s logistics sector and enhance Saudi Arabia’s position as a global logistics hub.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/16670338/main.gif
    Yasir Iqbal