Riyadh to award security fence contract within weeks

25 April 2008
Riyadh is expected to award the long-awaited contract to build the northern border security fence within weeks.

The local Rashid Trading & Contracting Company (RTCC) has emerged as the low bidder for the project after submitting a bid of SR3.9bn ($1bn), in a joint venture with European Aeronautic Defence & Space Company (Eads).

The client, the Defence & Aviation Ministry, is still evaluating bids and, according to one contractor bidding for the project, the award is due in “a maximum of four weeks”.

However, the award will not necessarily go to the lowest bidder, as an emphasis is being placed on bidders’ technical ability rather than just price.

The local Al-Arrab Contracting Company offered the second-lowest bid, followed by the local Al-Khodary Sons Company and a consortium of the local Shouman International for Development with the Sadaka Group for Maintenance & Operation. The contract is split into four packages, which cover the fence, the security system, infrastructure, and training and maintenance. A total of 13 contractors have bid for the project, although not all have bid for all four packages.

The contract was originally tendered to local contractors in early 2006, with Al-Arrab entering the lowest bid. However, because of a revision in the scope of the project, contractors were later asked to resubmit bids.

Measuring 900 kilometres, the fence will have two lines of razor wire, with a second fence several kilometres behind it. (MEED 16:11:08).

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