UAE construction sector returns to form
12 October 2023
This package on the UAE’s construction sector also includes:
> Dubai starts construction of Expo Valley
> Emaar appoints contractor for Creek Harbour project
> Arada awards Jouri Hills Dubai construction contract
> Contractor appointed for Damac Hills developments
> Consultant appointed for $8.17bn Azizi Venice project
> Abu Dhabi tenders Mid Island Parkway packages

On 20 September, hundreds of people queued to buy property on Dubai’s Palm Jebel Ali. The rush to purchase units on the project, which stalled in 2008, is the latest sign of a return to form for the UAE’s construction sector.
The buoyant market conditions have prompted major UAE real estate developers to restart halted long-term projects.
In the past year, government-controlled developer Nakheel has released details of new masterplans for Palm Jebel Ali and the offshore islands it has reclaimed off the Deira Corniche, known as Dubai Islands.
Both developments are more high-end, low-rise developments that better reflect the dynamics of the post-pandemic market.
Nakheel also restarted the construction works on its Palm Beach towers project in Palm Jumeirah. Previously known as Palm Gateway, the project was rebranded and relaunched in October 2022.
Construction stopped in 2019 after structural concrete work had been completed for about 10 levels of the towers.
Indian contractor Shapoorji Pallonji will deliver the project.
Emaar Properties also announced the comeback of Dubai Creek Tower. The scheme made no significant progress after concrete pile cap works were completed in 2018.
First launched in 2015, the project was billed as the world’s tallest man-made structure, surpassing the height of Dubai’s Burj Khalifa. The project is being redesigned, which is expected to be completed by the first quarter of 2024. Construction is slated to begin in the second half of 2024.
Towering ambitions
The favourable market conditions have led another Dubai-based private developer, Azizi Developments, to restart plans to construct what it said would be the world’s second-tallest tower.
The plan to restart work on the rebranded AED3bn ($817m) 122-storey Entisar Tower project received a boost when Azizi purchased a plot of land on Sheikh Zayed Road next to World Trade Centre Metro Station 2 from Meydan.
UK-based Atkins worked on the tower's design for Azizi Developments after an original design was prepared for Meydan by Dubai-based AE7.

Demolition at the Dubai Pearl site in 2023, viewed from the MEED office in Dubai Media City
After two aborted attempts, development is expected to start again at the Dubai Pearl site, located north of Dubai Media City close to the Palm Jumeirah.
The construction work on the project stalled after the global financial crisis of 2008-09. The structures erected for the previous project have been demolished this year.
Dubai Holding, which now owns the land, has held a design competition and is in the final stages of selecting the winning architect. Local project management firm North 25 is overseeing the design competition.
Market overview
With more than $356bn-worth of private real estate developments and public building and housing programmes planned or under way, the UAE is the region’s second-biggest construction projects market, after Saudi Arabia.
After a dismal performance in 2020 due to the Covid-19 pandemic and economic downturn, the construction sector is on course for a strong comeback.
In 2021, contract awards worth about $10bn were recorded, an increase of 13.5 per cent over the previous year.
Continuing the same momentum, 2022 also grew by about 50 per cent to reach the $15bn mark, further increasing investor confidence.
According to data from regional projects tracker MEED Projects, the $17bn-worth of contract awards in 2023 has already surpassed the full-year total achieved in 2022.
The prospects for the rest of this year are promising. Nearly $8bn of contracts are already at the bid evaluation stage, and another $2bn are at the main contract bid and prequalification stages.
Projects pipeline
Renewed work opportunities for construction companies are presented by the restart of projects and new announcements in the UAE.
Real estate schemes dominate the country’s list of future projects.
In July, Emaar announced The Oasis project, which covers a total land area of more than 9.4 million square metres close to Dubai Investments Park. The $20bn project involves building over 7,000 residential units along with water canals, lakes and parks. It will also include the development of a 150,000 sq m retail area.
In October, Azizi Developments unveiled the Azizi Venice project in Dubai South. The AED30bn ($8.17bn) mixed-use development will offer over 30,000 residential units, including 100 mid-rise apartment complexes, 400 villas, two five-star hotels and an opera house.
Early this year, Mohamed Alabbar launched the $3.5bn Ramhan Island project off the coast of Abu Dhabi. The development will consist of 1,800 villas, 1,000 residences, a hotel and a marina. The project is being developed through Eagle Hills Development Company.
In July, Aldar Properties and the Abu Dhabi Housing Authority announced the AED8bn ($2.2bn) Balghaiylam Abu Dhabi residential project.
The project is scheduled to be completed by 2026 and will include 1,743 housing units. It is part of the Abu Dhabi government’s plan to employ public-private partnerships (PPPs) to provide affordable housing for its citizens through real estate schemes developed by approved developers.
Exclusive from Meed
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Consultants bid for Roshn’s north Riyadh scheme3 November 2026
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Adnoc awards contract for Ruwais Diyab unconventional gas3 November 2026
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Sultan Al-Jaber appeals for global energy security reset2 November 2026
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Oman signs 1GW battery storage agreement3 November 2026
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Consultants bid for Roshn’s north Riyadh scheme3 November 2026

Saudi gigaproject developer Roshn Group has received proposals from lead design consultants for its planned flagship development in north Riyadh.
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The second package covers phases C and D, covering about 4.7 million sq m and with more than 15,000 units.
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Adnoc awards contract for Ruwais Diyab unconventional gas3 November 2026

