meed-logo

line1 line2 line3
SIGN IN / REGISTER

Contractors vie for schemes worth $270bn

21 December 2023

Following one of the best years for project contract awards in the Middle East and North Africa (Mena) region in a decade, 2024 has a lot to live up to if it is to generate a similar amount of project activity. 

By mid-December, the value of contract awards in 2023 had exceeded $230bn and was just $10bn shy of the $240bn-worth of regional contract awards let in 2014 – the best year on record to date. It was also on track to exceed that record year, with $36bn of projects in bid evaluation and expected for award by year’s end.

Nevertheless, 2024 has the potential to be an even better year for the Mena projects markets than 2023, with more than $270bn-worth of projects in the bidding phase and either overdue, due for award in the final weeks of 2023 – at the mid-December mark – or set for award at some point during 2024.

On top of this significant value of projects in the bidding stage, the region also has an estimated $250bn-worth of work in the design phase, with project trajectories that could quite reasonably see the schemes proceed through the prequalification, tendering and main contract award phases within the next 12 months.

Of the $270bn of value in the bidding stage, $126bn is in bid evaluation, with the main contract imminently due for award. A further $67bn is at the bid submission stage and $77bn is at the prequalification stage.

Imminent awards

Among the projects that are in the bidding phase and due for award in 2024 are six projects worth $4bn or more – all of which are in the GCC, with three in the UAE and one in each of Kuwait, Qatar and Saudi Arabia. They include three oil and gas projects, two power plants and one transport scheme.

The largest project contract in both the bidding phase, and specifically bid evaluation, is the estimated $7bn scheme for the development of surface facilities as part of the UZ1000 expansion programme by the offshore arm of Abu Dhabi National Oil Company (Adnoc Offshore) at the UAE’s Upper Zakum oil field. 

Bids for the project have been submitted by the UK’s Petrofac, the local Target Engineering Construction Company and Spain’s Tecnicas Reunidas.

The next largest project in the bidding phase is the $6bn first package of the Duwaiheen nuclear power plant project, which entails the construction of two 2,800MW nuclear reactors on behalf of the Saudi special purpose vehicle Duwaiheen Nuclear Energy Company. Expected bidders include France’s EDF, China National Nuclear Corporation, Korea Electric Power Corporation and Russia’s Rosatom.

The third largest scheme, and one that is at the prequalification stage, is the estimated $4.8bn Blue Line for the Dubai Metro, tendered by the Roads & Transport Authority after the project was greenlit in November 2023. Expressions of interest for the 12-station line are being sought from three consortiums.

Close behind this is the $4.5bn Ruwais liquefied natural gas terminal, which is being tendered by Adnoc Gas Processing, and for which more than half a dozen companies have submitted bids.

In Kuwait, the $4bn combined phases two and three of Al-Zour North independent water and power project are being tendered by the Ministry of Electricity & Water via the Kuwait Authority for Partnership Projects. Five bidders have submitted prequalification documents for the scheme. 

Pending in Qatar, there is the $4bn phase two, scope D of works on the North Field production sustainability project, for which submissions to QatarEnergy LNG are due by the end of December.

Top markets

The country with the highest value of project work in the bidding phase – and more than double that of the next most active projects market – is Saudi Arabia, which alone has schemes worth $107bn. This includes $46.5bn-worth of work in bid evaluation, $34.3bn in bid submission and $26.4bn at the prequalification stage.

The work in Saudi Arabia is concentrated in the hands of several large clients, led by Saudi Aramco, which has $22bn-worth of work under bid, and Neom, which has $19bn of associated projects under bid. 

There is a further $8.6bn-worth of work associated with the four other official gigaprojects: Diriyah Gate, Qiddiya, the Red Sea Project and Roshn. There is also $7.7bn-worth of work in the bidding phase as part of the Saudi Power Procurement Company’s renewable energy programme.

The projects market with the second-largest value of imminently pending work is the UAE, with $51.5bn-worth of work under bid, including schemes worth about $30bn in bid evaluation. This work is led by the oil and gas sector, with $22.6bn of work being tendered by Adnoc Group. 

Elsewhere in the GCC, Kuwait, Oman and Qatar have, respectively, $19.8bn, $17.9bn and $15.7bn of projects under bid. Overall, the GCC markets account for $216bn or 80 per cent of the $270bn total of work under bid, with Saudi Arabia and the UAE alone accounting for $159bn-worth of work, or 59 per cent of the total.

Close behind these markets is Algeria, which has $15.3bn-worth of schemes in the bidding phase, alongside lesser values in Egypt and Iraq, at $10.7bn and $7.7bn, respectively. There is then a further $24bn-worth of work under bid spread across the other countries in the Mena region.

