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• 
  Iraq LNG project delayed until next year

  13 May 2026

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  Iraq’s first liquefied natural gas (LNG) import terminal, which has an estimated project value of $450m, is now expected to become operational in 2027 due to delays caused by the regional war and disruption to shipping through the Strait of Hormuz.

  Work on jetty reinforcement and fixed terminal infrastructure at the Port of Khor Al-Zubair has been delayed, according to a statement from US-based Excelerate Energy, which is contracted to develop the facility.

  In its statement, the company said: “We are revising our full-year guidance to reflect the delayed startup of our Iraq terminal due to the ongoing conflict in the Middle East.”

  It added: “The Iraq project fundamentals remain unchanged. Looking ahead, we continue to have confidence in our sequenced earnings growth through 2028.”

  In October 2025, Excelerate signed a definitive commercial agreement with a subsidiary of Iraq’s Ministry of Electricity for the development of the country’s first LNG import terminal.

  The integrated project includes a five-year agreement for regasification services and LNG supply, with extension options, and a minimum contracted offtake of 250 million standard cubic feet a day (cf/d).

  Excelerate said: “Jetty reinforcement and construction of the fixed terminal infrastructure have been delayed temporarily due to the conflict in the Middle East and the terminal is no longer expected to commence operations in the third quarter of 2026 as previously disclosed.

  “Project startup is now expected in 2027. The long-term fundamentals supporting the project remain unchanged, driven by chronic power shortages and limited domestic gas processing capacity in Iraq.

  “Current conditions further reinforce the country’s need for reliable and scalable LNG import infrastructure and construction will resume as conditions allow.”

  Earlier this year, Iraq’s Ministry of Electricity said that the terminal was on track to come online on 1 June, ahead of expected gas shortages during the summer months.

  Then, in late April, the ministry said the project had been delayed by several months and was expected to come online in August at the earliest.

  Although Iraq is Opec’s second-largest oil producer after Saudi Arabia, it is a net natural gas importer because its lack of infrastructure investment has meant that, until 2023, it flared roughly half of the estimated 3.12 billion cf/d of gas produced in association with crude oil.

  Iraq’s reliance on flaring associated gas instead of gathering and processing it has prevented the country from fully realising its potential as a gas producer and forced the Iraqi government to rely on costly gas and electricity imports from Iran.

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

  Global energy sector forced to recalibrate; Conflict hits debt issuance and listings activity; UAE’s non-oil sector faces unclear recovery period amid disruption.

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

  > AGENDA: War in the Middle East recalibrates global energy markets > REGIONAL LNG: War undermines business case for Middle East LNG > CAPITAL MARKETS: Damage avoidance frames debt issuance > IPOs: Regional IPO market dries up amid war  > MARKET FOCUS: Conflict tests UAE diversification > INTERVIEW: Desalination holds steady amid tensions, says Veolia CEO > LEGAL: Force majeure will not cure pre-existing construction industry breaches > BANKS:  GCC banks to feel the strain despite strong buffers > PIF STRATEGY: Public Investment Fund approves 2026-30 strategy

  To see previous issues of MEED Business Review, please click here

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  Wil Crisp
• 
  Algeria turns the GCC oil crisis into an economic opportunity

  13 May 2026

  Commentary
  Wil Crisp
  Oil & gas reporter

  Algeria’s state-owned oil and gas company, Sonatrach, is taking advantage of concerns about global gas and crude supplies to sign deals and push ahead with major upstream projects.

  In recent weeks, the country has launched an oil and gas licensing round, taken steps to boost crude production in the short term and awarded a $1.1bn oil and gas field development project.

  This comes as shipping remains disrupted through the Strait of Hormuz, a key global oil and gas supply route. The disruption began after the US and Israel attacked Iran on 28 February 2026, triggering a regional war.

  Algeria’s ramp-up in activity puts it in a stronger position to benefit from higher global energy prices than neighbouring Libya, despite Libya holding Africa’s largest proven oil reserves.

  Libya challenges

  In Libya, officials have sought to advance oil and gas projects, but the business environment remains challenging due to recurring violence and deep political divisions.

  Last month, Libya’s rival legislative bodies approved a unified state budget for the first time in more than 13 years. The Central Bank of Libya confirmed on 11 April that both chambers had endorsed the budget, calling it a key step towards restoring financial stability after prolonged division.

  Contractors expected the agreement to accelerate project activity, but so far the deal has yet to translate into meaningful progress on the ground. Earlier this month, MEED reported that Libya’s state-owned National Oil Corporation (NOC) had not yet provided subsidiaries with details of their funding allocations under the new budget.

  Libya’s downstream sector was also disrupted this month by a fresh outbreak of violence. On 8 May, military clashes damaged buildings and vehicles, and forced the country’s largest operating refinery and a nearby oil port to shut for two days. On 10 May, Azzawiya Oil Refining Company, operator of the Zawiya facility, said it had lifted the state of emergency, allowing work to resume.

