Saudi Arabia’s Knowledge Economic City (KEC) has signed a framework agreement with China Gezhouba Group International Engineering Company (CGGC) to support the development of the Saudi company’s projects.
Under the six-month agreement, CGGC will cooperate in the engineering, procurement, and construction (EPC) phase for KEC projects, such as Hub Residence, Al-Alya mixed-use project, and South Area infrastructure, the company said in a statement to the Saudi stock exchange.
In addition, CGGC will work with KEC to implement project planning, commercial proposal, and technical proposal for other projects such as KEC Hub Hospitality, Islamic World District project, sewage treatment plants and the South Suburb project.
CGGC, along with its China Energy Engineering Corporation and other affiliates, will work with Chinese financial institutions in financing, finding potential investors or enter with KEC into equity investment, directly or indirectly, through funds or other capital structure, to participate in the development of projects, the statement added.
The move is in accordance with Saudi rules and regulations of foreign investment, which enables the implementation of the targeted projects that aim to provide about 16,600 hospitality and residential units and other components of the projects.
CGGC is one of the top companies carrying out the Belt and Road Initiative (BRI), focusing on water conservancy, hydropower, thermal power, renewable energy, highways, railways, airports, ports, municipal works, buildings and oil and gas sectors.
(Writing by D Madhura; Editing by Anoop Menon)