PROJECTS: Tenders scheduled for Saudi NEOM project by Q1 2021

Tenders comprise of construction contracts and request for proposals

  
Mobile Crane on a road and tower crane in construction site. Image used for illustrative purpose.

Mobile Crane on a road and tower crane in construction site. Image used for illustrative purpose.

Getty Images/ Chaiyaporn Baokaew

Key utility and infrastructure tenders for the Saudi mega project NEOM are expected to be released in the first quarter of 2021.

The Public Investment Fund (PIF) is expected to release the main construction tender for Neom Backbone Infrastructure Tunnel Section by first quarter 2021, a source aware of the details said.

"The tender for the main contract is expected to be released by early March 2021," the source told Zawya Projects, adding that the project is scheduled for completion by December 2023.

Apart from local companies, international contractors invited to submit prequalification documents included Hyundai Engineering & Construction, Larsen & Toubro, Itinera, Samsung C&T, Salini Impregilo, and FCC Construction, officials from these companies confirmed with Zawya Projects.

The scope of work includes the simple excavation of 48km tunnel section work, Cut and Cover Tunnel section work, Drill and Blast work, viaducts, security barriers, pedestrian walkways, infrastructure works, asphalt works and associated civil works, a second source told Zawya Projects.

The project value, as estimated by the first source, is $150 million.

Meanwhile, ACWA Power, which is an equal partner in the development of NEOM's $5 billion world-scale green hydrogen-based ammonia production plant powered by renewable energy with PIF and Air Products, is seeking proposals for the construction of substations, transmission line and marine facilities for the project, a third source told Zawya Projects.

"The developer has released the Request for proposal (RFP) for the Wind Farm 380kV Substation and 380kV BSP substation and Transmission line packages," the source said, adding that RFP for marine facility is expected to be released by the third week of January 2021.

He estimated the value of the Wind Farm 380kV substation package at $150 million; the value of 380kV BSP substations and transmission line package at $200 million and of marine facilities package at $50 million.

All three packages are scheduled for completion by December 2023, he added.

(Reporting by Senthil Palanisamy; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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