Ministry receives bids for Saudi security compounds

22 May 2012

Local contractor is low bidder with price of $1.96bn

Saudi Arabia’s Interior Ministry has received bids from contractors for the construction package on the fourth phase of its security compounds programme, which involves building headquarters buildings at 13 locations across the kingdom.

The local bidder is the local Assad Saeed Company for Contracting with a price of SR7.36bn ($1.96bn), which is just 0.3 per cent lower than the second lowest bid of SR7.382bn submitted by the local Al-Rashid Trading & Contracting Company.

Two other bidders submitted offers that were less than SR8bn. They were the local Al-Arrab Contracting Company with a price of SR7.59bn and the local Azmeel Contracting & Construction Corporation with a price of SR7.86bn.

The other bidders are Mohammed Ali Alswailem Co at SR8.39bn, El-Seif Engineering & Contracting at SR9.43bn, the local Al-Yamama Company at SR9.43bn, Jawdat Contracting Company at SR9.44bn, Beijing-based China Railway Construction Corporation at SR9.94bn, the local Saudi Binladin Group at SR10.29bn, the local Nesma Group at SR10.35bn, Seder Construction Company at SR10.88bn, the local Saudi Oger SR11.1bn, the local ABV Rock Group at SR11.47bn, and Cyprus-based Joannou & Paraskevaides (Overseas) at SR11.59bn.

The contract is the fourth to be tendered by the ministry as part of its plans to build a network of security compounds throughout kingdom. The overall scheme will cover the construction, operation and maintenance of 28 types of facilities at more than 50 locations. In total, the ministry is expected to spend more than $13bn across the four phases of the scheme.

In July 2011, the Interior Ministry received 11 bids for the third phase of the security compounds network. The low bidder is the local Seder Construction Company with a price of about SR10bn ($2.7bn). Contractors are still waiting for the project to be awarded.

The security compounds will be used to house, educate and train members of Saudi Arabia’s public security, civil defence service, police force, passports division and special security and investigative forces. The facilities have been designed to include schools, mosques, theatres, civilian dormitories, military barracks, administration buildings, training facilities and buildings for recreation and entertainment.

Most of the security premises will be constructed in and around Riyadh, but facilities will also be built in the provinces of Qassim, Hail, Tabuk, Jeddah, Medinah, Taif, Al-Jouf and on Saudi Arabia’s northern borders.

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