Strongest sector

Segregated by industry, of the $270bn-worth of work in the bidding stage, there are: projects in the construction and transport sector worth a combined $97.7bn; schemes worth $97.6bn in the power, water and utilities sector; and programmes worth $74.8bn in energy industry.

This breaks down further into $53.1bn of transport projects, $44.6bn of construction projects, $59.7bn of power projects, $37.8bn of water projects, $32.9bn of gas projects, $29.2bn of oil projects, and $12.6bn of chemicals and other industrial schemes.

Top clients

The top 10 project clients in the region by value of projects currently in the bid stage account for $103bn or 38 per cent of the $270bn of total project value under bid. Out of this group of regional heavyweight project owners, five are Saudi entities: Saudi Aramco, Neom, Saudi Power Procurement Company (SPPC), Duwaiheen Nuclear Energy Company (DNEC) and Saudi Electricity Company (SEC).

The top project client outside of Saudi Arabia is the UAE’s Adnoc, which comes second only to Saudi Aramco in terms of the value of projects in the bidding stage. Adnoc is accompanied in its representation of the UAE in the ranking by Dubai’s Road & Transport Authority (RTA). 

The list is then rounded out by Algeria’s Sonelgaz and two Kuwaiti entities: Kuwait Authority for Partnership Projects (Kapp) and Kuwait Oil Company (KOC).

Both Saudi Aramco and Adnoc have more than $20bn-worth of projects under bid, followed closely by Neom, which has $17.6bn-worth of projects across its constituent masterplans, led by Oxagon, Trojena and The Line. 

The three Saudi utilities sector clients, SPPC, DNEC and SEC, then have $7.3bn, $6.5bn and $6.3bn under bid, respectively. Sonelgaz is close behind, with $6.2bn under bid, followed by Kapp, the RTA and KOC, with $6bn, $5.4bn and $4.9bn, respectively, under bid.

The line-up reflects the broader pattern of a strong concentration of project activity in the Mena region within the GCC, and especially within Saudi Arabia and the UAE, as the pre-eminent GCC projects markets. 

 Top pending projects in 2024 (to be published on 27 Dec 2023)

https://image.digitalinsightresearch.in/uploads/NewsArticle/11381712/main.gif
John Bambridge

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

Click here to register
Exclusive from Meed
Related Articles
  • Building resilience into infrastructure delivery

    21 October 2026

     

    The regional disruptions earlier this year tested Gulf supply chains, challenging the movement of goods and construction materials and raising questions about the ability of infrastructure programmes to maintain momentum.

    For the UAE Ministry of Energy & Infrastructure, the experience reinforced the importance of the systems that support project delivery, from transport networks and customs procedures to domestic manufacturers and international suppliers.

    “The disruption reinforced an important principle: infrastructure resilience is ultimately about the ability of the national system to continue operating under pressure,” says Mohammed Al-Mansoori, undersecretary for infrastructure and transport affairs.

    Supply resilience

    The ministry worked with ports, customs authorities, transport and rail operators, contractors, suppliers and the private sector to maintain the flow of essential goods and construction materials. It monitored critical materials and project schedules, identified alternative sources and adjusted procurement and delivery arrangements.

    The response included movement exemptions and facilitation measures for more than 6,600 lorries, while rail freight operations increased from approximately one journey a week to as many as seven journeys a day. Priority and green corridors were activated, customs procedures facilitated and critical shipments prioritised at ports.

    According to Al-Mansoori, these measures contributed to an estimated 25% reduction in transport costs, a 40% improvement in customs clearance times and an increase of approximately 15% in port capacity during the response period.

    For infrastructure projects, the ministry worked with local manufacturers and suppliers to identify alternative sources of road and construction materials meeting the required technical specifications and quality standards. This helped reduce reliance on disrupted international supply routes and support ongoing projects.

    The experience also highlighted the value of existing coordination mechanisms and partnerships.

    “It also reinforced a fundamental principle: resilience means ensuring that critical infrastructure delivery does not depend on a single supplier, a single route or a single mode of transport,” Al-Mansoori says.

    The ministry is planning to build on this experience by diversifying suppliers, strengthening domestic manufacturing and improving supply-chain monitoring.

    Resilience is increasingly being incorporated into procurement planning. For critical materials and services, the ministry aims to identify risks early, broaden the pool of qualified suppliers and ensure viable alternatives are available.

    The approach supports the UAE’s wider industrial objectives, including the national in-country value programme, which seeks to direct a greater share of procurement expenditure into the national economy.

    “Our objective is not simply to purchase more locally. It is to help create competitive national supply chains,” Al-Mansoori says.

    Domestic suppliers must be able to meet the technical requirements, quality standards and volumes demanded by major infrastructure programmes. Localisation is therefore about developing competitive industrial capabilities while shortening supply chains, improving responsiveness and encouraging investment.

    “Localisation is not simply a procurement choice; it is an investment in national capability and long-term resilience,” Al-Mansoori says.

