Saudi Railway awards project management contract for USD 7 bn land bridge: The Saudi Railway Company (SAR) has awarded a consortium that includes US-based construction management firm Hill International, Italian consulting firm Italferr, and Spanish engineering firm Sener the contract to manage the construction of the USD 7 Riyadh-Jeddah land bridge megaproject, Meed reported last week.

Refresher: The project is set to connect the Kingdom’s Red Sea coast to the coast of the Arab Gulf. SAR received bids for the contract in October 2022, with the consortium beating rival nids from Systra and a consortium of Parsons and Egis, the International Railway Journal (IRJ) reported last week.

Who else is involved? The Saudi China Landbridge consortium — led by SAR, China Civil Engineering Construction Company (CCECC), and Al Ayuni as a local partner — signed an MoU to implement the project in October 2018. Thales, WSP, Aldhabaan & Partners, the local partner of British law firm Eversheds & Sutherland, ALG Infrastructure, and Calx Consultancy are also involved.

About the project: Construction work on the project will include a mixture of upgrades and new line construction which are expected to take seven years to complete, according to IRJ. When it’s done, the new railway will include six lines:

  • Work on the first line will involve upgrading and adding a 10km extension to the Jubail Industrial city’s internal network;
  • Work on the second line will add a 35km extension to the Jubail-Dammam railway line;
  • The third line will involve revamping and adding an 87km extension tothe Dammam Riyadh line;
  • The fourth line, known as Riyadh bypass, will include polishing up an already-existing network in the city — which connects the northside of the capital to the southside — and is composed of a 67 km track and a separate 35 km spur;
  • The fifth track will link Riyadh to Jeddah via a 920 km railway line, and Jeddah to King Abdullah Port via 146 km of track, in addition to stations in Jamuma, Al Muwayh and in Al Dawadmi;
  • The 172 km sixth line will link King Abdullah Port to Yanbu Industrial city.

The project also includes the development of seven logistics centers: Jubail Industrial City Logistics Centre, Damman Logistics Dry Port, a relocated Riyadh Dry Port, King Khalid Airport Logistics Centre in Riyadh, Jeddah Logistics Dry Port, King Abdullah Port Logistics Centre and Yanbu Industrial City Logistics Centre.

It has been in the works for decades: Plans to develop the Saudi Landbridge project were originally announced in 2004 but were suspended in 2010. Though it was revived in 2011, progress has been relatively slow since then. It remains one of the kingdom’s most anticipated infrastructure projects, with Crown Prince and Prime Minister Mohammed bin Salman confirming the government’s commitment in June 2021 in tandem with the launch of the National Transport and Logistics Strategy.

What’s next: SAR could kick off work on the project, which includes constructing the new 950-km railway between Riyadh and Jeddah, early next year, according to IRJ. The negotiations on the final cost and financing structure are also in their final stages, it added.

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