The successful contractors will excavate and shore up more than 200 million cubic metres of earth, and fill in crevices and wadis to ensure a flat surface for the railway track laying (MEED 4:8:06).

The first of the 42-month contracts covers a section around Hail. The local joint venture (JV) of Al-Fahd with Al-Omair has received a LoI for this section after its bid of SR 1,168 million ($275 million).

For the Jawf section, the local Al-Khodary Sons Company has received a LoI after submitting the low bid of SR 877 million ($234 million) in June.

The other bidders for both packages were the JV of Saudi Oger with Saudi Pan Company for Trading Industry & Contracting (Sapac) and a JV of the Saudi Binladin Group with the Sweilham Group. An award is expected by late August.

The packages are the first to be tendered on the rail project, which aims to transport phosphate from the Al-Jalamid deposit and bauxite from the Al-Zabirah deposit, both northwest of Riyadh.

A total of 18 prequalified consortiums have been given until 24 September to bid for the first three civil and trackwork packages. A group led by the US' Louis Berger is the design and project management consultant (PMC) on the railway project.

www.meed.com/transport