The follow-up committee of initiatives of the UAE president has approved two road contracts in the Northern Emirates worth an estimated total value of AED435m ($118.4m).

The committee has approved the new Ras al-Khaimah ring road and the first phase of the Khorfakkan western ring road, according to the government’s Emirates News Agency (Wam).

MEED recently reported that the UAE’s Public Works Ministry had received bids from 12 companies for the contract to build the new Ras al-Khaimah ring road in the northern emirate.

The low bidder for both of the contracts was Saudi Arabia’s Al-Rahji Contracting with a price of AED377m ($103m) for the first option and AED297m for the second. Al-Rahji’s first option price was about 13 per cent lower than the second lowest bidder, the local Darwish Engineering, which submitted a bid of AED431m. Al-Rahji’s second option price was also about 13 per cent lower than Darwish’s bid of AED459m.

The full list of bidders and prices were:

• Al-Rahji Contracting (Saudi Arabia): AED377m and AED397m
• Darwish Engineering (local): AED431m and AED459m
• Al-Naboodah Contracting Company (local): AED435m and AED460m
• Sharjah General Contracting Company (local): AED437m and AED465m
• China State Construction Engineering Corporation (China): AED446m and AED471m
• Ghantoot General Contracting (local): AED454m and AED AED482m
• National Contracting & Transport Company (local): AED459m and AED488m
• Dutco Balfour Beatty (local/UK): AED480m and AED507m
• Saudi Binladin Group (Saudi Arabia): AED500m and AED530m
• Wade Adams Contracting (local): AED507m and AED538m
• National Wheel J&P (local/Cyprus): AED518m and AED549m
• Batco (Lebanon): AED522m and AED550m

The consultant working on the project is the US’ Parsons International.

The 4-kilometre Khorfakkan western ring road will serve as an alternative route for vehicles going to Khorfakkan Port in Sharjah and other surrounding areas.

In 2008, UAE President Sheikh Khalifa bin Zayed al-Nahyan allocated AED16bn for infrastructure projects in the Northern Emirates. The funds are being spent on improving roads, sewage and drainage systems, and schools and hospitals.