Abu Dhabi National Oil Company (Adnoc) has taken the final investment decision (FID) for the Ruwais Diyab unconventional gas development in Abu Dhabi.
The project will deliver 345 million standard cubic feet a day (scf/d) of raw gas from 2029 over a 25-year period, with the potential to reach up to 1 billion scf/d in the future.
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According to sources, Adnoc has awarded the design, build and operate (DBO) contract for the Ruwais Diyab unconventional gas development to China-based Jereh Group.
A formal kick-off meeting between Adnoc and Jereh is expected to take place later in November, sources told MEED.
The DBO contract awarded by Adnoc to Jereh is understood to cover the second phase of the Ruwais Diyab unconventional gas development. The tendering exercise for the project started last year.
“The development [of Ruwais Diyab] follows a disciplined programme of technical studies, field testing and subsurface analysis, delivered by Adnoc Onshore under a DBO model, to reduce development risk,” Adnoc said in its statement on 2 November.
“It brings together advanced subsurface expertise, artificial intelligence-enabled drilling and completion technologies and integrated project delivery capabilities to support the efficient and responsible development of domestic gas resources,” it added.
The UAE holds the seventh-largest gas reserves in the world, with 298 trillion standard cubic feet (scf) of conventional gas reserves and 160 trillion scf of unconventional gas resources.
Adnoc holds the majority 60% stake in the Ruwais Diyab concession, the majority of which is situated onshore, while France’s TotalEnergies holds the other 40% interest.
The agreement to explore, appraise and develop the area’s unconventional gas resources was signed by Adnoc and TotalEnergies in November 2018. The partners announced first gas output at the concession, presumably on a pilot basis, two years later.
Adnoc has set a target of producing 1 billion scf/d of gas from the Ruwais Diyab concession by 2030, in line with its target to achieve self-sufficiency in overall gas production by the end of this decade.
“Ruwais Diyab’s additional unconventional gas supply will strengthen Adnoc’s gas value chain, including Adnoc Gas’s ability to meet rising domestic and international customer demand,” Adnoc said in its 2 November statement.
“Ruwais Diyab advances Adnoc’s ambition to establish a scalable unconventional gas business and create a platform for future growth,” the company added.
Ruwais Diyab first phase
Adnoc awarded the contract for engineering, procurement and construction (EPC) on the first phase of the unconventional gas development programme to local contractor Astra Engineering & Construction in early 2025, according to regional project tracker MEED Projects.
The first phase aims to achieve a gas output level of 100 million scf/d. The main structures to be built in the first phase include a central processing facility, two well pads, interconnecting well fluid pipelines, gas export pipelines and tie-in stations.
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Sultan Al-Jaber appeals for global energy security reset2 November 2026
The global energy industry must fundamentally rethink how it builds, protects and delivers secure energy, following a year of unprecedented disruption that has exposed critical vulnerabilities in international supply chains, Sultan Ahmed Al-Jaber, the UAE’s Industry & Advanced Technology Minister and managing director and group CEO of Abu Dhabi National Oil Company (Adnoc Group) has said.
Delivering the opening address at the Abu Dhabi International Petroleum Exhibition and Conference (Adipec) 2026 on 2 November, Al-Jaber said preparedness is essential to navigating an increasingly uncertain global landscape.
“For decades, energy security was a question for specialists. It was debated in rooms like this, by people like us, in a language that few needed to learn. This year, every family, every farmer, every industry and every business owner is asking about it, and our collective job is to find the answers.”
Noting that it is not possible to control every situation and remove every risk, Al-Jaber said: “The choices we make today will determine the energy landscape a decade from now. Let’s apply the lessons we have learnt. Let’s build capacity and everything that supports it. Let’s forge partnerships that hold when it matters. And if you want a partner you can count on, you are in the right room, in the right city, in the right country. Because when it counts the most, you can count on the UAE.”
Setting out the case for a more resilient energy system, Al-Jaber said that since the disruption in the Strait of Hormuz, nearly 1 billion barrels of crude have been drained from inventories. He noted that in some markets, stocks of diesel are at their lowest seasonal level in 35 years, while others are facing a supply gap for liquefied natural gas (LNG) of 600 billion cubic feet. “Simply put, the world has eroded its supply buffers,” Al-Jaber said.
“But supply is only half the story. The other half is delivery. Before the disruption, logistics were less than 5% of the cost of a barrel. Today, they are more than 30%. In short, energy security is not only measured at the point of production. It is now also measured at the point of delivery.”
Mitigation steps
Al-Jaber outlined five steps the energy industry can take to reduce the impact of future shocks. “First, accessible supply. We need expanded strategic storage, larger stockpiles of products and flexible refining capacity closer to consumer markets.
“Second, routes to market. Supply only counts when it arrives. Infrastructure must be built before it is needed and enabled by advanced logistics.
“Third, operational intelligence. Moving from automated operations to intelligent energy systems that anticipate risk, optimise performance and drive down the cost of every barrel.
“Fourth, capital follows confidence. Policy must create it, finance must accelerate it and insurance must keep trade moving.
“Fifth, which is in my view the most important, is people. Because behind every barrel that arrives is a person who made sure it did. Systems don’t carry responsibility, people do.”
Photo credit: Adipec via LinkedIn
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