  Algeria momentum

  While Libya has struggled to capitalise on the current period of higher oil and gas prices, Algeria has significantly increased activity across its hydrocarbons sector.

  Last month, Algeria launched a new bid round offering seven exploration blocks to international companies. The round was launched by the National Agency for the Valorisation of Hydrocarbon Resources (Alnaft), which regulates the upstream sector. The blocks are located in Ouargla, Illizi, Touggourt and El-Bayadh.

  In parallel, Algeria is implementing short-term measures to raise output. On 3 May, the Ministry of Oil & Gas said the country plans to increase average production by 6,000 barrels a day in June.

  Algeria is also pursuing regional export opportunities. Earlier this month, officials signed a framework agreement to enable crude supplies from Algeria to Egypt.

  Turkiye has also announced plans to renew and expand its liquefied natural gas (LNG) agreement with Algeria. Turkiye’s Energy and Natural Resources Minister Alparslan Bayraktar said on 8 May that annual volumes could rise to 6.5 billion cubic metres, up from the current 4.4 billion cubic metres a year. The existing agreement is due to expire in September 2027.

  Another sign of momentum is the award of a $1.1bn contract for phase two of the Hassi Bir Rekaiz oil and gas field development. The contract was signed by Egypt’s Petrojet and Italian engineering and contracting company Arkad. Petrojet’s share is estimated at about $600m and Arkad’s at about $500m. The client is Groupement HBR, a joint venture of Sonatrach and Thailand’s PTTEP.

  Overall, while Libya continues to face obstacles to building sustained momentum in its oil and gas sector, Algeria is pursuing multiple initiatives that are likely to deliver economic benefits in the short, medium and long term.

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

  Global energy sector forced to recalibrate; Conflict hits debt issuance and listings activity; UAE’s non-oil sector faces unclear recovery period amid disruption.

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

  > AGENDA: War in the Middle East recalibrates global energy markets > REGIONAL LNG: War undermines business case for Middle East LNG > CAPITAL MARKETS: Damage avoidance frames debt issuance > IPOs: Regional IPO market dries up amid war  > MARKET FOCUS: Conflict tests UAE diversification > INTERVIEW: Desalination holds steady amid tensions, says Veolia CEO > LEGAL: Force majeure will not cure pre-existing construction industry breaches > BANKS:  GCC banks to feel the strain despite strong buffers > PIF STRATEGY: Public Investment Fund approves 2026-30 strategy

  To see previous issues of MEED Business Review, please click here

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  Wil Crisp
• 
  Chinese-Saudi joint venture to build $566m copper plant

  12 May 2026

  Register for MEED’s 14-day trial access 

  Saudi Arabia-based industrial investment company Rawas and China’s Zhejiang Hailiang Company have signed a joint-venture agreement to establish a copper products manufacturing plant in the kingdom.

  The joint venture, in which Zhejiang Hailiang will hold 51% and Rawas 49%, plans to invest about $566m in the facility, which will be built near Dammam port in Saudi Arabia’s Eastern Province.

  The factory will be developed in two phases, with total production capacity projected at 150,000 tonnes a year (t/y). This includes 30,000 t/y of copper tubes, 20,000 t/y of copper busbars, 50,000 t/y of refined recycled copper and 50,000 t/y of copper foil.

  “The project will fully leverage Saudi Arabia’s local copper ore resources, energy cost advantages and regional policy incentives to serve markets across the Middle East, Europe and Africa,” the partners said in their statement.

  Shenzhen Stock Exchange-listed Zhejiang Hailiang is a subsidiary of Hailiang Group, one of the world’s largest copper pipe manufacturers and exporters.

  Rawas is based in Riyadh. Obeikan Investment Group and Al-Khorayef Group are among its founding shareholders, while other investors include Al-Muhaidib Group and Mohammed Abunayyan Investment Group.

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  Indrajit Sen
• 
  Dubai Holding increases its shareholding in Emaar

  12 May 2026

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  Dubai Holding and the Investment Corporation of Dubai (ICD) have completed a transaction under which Dubai Holding acquired a 22.27% equity stake in the private real estate developer Emaar Properties from ICD.

  Following the transaction, Dubai Holding’s total shareholding in Emaar Properties has risen to 29.73%, making it the company’s largest shareholder.

  Listed on the Dubai Financial Market, Emaar Properties is among the region’s leading real estate developers, with a portfolio spanning residential, commercial, hospitality and retail assets. The firm has a presence across the Middle East, North Africa, Asia and Europe.

  In a statement, Dubai Holding said that the acquisition is a strategic investment that underscores Dubai Holding’s confidence in Emaar Properties’ market position, asset quality and long-term growth outlook, as well as the resilience of Dubai’s economy and real estate sector.

  Dubai Holding’s latest investment follows the incorporation of local real estate bodies Nakheel and Meydan into the Dubai Holding Group in 2024.

  Since its establishment in 2004, Dubai Holding Group has created a portfolio of companies, including Jumeirah Group, Dubai Properties and Tecom Group. Tecom Group owns and operates several clusters in Dubai, including Dubai Internet City and Dubai Media City.