    The ministry is also working with contractors to manage pressures from fluctuating material, insurance and transport costs. Its approach combines commercial discipline with early engagement to prevent external pressures from affecting project delivery.

    “Our approach is based on early engagement, transparency and disciplined commercial management,” Al-Mansoori says. “Long-term infrastructure delivery depends on strong contractors as much as it depends on strong contracts.”

    Contractors remain responsible for normal market and contractual risks, but the ministry seeks to assess exceptional pressures objectively, supported by evidence of their impact on costs and schedules. Realistic planning, early procurement and proactive risk management also help maintain momentum.

    “The objective is to strike the right balance between protecting the government’s commercial interests and securing best value for money, while maintaining an efficient, sustainable contracting market capable of continuing to deliver strategic infrastructure projects,” Al-Mansoori says.

    Resilience means ensuring that critical infrastructure delivery does not depend on a single supplier, a single route or a single mode of transport

    Project delivery

    The ministry’s focus on measurable outcomes is reflected in the Emirates Road enhancement project, which involves widening approximately 25 kilometres of Emirates Road from three to five lanes in each direction, alongside major improvements to Interchange No. 7.

    The works are expected to increase road capacity by up to 65% and reduce journey times by up to 45%.

    The project illustrates the ministry’s emphasis on assessing infrastructure by the benefits it delivers, rather than simply the scale of construction.

    “Infrastructure success should be measured by the value it creates – not just by the kilometres we build,” Al-Mansoori says.

    That principle is increasingly important as the UAE balances new construction with the long-term costs of operating and maintaining its assets. Decisions made during planning and construction can influence maintenance requirements, operating costs and performance for decades.

    For Al-Mansoori, resilience, domestic capability and effective delivery are closely connected. Stronger local supply chains can reduce exposure to external shocks, while closer engagement with contractors can help projects withstand cost pressures. 

    Don’t miss MEED’s MENA Construction Summit 2026, taking place under the patronage of the UAE Ministry of Energy & Infrastructure
     Secure your place as an attendee or request the sponsorship deck by clicking here or emailing us at meedevents@meed.com

     

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20810056/main.gif
    MEED Editorial
  • Riyadh tenders Expo 2030 Adaptation and Innovation Pavilion

    21 October 2026

     

    Register for MEED’s 14-day trial access 

    Expo 2030 Riyadh has tendered the design-and-build main contract for the Adaptation and Innovation Pavilion in the exhibition’s Technology District.

    The pavilion will be built on a plot of at least 12,710 square metres and will feature a two-level basement, ground-level public areas, an elevated skywalk, visitor experience areas, food and beverage outlets, retail space, VIP facilities, offices, back-of-house areas, exhibition spaces, an amphitheatre and a resonance hall.

    The facility is being designed to accommodate a minimum of 20,000 visitors a day at peak periods, with an anticipated average of about 15,000 visitors a day. The project targets LEED Gold certification.

    The tender was issued on 1 October, with bids due on 6 January 2027.

    The design-and-build contractor will be responsible for completing, reviewing, verifying, coordinating and technically integrating the design, including specialist contractor design portions and coordination with the novated lead design consultant.

    The scope includes completing early works and substructure activities, including grading, bulk earthworks, excavation, cut and fill, soil improvement, raft foundations, reinforced-concrete basement walls, basement columns through to the ground-floor slab, waterproofing, mechanical, electrical and plumbing (MEP) provisions, and backfilling.

    The contractor will also deliver the superstructure and building envelope, including structural works, facade engineering and installation, roofs, waterproofing, external finishes, and permanent facade access and maintenance systems. The internal works will cover front-of-house and back-of-house areas, public and core spaces, internal finishes, fixtures, fixed fittings, joinery, circulation areas, lobbies, stairs, toilets, storage, waste areas and associated builder’s works.

    The building services package includes MEP systems, information and communications technology, extra-low-voltage systems, building management systems, security, fire and life safety systems, specialist lighting and vertical transportation.

    The contract also covers the visitor experience package, including procurement, installation, integration, testing, commissioning and handover of visitor-facing environments, media, immersive and audiovisual technologies, interactive elements, experiential lighting, digital content, interpretive and wayfinding systems, controls and supporting infrastructure.

    Within-plot infrastructure and utilities, landscaping, public realm works, paving, planting, irrigation, signage, street furniture, drainage, stormwater systems, external lighting, security, and fire and life safety systems are also included.

    The contractor will be responsible for procurement, off-site fabrication, construction, testing and commissioning, performance verification, training, operations and maintenance documentation, operational readiness, handover, defects rectification and close-out.

    The main works tender is based on a 60% RIBA Stage 3 design, with the Stage 3 design to be completed to 100% through an addendum.

