Saudi Arabia’s Interior Ministry has received bids from contractors for the retendered phase 2 of its multibillion-dollar security compounds network programme.

The ministry received prices from eight contractors for the construction tender, known as King Abdullah Project (KAP) phase 2a. The package will include training facilities, campus buildings and schools for public service staff and their families.

The local Jawdat Contracting Company submitted the low bid of SR2.34bn ($613m). This was 5 per cent lower than the SR2.48bn price submitted by the local El-Seif Engineering Contracting Company, the second lowest bidder.

The other prices were as follows:

• Al-Rashid Trading & Contracting Company (local): SR2.69bn
• Al-Arrab Contracting Company: SR2.79bn
• J&P (Cyprus-based): SR2.99bn
• Etihad Engineering Company (local): SR3.15bn
• ABV Rock Group (local): SR3.46bn
• Saudi Binladin (local): SR3.89bn

The package, renamed 2a, was formerly part of the package awarded to the local Saudi Oger in 2011. The ministry cancelled Oger’s contract in 2012, the reasons for which have not been made public.

The ministry recently awarded an estimated SR2.8bn ($747m) contract to build the fourth phase of KAP in Saudi Arabia. The local Al-Rashid Trading & Contracting Company is expected to win the two other packages.

The fourth phase of the security compounds programme was tendered by Saudi Arabia’s Interior Ministry as one contract in May 2012. The contract is the fourth to be tendered by the ministry as part of its plans to build a network of security compounds throughout the kingdom. It involves building headquarters buildings at 13 locations across the kingdom.

The local Saudi Binladin has been awarded the construction contract for the third phase of the programme, according to sources within the kingdom. In January, contractors were invited to submit bids for the fifth phase of the scheme.

The KAP programme 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 five phases of the project.

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, Medina, Taif, Al-Jouf and on Saudi Arabia’s northern borders.