Saudi Arabia’s National Water Company (NWC) has awarded a contract to Spain’s Aqualia to manage water leaks in Riyadh.

The two-year water management contract, which is worth €27m ($37m), was signed on 28 February.

It is the Spanish company’s first win in the GCC although its parent company, FCC, has a presence in the region.

Leakages are a major problem in Saudi Arabia because the cost of producing water is high.

As a result, NWC launched a series of private water management contracts, including large contracts for Riyadh, Jeddah and Mecca and Taif.