Railway schemes expected to start moving in early 2017

13 October 2016

There are $64bn-worth of rail and metro projects underway

Oman Rail recently met with contractors, several months after the first segment of its $15bn national railway was put on hold.

“There is a general indication they would be prioritising the rail that would link to the port in Duqm in the south-eastern part of the sultanate… but no definite timeline has been set [for the tender],” a source familiar with the project and who was at one of the meetings told MEED.

In September 2015, Oman Rail has prequalified engineering, procurement and contracting (EPC) contractors for several segments of the railway including the Gabah-Duqm line.

The prequalified EPC companies were:

It is understood that Oman Rail will likely to modify or adjust the design of the various rail segments to optimise cost and reduce investment. “As of now it is not clear if they intend to commission a new engagement with the design and engineering consultancy or conduct another round of prequalification for interested bidders,” the source added.

The first segment of the railway, whose main contract was expected to be awarded earlier this year, was put on hold a few months after the UAE’s Etihad Rail announced cancelling the tender for the second phase of its railway.

The original scope of the second segment involves building rail lines in Abu Dhabi emirate between Ghuweifat and Ruwais, a line to Jebel Ali in Dubai and a link to Al-Ain, where it would link up with the Omani railway. Segment 1 of the Omani railway was to run 207km between Sohar Port and Buraimi on the sultanate’s border with the UAE,

Kuwait is also expected to make post-feasibility study announcements for the country’s national rail road possibly in the first half of 2017. “It would be too optimistic to expect that they will start procurement… but we would expect them to at least announce whether they have decided between using a public-private partnership (PPP) or an engineering, procurement and contracting (EPC) model,” another source told MEED this week.

 An estimated $64bn-worth of mainline rail and urban projects are underway in the Middle East and North Africa, excluding Iran, according to MEED Projects data.

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Take advantage of our introductory offers below for new subscribers and purchase your access today! If you are an existing client, please reach out to your account manager.