Yanbu wind award expected in 2024
16 July 2024

The contract to develop and operate the 700MW Yanbu wind farm in Saudi Arabia is on track to be awarded by the end of 2024.
According to a source close to the project, the contract is expected to be awarded before the end of the year.
MEED understands a final clearance is being obtained before the contract can be awarded to the selected bidder, following the completion of the bid evaluation process.
The Yanbu wind independent power project (IPP) was one of three tendered under the fourth public tendering round of Saudi Arabia's National Renewable Energy Programme (NREP).
The contracts to develop the first two schemes, the 600MW Al-Ghat and the 500MW Waad Al-Shamal wind IPPs, were awarded in May to a team of Japan's Marubeni Corporation and the local Ajlan & Bros.
In addition to the Marubeni-led team, industry sources previously told MEED that the favourites to win the contracts were the teams separately led by Riyadh-based Acwa Power and France's Engie.
"That information is still confidential," the source said when asked which team had emerged on top during the bid evaluation process for the Yanbu wind IPP.
This development came after industry sources suggested that land issues could be a key factor holding back the award of the Yanbu wind IPP contract.
MEED reported in May that market expectations and speculation had intensified regarding the award of the Yanbu wind contract, as well as the winning bidder's proposed tariff.
At the time, some industry sources alluded to land issues as a key factor holding back the award of the contract.
An industry source also points out that Yanbu has lower wind potential and wind speed, resulting in a lower capacity factor compared to the other two locations. "It is interesting to see whether it results in a lower tariff offer," the source said.
World record-low tariffs
The Marubeni-led consortium has agreed to develop and operate the 600MW Al-Ghat wind IPP project with a new world-record-low levelised electricity cost (LCOE) from wind power of $cents 1.56558 a kilowatt-hour (kWh), or about 5.87094 halalas/kWh.
The 500MW Waad Al-Shamal project has also achieved a second world-record-low tariff for wind power of $cents 1.70187/kWh or 6.38201 halalas/kWh, the energy ministry announced.
The tariff achieved for Al-Ghat is almost 22% lower compared to the LCOE agreed for Saudi Arabia's first wind IPP, the 400MW Dumat Al-Jandal scheme, which was awarded in 2019.
Exclusive from Meed
-
Neom plans Oxagon freight rail connection with SAR network15 September 2026
-
Miral commits $3.2bn Yas Island investments14 September 2026
-
Contractors prepare bids for Oxagon wastewater plant14 September 2026
-
Saudi Arabia shuts East-West oil pipeline after drone strikes14 September 2026
-
WSP wins Dammam airport expansion design works14 September 2026
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Neom plans Oxagon freight rail connection with SAR network15 September 2026

Register for MEED’s 14-day trial access
Saudi gigaproject developer Neom has floated an expression of interest (EoI) notice to consultants for the design of a freight rail network connecting to the Port of Neom at Oxagon.
The scope of work includes project feasibility studies, concept design and route alignment.
The EoI notice was issued on 14 September, with a submission deadline of 16 September.
The estimated 400-kilometre (km)-plus rail line is expected to connect the Port of Neom with Saudi Arabia Railways’ (SAR) North-South Railway at the Al-Baseeta junction.
SAR’s North-South Railway is a 2,750km network built primarily to move minerals from mines in the north of the kingdom to industrial and export hubs on the Gulf coast. Its core route links the Al-Jalamid and Baitha phosphate and bauxite mines to Ras Al-Khair, Jubail and Dammam, with branch lines to Riyadh and to the Jordanian border at Al-Haditha.
Al-Baseeta junction, where Oxagon's proposed line would connect, sits on this network in Al-Jawf province, in the northwest of the country. The railway also carries a passenger service between Riyadh and Qurayyat, and has transported commercial freight such as sulfur and phosphoric acid.
The Port of Neom currently has no rail link to the rest of Saudi Arabia, meaning cargo landing there depends on road transport or a further sea leg to reach Riyadh, the Gulf coast or export markets beyond.
Connecting to the North-South network at Al-Baseeta would give the port direct rail access to the kingdom’s interior and, via existing branch lines, to Jordan and the Gulf coast industrial cluster around Ras Al-Khair, Jubail and Dammam.
The proposed link would also give SAR’s network a new outlet to the Red Sea. Until now, the North-South Railway has been oriented around Gulf coast export points, but a connection to Oxagon would provide a second maritime gateway on the opposite coast, allowing mineral and freight traffic from the north of the kingdom to reach either coastline.
The latest development follows Saudi Arabia’s Public Investment Fund (PIF) naming Neom as one of six strategic ecosystems in its 2026-30 strategy.
The backing comes as Neom’s operational focus appears to be evolving in response to shifting regional dynamics and global economic conditions. For example, on 15 April Neom posted on its official X account about a new Europe-Egypt-Neom-GCC corridor, describing it as a faster route for time-sensitive goods.
