Saudi Focus

China wins $32.5m rail contract

October 2014

SAUDI ARABIA has awarded a contract to China Railway Construction Corporation for the renewal of the freight railway line between Dammam and Riyadh.

The SR122.8 million ($32.5 million) deal was signed by Saudi Railways Organisation (SRO) president Mohamed Khalid Al Suwaiket with Chinese authorities, said an Arab News report.

The contract covers the first phase of the renewal project of 78.4 km.

SRO is also working on completing the bidding documents for the second phase of the renewal project covering 91 km of the freight line between Dammam and Riyadh, the report added.

This 21-month contract is part of SRO’s efforts to upgrade and develop the efficiency of the existing railway network as well as the transport fleet of wagons and locomotives, said Al Suwaiket.

The project is aimed at helping SRO to increase its share of the freight market, he added.

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