The Gulf Projects Index rose 0.4 per cent in the week up to 3 June, led by growth in Iran, Saudi Arabia and the UAE.

Iran was the biggest gainer of the week, as the value of schemes planned or under way grew by 3.1 per cent. The increase was due to the revival of $2bn-worth of projects by National Iranian South Oil Company to build gas and natural gas liquids plants in the country. 

Saudi Arabia, the region’s largest projects market, grew by 0.6 per cent, driven by the launch of the first major package on the Finance Ministry’s planned $2.4bn Governmental Authorities Complex in Riyadh. The ministry plans to develop the infrastructure of the complex and then hand over plots of land to ministries to develop headquarters and other associated facilities.

Project updates
  Project name Project status
Iraq Housing project in Dhi Qar Cancelled
Kuwait New Palace of Justice On hold
Saudi Arabia Government Authorities Complex in Riyadh Main contract bid
Saudi Arabia Jizan power plant: water intake facility Execution
UAE Dana Island: Shahrukh Khan Boulevard Revived
For further information visit www.meed.com/meedprojects

The projects market in the kingdom was also boosted by the $2.6bn upward revision in the expected cost of the scheme to expand Riyadh’s King Khaled International Airport.

The UAE saw the third-largest gain in the region, as its projects index rose 0.3 per cent, due mainly to the launch of eight new projects worth a total of $432m. 

Upcoming tender deadlines
  Client Contract Submission date
Saudi Arabia Health Ministry King Khaled Medical City Jun-14
Egypt General Authority for New Urban Societies Provision of public utilities for social housing project Jun-14
Qatar Public Works Authority (Ashghal) Design, build and operation of Musaimeer pumping station 30-Jun
Oman Regional Municipalities, Environment & Water Resources Design, construction supervision of a flood protection scheme 08-Jul
Egypt New & Renewable Energy Authority Design, manufacture and construction of 120MW wind farm 20-Jul
For further information visit www.meed.com/tenders

Oman posted the biggest drop in the index, as the value of schemes planned or under way fell by 0.5 per cent. This was largely due to the removal of the $500m project by Dubai-based Drydocks World to build the Water Discus Hotel.

Kuwait posted the second-largest decline of 0.4 per cent, as the Ministry of Public Works put on hold a $580m scheme to build the New Palace of Justice. Despite the decrease, Kuwait’s projects market has enjoyed a strong year to date and is now the second-fastest growing market in the Gulf region, with the value of its projects index up 16.8 per cent year-on-year.

Contract awards

Biggest contract $550m

Awarded to China Harbour Engineering Arabia for engineering, procurement and construction work on Saudi Aramco’s Jizan gasification project in Saudi Arabia

$949m Value of major contract awards

5 Number of contracts awarded

For further information visit www.meed.com/contracts