The Gulf Project Indexs negative growth trajectory continued during the week ending on 27 November, with a decline of 0.1 per cent compared with the previous week.
$2.4bn Value of projects put on hold in the UAE
21 Number of new projects announced in Saudi Arabia
$2bn Value of new projects in Iran
Saudi Arabia shed 0.6 per cent off its index value, equivalent to a decline of $6.6bn on its $1 trillion projects market. The kingdoms decline weighed on the rest of GCC states projects markets, which together registered a 0.3 per cent drop during the week.
The overall performance of the regional projects market index would have been worse without a major gain of 1.2 per cent made by Irans projects market.
|Projects planned or under way 27 November 2015 ($m)|
|27-Nov-15||12-Nov-15||Change on week (%)||25-Nov-14||Change on year (%)|
|For further information visit www.meed.com/projects/gulf-projects-index|
Irans gains were primarily due to $2bn-worth of new oil projects: the Qeshm topping plant in Hormozgan; and the Farzanegan Gas Condensate Refinery in Bushehr.
Besides Iran, projects markets in Kuwait and Bahrain gained 0.6 and 0.8 per cent on the weekly index, respectively.
|Project updates this week|
|Project name||Project status|
|Iran||Qeshm topping plant||Execution|
|Iraq||Al-Qibla sewage project||Main contract bid|
|Kuwait||Crude pipeline: North Kuwait to Central Mixing Manifold||Main contract bid|
|Qatar||Zekreet gasoline production facility: phase 3||Study|
|Saudi Arabia||Strategic Storage: phase 1 in Taif and phase 2 in Mecca||Main contract bid|
|For further information visit www.meedprojects.com/home|
New projects worth $1.4bn appeared on Kuwait projects market. These include two hospitals, with combined budgets estimated at $900m, an oil pipeline, a separators facility for the Kuwait Oil Company, and a commercial tower.
Bahrains gains relied mainly on three new projects, with a combined estimated budget worth $320m, and an upward adjustment of $310m for a mixed-use project at the Bahrain Financial Harbour.
The projects markets in Qatar and UAE fell by 0.1 per cent and 0.2 per cent, respectively.
|Upcoming tender deadlines|
|UAE||National Real Estate Company||Reem Mall||13-Dec|
|Saudi Arabia||Saudi Electricity Company||Taiba power plant||30-Dec|
|Qatar||Supreme Committee for Delivery & Legacy||Rayyan stadium||10-Jan|
|UAE||Roads & Transport Authority||Route 2020 metro extension||10-Jan|
|UAE||Sharjah Electricity & Water Authority||Hamriyah power plant expansion||07-Feb|
|For further information visit www.meed.com/news/tenders|
Budget revisions across 45 projects in the UAE netted a decline equivalent to $893m, which further compounded the change in status to on hold of six projects that have a combined estimated budget of $2.4bn. The $2bn Bab integrated facilities expansion of Abu Dhabi Company for Offshore Oil Operations (Adco) was the largest project in the UAE that has been put on hold.
The completion of $7.6bn-worth of projects triggered the decline in Saudi Arabias projects index value during the week, regardless of the addition of 21 new projects, which budget value is estimated to total only $1.5bn. The kingdoms index value is also nearly 18 per cent lower year-on-year.