  Nakheel and Meydan are among Dubai’s major real estate developers, with developments including Palm Jumeirah, Palm Jebel Ali, Meydan One, Tilal Al-Furjan, Mohammed Bin Rashid City and Dubai Islands.

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  Yasir Iqbal
• 
  Momentum builds in Iraq’s post-war construction sector

  12 May 2026

  

   

  In October last year, Iraq awarded an estimated $764m contract to develop Baghdad International airport on a public-private partnership (PPP) basis to a consortium comprising Luxembourg-based Corporacion America Airports and local firm Amwaj International.

  The move is the latest sign of international investors’ growing appetite for projects in Iraq as part of the country’s post-war reconstruction drive.

  Iraq has been recovering gradually since the war. Initially, the government prioritised infrastructure and public housing to stimulate economic growth, improve living standards and attract foreign investment.

  More recently, benefiting from higher oil prices and a period of relatively stable governance, Baghdad has expanded its focus to reconstructing and modernising the country’s deteriorating infrastructure.

  Looking ahead, Iraq’s construction industry is expected to register an average annual growth rate of 4.8% between 2025 and 2028, supported by further investment in energy, infrastructure and housing projects, according to UK analytics firm GlobalData.

  Real estate projects

  Iraq plans to develop more than 21 residential cities across the country. According to local media reports published in May, Iraq’s Ministry of Construction & Housing said the projects are being developed in co-operation with private real estate developers.

  The report added that the residential cities are located in Baghdad, Mosul, Karbala, Babylon, Basra, Najaf, Dhi Qar, Maysan and Wasit.

  Another major announcement came in October last year, when UAE-based developer Damac Properties launched the Damac Hills Baghdad masterplanned community, its first real estate project in Iraq.

  Damac Hills Baghdad forms part of a larger development spanning 6.2 million square metres (sq m). The community is located near Abbas Ibn Firnas Square, close to Baghdad International airport.

  The project is in line with the Iraq National Investment Commission’s drive to attract greater foreign investment into the country.

  The latest foreign investment-backed scheme follows Egyptian real estate developer Ora Developers beginning construction last year on the Al-Wardi residential city project. The development will include more than 100,000 residential units covering about 61 million sq m on the southeastern side of Baghdad.

  Last year, another Egyptian firm, Talaat Moustafa Group Holding, said it was in negotiations with the National Investment Commission to develop a mixed-use project. Covering an area of about 14 million sq m and located southwest of Baghdad, the project is expected to include about 45,000 residential units.

  In 2024, Abu Dhabi-based developer Eagle Hills announced that it had secured land for a $1.5bn project in Baghdad that will include a golf course, residential components, a five-star hotel, a spa and a resort club.

  These projects continue the trend of renewed confidence among international investors in Iraq’s construction sector.

  Transport schemes

  In addition to the Baghdad International airport PPP award, Iraq has recently accelerated plans to develop the country’s wider infrastructure network.

  Earlier this year, Iraq announced that it would redesign the long-delayed Baghdad Metro project in a bid to reduce capital expenditure on the project.

  According to media reports, earlier proposals relied heavily on underground construction, making the project economically unviable.

  Last year, Iraq’s Ministry of Transport announced plans to build the Basra-Shalamcheh railway project, a 36-kilometre cross-border rail link connecting Iraq and Iran.

  In the ports sector, Iraq’s Aloreen Company for Investments secured up to $120m in financing in March from the International Finance Corporation, part of the World Bank Group, to expand the container-dedicated Terminal 2 at Umm Qasr Port in southern Iraq.

  Located about 70km south of Basra, Umm Qasr Port is Iraq’s main maritime gateway and its only deep-water port, handling most of the country’s containerised and general cargo.

  In October, Iraq said it would select three firms from an 11-company shortlist to manage and operate Al-Faw Grand Port, located in the southern city of Basra.

  The first phase of the project is scheduled for completion by the end of this year, while the second phase is expected to be completed by 2029.

  Projects pipeline

  Iraq has about $96bn-worth of projects in the planning and pre-execution stages across its construction and transport sectors.

  The construction sector accounts for about $69bn of this pipeline, while the transport sector has projects valued at around $17bn.

  The short-term outlook for both sectors remains positive, with the government committed to economic revitalisation through infrastructure projects.

  These initiatives are expected to attract investors, create local employment opportunities and generate significant revenues. At the same time, securing funding for major metro and airport developments will be important in maintaining investor confidence.

  Further investment, together with continued political stability and clearer regulatory frameworks, will be vital if the government is to achieve its goals, sustain the country’s recovery and support long-term economic expansion.

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  MEED’s June 2026 report on Iraq also includes:

  > OVERVIEW: Iraq enters era of resilience, reform and rising risks
  > OIL & GAS: Iraqi oil and gas sector in crisis
  > POWER & WATER: Focus shifts to delivery of Iraq utilities expansion

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  Yasir Iqbal