    Early works and substructure works, as well as the lead design consultant, will be novated to the contractor. Visitor experience works are included as a provisional sum.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20801465/main.jpeg
    Yasir Iqbal
  • Mubadala Bio lands Lilly logistics deal

    21 October 2026

    Mubadala Bio, the life sciences subsidiary of Abu Dhabi state investor Mubadala Investment Company, has signed an agreement with US drugmaker Eli Lilly to localise the packaging and logistics of Lilly’s glucagon-like peptide-1 (GLP-1) medicines in Abu Dhabi.

    The work will take place at a 125,000-square-metre site in Khalifa Economic Zones Abu Dhabi (Kezad), which includes packaging and warehousing facilities. Mubadala Bio said the facilities would strengthen its pharmaceutical contract manufacturing, packaging and logistics capabilities and its ability to serve international clients from the UAE.

    The packaging and logistics activities will be introduced in phases and will be subject to technical, quality and regulatory requirements. The companies did not disclose the value of the agreement or a timeline for the first phase.

    The Emirates Drug Establishment approved Lilly’s oral GLP-1 drug Foundayo (orforglipron) for chronic weight management in April. The companies said this made the UAE the second country in the world to register the medicine.

    In Abu Dhabi, the treatment is available to eligible patients under a weight management programme launched by the Abu Dhabi Department of Health and the Abu Dhabi Public Health Centre in June 2025. The UAE was also an early launch market for Lilly’s injectable treatment Mounjaro (tirzepatide) in August 2022.

    Mubadala launched Mubadala Bio in 2025 to expand domestic drug manufacturing and distribution, with a focus on national drug security. It is one of Mubadala’s designated national champions, set up to support strategic sectors. At launch, its combined facilities covered 110,000 square metres, with an annual capacity of more than 2.5 billion tablets and capsules and 120 million intravenous and injectable units.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20801279/main.jpg
    Colin Foreman
  • Chinese/local joint venture wins Qiddiya stadium facade

    21 October 2026

    Register for MEED’s 14-day trial access 

    A joint venture of China’s Fangda Group and Saudi Arabia’s IKK Group has secured a SR1.15bn ($306m) contract to deliver curtain wall facade works for the Prince Mohammed Bin Salman Stadium in Qiddiya City, Riyadh.  

    The contract was awarded by the joint venture of Spain’s FCC Construccion and local contractor Nesma & Partners, which is building the stadium under an estimated SR15bn ($4bn) main contract awarded by Qiddiya Investment Company (QIC) in October 2024.  

    The IKK-Fangda joint venture will design, supply and install curtain wall façade systems for the main stadium (Lot 1), as well as for the museum and ancillary buildings (Lot 3).

    The contract has an execution period of 863 days.  

    The stadium will seat about 47,000 spectators and will be the home ground for Saudi Pro League clubs Al-Nassr and Al-Hilal.

    The facade award follows the appointment of Elegancia Arabia, a subsidiary of Qatar-based Elegancia MEP and Estithmar Holding, to deliver the stadium’s mechanical, electrical and plumbing works.

    The SR829m ($221m) contract is Elegancia Arabia’s largest award in Saudi Arabia to date.

    The project is being designed by US-based consultant Populous.

    It is among the venues planned for the 2034 Fifa World Cup and will also host the Saudi King Cup, the AFC Asian Cup and the 2034 Asian Games.  

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20799367/main.jpg
    Yasir Iqbal
  • Zamil Steel wins $82m Qiddiya tennis centre contract

    21 October 2026

    Advanced Building Industries Company (Senaat) has announced that its subsidiary, Zamil Structural Steel Company (Zamil Steel), has secured a SR308m ($82m) contract for the National Tennis Centre in Qiddiya City, Riyadh.  

    The 19-month contract was awarded by the joint venture of France’s Bouygues Batiment International and local contractor Almabani General Contractors Company.  

    Zamil Steel’s scope includes the fabrication, supply and installation of structural steel and external facades for the scheme.   

    MEED reported in June that the Bouygues Batiment International-Almabani joint venture had started construction of the National Tennis Centre.  

    The development will include 30 tennis courts, comprising 28 hard courts and two clay courts. The main Centre Court will seat 15,000 spectators and feature a retractable roof.

    The facility is being designed to meet standards set by the Association of Tennis Professionals, the Women’s Tennis Association and the International Tennis Federation.  

    The development will also include an 8,000-seat multipurpose arena with a retractable roof, known as Court 3. Other facilities include a 5,000-seat Court 1, a 2,000-seat Court 2, six competition courts, six indoor courts and 14 practice courts. Each outdoor match court will provide 450 seats.  

    Total seating capacity across the complex will be 33,000. US-based architect Populous designed the project.  

    Qiddiya Investment Company officially announced the project on 15 June. The developer has said the centre will be the region’s largest tennis complex and will host international tennis events.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/20799055/main.jpg
    Yasir Iqbal