Ashghal signs $2.9bn of roads and infra deals

Seven contracts agreed; biggest worth $942m to Dogus Holding/Onur JV

NEWS, Business

Qatar's Public Works Authority, Ashghal, has signed seven new contracts as part of its local roads development programme, worth a combined $2.8bn (QR10.2bn).

The company held a signing ceremony yesterday (12 Jan) with the contractors carrying out the works yesterday.

Three contracts were signed for projects underway as part of the Doha Expressway programme worth a combined $2.1bn (QR7.7bn).

These include a deal for roads from west of the New Rayyan Roundabout to the east of Bani Hajer roundabout worth $280m, which has gone to a joint venture between Six Construct Qatar, Qatar Construct and Boom Construction. Work is set to start in the current quarter and complete by Q3 2016.

A contract worth $942.9m (QR3.4bn) has also been signed to develop roads from the west of the Olympic Roundabout to the new Al Rayyan roundabout. The deal was awarded to a joint venture between Dogus Holding and Onur. It will start in Q1 2014 and complete in Q1 2017.

A third contract was signed for the first phase of a new orbital highway covering 45km of a 180km road worth $896m (QR3.3bn) and was awarded to a joint venture between J&P Overseas and J&P Avax.

Meanwhile, four contracts worth a combined $677.2m (QR2.5bn) were signed for building roads and infrastructure in local areas.

These included: a $67.3m (QR245m) contract to Gulf Consolidated Contractors for road building in the Al-Khor area; a package for upgrading roads in Doha's Industrial Area worth $373.6m (QR1.36bn) to a joint venture between Qatar Trading & Contracting and MSF Engenharia; a deal worth $86m (QR313m) for new integrated infrastructure in North and East Al Kheesa to a JV between Kuwait's Combined Group for Trading & Contracting and Sacyr Construction; and a package worth $150m (QR547m) for roads and infrastructure at Rawdat Abal Heeran. The winning contractor for this package was not specified.

Ashghal said the new contracts follow on from the $2bn (QR7.2bn) worth of design and construction deals for Doha Expressway projects announced in June last year.

They have been awarded under new framework contracts, which were tendered at the end of last year, with 75 firms pre-qualifying in December. They will be eligible to bid for roads and infrastructure work taking place over the next five to seven years.

The organisation said the framework deals also aim to "enhance the role of Qatari companies and develop their capacity".

Under the framework process, international contractors either need to be Qatari-registered companies or joint ventures in which the Qatari partner owns at least 50% of the shares.


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