Oxagon project progress
Several major projects have made steady progress at Oxagon. Earlier this month, Saudi artificial intelligence (AI) company Humain and data centre developer DataVolt started construction on an AI data centre at Oxagon.
Last month, construction works on the $8.5bn Neom Green Hydrogen project at Oxagon were completed, and the facility has now entered the commissioning stage ahead of commercial operations targeted for 2027.
The project is designed to produce up to 600 tonnes a day of green hydrogen, which will be converted into green ammonia for export. It is supported by about 4GW of solar and wind power generation capacity, with the renewable power generated being used to produce hydrogen through electrolysis.
In 2024, Neom awarded an estimated SR4bn ($1bn) contract to a joint venture of El-Seif Engineering Contracting, Hassan Allam Construction and China Harbour Engineering Company for Terminal 1.
The Duba port expansion has progressed in two phases, awarded respectively to Boskalis/Besix/Modern Building Leaders and Deme/Archirodon.
The port has operated since 2022 and currently handles 250,000 twenty-foot equivalent units (TEUs), with capacity planned to reach 1.5 million TEUs by 2030.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19663898/main.jpg -
Miral commits $3.2bn Yas Island investments14 September 2026
Abu Dhabi’s Miral has announced plans to invest over AED12bn ($3.2bn) in Yas Island over the next five years.
According to a statement, the investment will fund a pipeline of new projects, as well as expansions and enhancements to existing attractions, supporting Abu Dhabi’s Tourism Strategy 2030.
The next phase of development will focus on expanding Yas Island’s theme parks and attractions, while introducing new immersive rides and experiences that reflect changing visitor expectations.
The investment will also strengthen the island’s hospitality offering through additional hotel rooms and enhancements to its overall accommodation portfolio.
The investment is separate from the previously announced Disney project.
Miral recently started the expansion works of its Harry Potter-themed expansion at the Warner Bros World Yas Island entertainment destination in Abu Dhabi.
The scope of the Warner Bros World phase two expansion includes adding 63,000 square metres (sq m) to the existing theme park.
This will include a Harry Potter-themed zone with three new rides called Diagon Alley, Hogwarts Castle and The Forbidden Forest, along with retail outlets and food and beverage facilities.
Yas Waterworld
Miral has developed a series of theme parks and other entertainment-related attractions on Yas Island, working with several local and international contractors.
In July last year, Miral opened a new 16,900 sq m expansion of its Yas Waterworld park to the public.
The expansion added 3.3 kilometres of slide sections to the park. The addition of 18 new rides and attractions, bringing the total number of rides to more than 60, is expected to increase visitor capacity by 20%.
Construction was carried out by local contractor Alec.
Disney park
The Walt Disney Company and Miral signed an agreement in May to build a Disney theme park resort on Yas Island.
Disney, which is based in the US, said the Abu Dhabi site will be its seventh theme park resort. The others are in California and Florida in the US, Paris in France, Hong Kong and Shanghai in China, and Tokyo in Japan.
In a statement, Disney noted that the UAE is located within a four-hour flight of one-third of the world’s population, making it a significant gateway for tourism. It is also home to one of the world’s busiest airline hubs, with 120 million passengers travelling through Abu Dhabi and Dubai each year.
The Disney theme park resort in Abu Dhabi will include entertainment areas, themed accommodations, dining venues and retail experiences.
In 2023, Miral opened SeaWorld Abu Dhabi, also on Yas Island. Alec was the contractor for the estimated $565m project.
In 2018, Miral opened the Warner Bros theme park on Yas Island. Belgium’s Besix was the contractor for the estimated $531m project.
Other Miral projects have included the Etihad Arena and the indoor climbing and skydive centre Clymb. Bam International of the Netherlands was the contractor for the arena and Germany’s Zublin was the contractor for Clymb.
Yas Island was launched as a project in 2006 by local developer Aldar Properties. The original centrepiece attractions were the Yas Marina Circuit, which hosts Formula 1 motor racing’s annual Abu Dhabi Grand Prix, and the Ferrari World theme park.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19645816/main.jpg -
Contractors prepare bids for Oxagon wastewater plant14 September 2026

Contractors are preparing to submit bids to build a wastewater treatment plant for Oxagon, Neom’s industrial cluster.
The industrial wastewater treatment package will have an initial capacity of 35,000 cubic metres a day (cm/d), supplied in modular trains of 5,000 cm/d each. A separate sanitary wastewater treatment package will have a capacity of 1,000 cm/d.
The contract is structured as a design-build-operate project and covers the supply, installation and commissioning of industrial and sanitary wastewater treatment packages, as well as three years of operation and maintenance.
Bids are due on 2 October, a source close to the project told MEED.
It is understood that Neom’s water utility Enowa issued the request for proposals earlier this year. The plant is designed to provide “interim wastewater treatment” capacity for Neom’s Oxagon Industrial Quarter as industrial development in the area progresses.
Enowa has described the treatment systems as interim and de-mountable, allowing them to be installed and subsequently removed or relocated as requirements at Oxagon develop. The plant can be expanded to a maximum of 45,000 cm/d.
