Contractors vie for $6.4bn of Oxagon port work

06 December 2023
The industrial port is a critical element of the $500bn Neom development

 

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Tendering activity is ramping up at Neom’s Oxagon development, with contractors competing for an expected SR24bn ($6.4bn) of construction work at the industrial city’s port. 

Contractors have been invited to bid by 27 December for an estimated SR12bn design and build contract to deliver infrastructure and building works for Terminal 1 at Oxagon Port. The contract award is expected in February 2024.

The scope of the package includes excavation and dredging, revetments for channel widening, demolition and construction of a new longer quay wall, container terminal quay expansion and earthworks, in addition to the development of a flexible quay, construction of several new buildings and infrastructure works. Contractors will be required to appoint a consultant for design execution.

Contractors have already submitted bids for another estimated SR12bn package that covers building work for the port’s cargo terminal.  

Jacobs is the lead design consultant for the Oxagon port project.

The packages are the latest to be tendered for the port. In October, Neom selected the joint venture of Belgium’s Deme and Greece’s Archirodon for the estimated $1bn contract to complete the next phase of the Duba port expansion at Oxagon industrial city.

The second phase follows the award of a contract to deliver the first phase of the port expansion. A team of Boskalis, Besix and the local Modern Building Leaders (MBL) was awarded that estimated SR3bn ($800m) contract in mid-January.

The scope of the Duba port expansion package includes excavation and dredging, revetments for channel widening, demolition, container terminal quay expansion and earthworks, in addition to the development of a flexible quay, a roll-on/roll-off (RoRo) berth and quay walls to a marine services berth and a coast guard facility.

Crown Prince Mohammed bin Salman launched Oxagon in late 2021. It will include onshore elements as well as floating structures offshore. Construction works on the 48 square-kilometre, eight-sided industrial city have already started.

An expanded Duba port is a critical component of Oxagon and the broader Neom development, as it will allow greater volumes of materials to be imported for the project. With an expected investment value of $500bn, Neom is the world’s largest construction work programme.

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