Spanish consortium 'wins $10bn Saudi rail deal'

The new system will include a high-speed rail link between Madinah, Jeddah and the Muslim pilgrimage site of Makkah. Photo: Getty, for illustration on

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A Spanish consortium has reportedly won a contract worth $10bn to build a rail network linking key cities in Saudi Arabia.

The deal covers a proposed high-speed rail link between Madinah, Jeddah and the Muslim pilgrimage site of Makkah, news agency AFP said, citing Spanish media.

The Haramain rail project will be capable of accommodating 20 million passengers per year and will provide transport for pilgrims, the Saudi Railway Organisation (SRO) previously said.

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The 450km Makkah-Madinah Rail Link is part of the major railway expansion project, which includes linking Jeddah with the Riyadh-Dammam Railway and North-South Railway systems.

The annual Hajj pilgrimage to Mecca attracts some 2.5 million Muslims from around the world for a stay of two weeks on average.

The winning consortium will supply the high-speed trains and maintain the line for a period of 12 years.

A spokesman for Spanish rail operator Renfe, one of the leaders of the consortium along with Talgo, Adif, OHL and eight other companies, would not comment on the reports, AFP reported.

It added that a spokesman for the transport ministry said "the process is very advanced, the Spanish bid is in a good position but it is not yet finalised".

Spain and France have been in stiff competition to win the contract, which was raised during a visit to Saudi Arabia in February by French Prime Minister Francois Fillon.