The tender documents also state that Neom may consider export credit agency (ECA) financing for the project, with the strength of bidders’ ECA financing proposals forming part of the commercial evaluation.
The project follows an earlier tender for the Oxagon Village Water Recycling Plant, which was cancelled despite contractors submitting bids in 2024.
MEED reported at the time that Beijing-based PowerChina, the local Alfanar Company and Cairo-headquartered Orascom had submitted bids for the project. It is understood that these firms are also likely to participate in the latest tender.
The earlier scheme included truck receiving facilities, pretreatment, biological treatment using food chain reactor technology, tertiary treatment, sludge handling and recycled-water storage.
The latest procurement appears to represent a reworked approach to wastewater treatment at Oxagon Industrial Quarter, with the previous engineering, procurement and construction scheme replaced by an interim, modular and de-mountable facility.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19640903/main.jpg -
Saudi Arabia shuts East-West oil pipeline after drone strikes14 September 2026
Saudi Arabia has temporarily closed its 1,200-kilometre East-West pipeline after it was targeted by multiple drones launched from Iraq, disrupting one of the kingdom’s most critical energy export routes and threatening global oil supplies already strained by conflict across the region.
The Ministry of Energy said the pipeline, which connects the Abqaiq oil field in the east to the Red Sea port of Yanbu, was hit in the Riyadh and Medina regions on 12 September. Specialised teams have begun securing the facility and assessing damage. A Foreign Ministry statement said the attack resulted in injuries and “some damage that is currently being addressed”.
The closure removes about 4 million barrels a day from the global market, representing 4% of world oil supply. The pipeline’s role has become increasingly critical since the US-Iran conflict forced a near-complete shutdown of flows through the Strait of Hormuz in March.
Saudi Arabia has been using the East-West route to bypass the chokepoint, but the assault has left the kingdom dependent on substantially reduced Hormuz exports and Red Sea shipping routes now threatened by Iran-backed Houthi forces in Yemen.
Iraqi Prime Minister Ali Al-Zaidi’s office confirmed the drone strike on the East-West Pipeline originated in the Maysan province, which borders Iran. The government formally condemned the attack, announced an investigation into the Maysan operations command and dismissed its commander. No armed group has claimed responsibility, but security analysts attribute the strike to Iran-backed militias operating from Iraqi territory.
Riyadh said it was not retaliating “at this stage”, choosing instead to support Iraqi efforts to prevent further strikes from its territory.
The attack comes amid wider regional upheaval. Houthi forces have rapidly advanced along Yemen’s coast, seizing the strategic Mokha port and the Zuqar Island in the southern Red Sea, moving closer to the Bab El-Mandab strait. Saudi authorities said the group simultaneously launched dozens of drones and missiles at the southern kingdom on 11 September, striking civilian and economic targets and injuring 73 people.
Oil analysts and traders reported that Yanbu’s storage capacity, estimated at around 35 million barrels, now holds supplies sufficient for only five to seven days of exports without pipeline operations. Storage facilities at Egypt’s Ain Sokhna and Sidi Kerir ports have similar constraints. Repair timelines remain uncertain, with sources citing estimates ranging from days to five or six weeks.
The dual disruption of both the pipeline and Red Sea shipping has compressed global energy supplies. Energy analysts warned that without pipeline repairs, oil prices could return to the $120-a-barrel peak reached earlier in the regional conflict.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19641513/main.gif -
WSP wins Dammam airport expansion design works14 September 2026
WSP Middle East, the regional arm of Canadian engineering firm WSP, has won a design contract to expand King Fahd International airport in Dammam, Saudi Arabia.
Dammam Airports Company (DACO) awarded the contract.
The scope includes designing passenger terminal expansions, facility upgrades, and improvements to airport entrances and access roads.
It also covers the development of baggage-handling systems, digital services and other associated infrastructure.
The expansion works will be carried out in line with the airport’s approved masterplan, which targets serving more than 19 million passengers a year by 2030.
The plan also aims to increase air cargo capacity to more than 600,000 tonnes a year and raise aircraft operational capacity to 77 movements per hour, supported by comprehensive expansions to infrastructure, runways and general aviation facilities.
This contract forms part of DACO’s ongoing efforts to strengthen the airport ecosystem, enhance operational efficiency, and support the Aviation Programme and Saudi Vision 2030 objectives.
King Fahd International airport is the kingdom’s third-largest airport by annual passenger traffic, behind Jeddah’s King Abdulaziz International and Riyadh’s King Khaled International.
DACO was formed in July 2017 to manage, operate and develop King Fahd International airport in Saudi Arabia’s Eastern Province.
It was established as part of the broader Saudi Vision 2030 privatisation and economic reform programme to corporatise the aviation sector, increase operational efficiency, upgrade infrastructure, and transition state-run airports into commercially viable, world-class regional aviation hubs.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19639910/main.jpg