EXCLUSIVE: Abu Dhabi moves on stalled rail project

28 November, 2017 | By JENNIFER AGUINALDO

Abu Dhabi has re-engaged with stakeholders for the design and route alignment for the upcoming phases of Etihad Rail, the UAE’s federal railway network.

This includes the rail project’s second stage, for which procurement was suspended in early 2016.

“We were told Stage 2 is no longer on hold,” a source who was present at a high-level meeting held last week tells MEED.

During the meeting, senior officials at the Abu Dhabi-based Federal Transport Authority and Fujairah Municipality primarily discussed the need for minor revisions to the current route alignment for Stage 3, which will link the railway to Fujairah as well as Ras al-Khaimah and Sharjah.

MEED earlier reported that the client, Etihad Rail, met with stakeholders in late 2016.

However, neither the FTA nor Etihad Rail has officially confirmed reviving the procurement process for Stage 2 so far.

MEED understands securing funding remains a key issue for the succeeding phases of the scheme.

Etihad Rail suspended the procurement for Stage 2 of the 1,200-kilometre national railway in January 2016, following a 30 per cent employee reduction.

The main package for the 628km Stage 2 has been tendered twice. Two groups were believed to have been shortlisted in the first tender. They include:

Salini Impregilo (Italy) / Samsung C&T (South Korea) / Tristar (local)
China Railway Construction Company (China ) / Ghantoot Group (local)

Based on the original design, Stage 2 will connect the railway to Mussafah, to the ports in Abu Dhabi and Jebel Ali, and to the Saudi and Omani borders.

Etihad Rail has been operational since late 2015.

Abu Dhabi National Oil Company (Adnoc) is the offtaker for the railway’s first stage, which is used mainly to transport granulated sulphur from Shah and Habshan to the Mirfa depot in Ruwais, from where it is being exported.

Coronavirus crisis could affect project delivery

Chinese engineering, procurement and construction (EPC) contractors are executing at least $13bn-worth of power and water contracts in the GCC The outbreak of the novel coronavirus in China could affect the ...

Green energy drive requires adequate financing

Banks and other financial institutions must step up to mitigate the inherent cost risks associated with clean energy projects The volume of investments earmarked by power and utilities players to develop ...

UAE takes steps to maintain global hub status

Continued investment in transport infrastructure will see the UAE’s spending focus shift to rail and airport projects The UAE’s status as a global travel and logistics hub is underpinned by the ...

IMF sharply lowers regional growth projections

Downward revision comes as IMF warns of deteriorating economic headwinds for the region The IMF has downgraded sharply its forecast for regional economic growth due to lower-than-expected oil prices and a ...

Net Zero in UAE Construction

The decarbonisation agenda is reshaping the planning and delivery of projects in the UAE The need to decarbonise sits firmly at the top of the policy agenda in the UAE, which ...

Lifestyle Medicine in the GCC

Lifestyle medicine is a medical approach that uses evidence-based behavioural interventions to treat and manage chronic diseases related to lifestyle[1]. It puts the person at the centre of their own ...

Building Future Cities

Why the Gulf is set to lead the world in urban planning development and management One of the most significant long-term trends around the world is the movement of the human ...

Bidders asked for revised prices for Al-Maktoum airport substructure

Contractors submitted bids for the estimated AED10bn ($2.7bn) package in January Dubai Aviation Engineering Projects (DAEP) has invited selected bidders to submit revised prices for the estimated AED10bn ($2.7bn) substructure contract for Concourse ...

UAE mid-market growth outlook subject to economic uncertainties

Despite improved demand conditions, the UAE’s mid-market firms are not invulnerable to external market challenges Mid-market firms in the UAE must gear up to face potentially choppy business conditions Macroeconomic ...

Bahrain holds on to energy revival hopes

Alongside existing strategic oil projects, the discovery of a giant offshore reserve at Khalij al-Bahrain has livened up Manama’s energy prospects When Bahrain’s Oil Minister Sheikh Mohammed bin Khalifa al-Khalifa announced ...