Top 10: GCC contract wins - July 2016
Construction Week rounds up all the important contract wins in the region for the month of July 2016
1. Al Futtaim Carillion negotiating $1bn Reem Mall
Al Futtaim Carillion has been named as the preferred tenderer for the construction of the $1bn Reem Mall in Abu Dhabi.
Reem Mall now will enter into detailed contract negotiations with Al Futtaim Carillion exclusively, with the objective of finalising a deal to start works.
Shane Eldstrom, chief operating officer for Reem Mall, said: "The announcement marks yet another milestone for Reem Mall and comes on the back of final permission to construct received from Abu Dhabi Municipality earlier this month. Al Futtaim Carillion was selected as the preferred tenderer due to its strong track record of delivering significant high quality projects in the region, and its team of construction experts. We look forward to successfully completing the tendering process.”
Abu Dhabi-based Dutch Foundation is currently on site carrying out an enabling works contract involving excavation, lateral restraint systems, and dewatering.
More than seven million cubic feet of material have been removed to date, with dewatering progressing at a rate of 84,000 cubic feet per day.
2. TDIC, Western Bainoona ink Saadiyat Lagoons deal
Abu Dhabi's The Tourism Development & Investment Company (TDIC) has awarded the enabling works contract for Phase 1 of the Saadiyat Lagoons District to Western Bainoona Group for General Contracting LLC.
The six-month contract covers ground improvements, in addition to site clearance.
Saadiyat Lagoons, the largest district on the island, is a premium residential community which was launched during Cityscape Abu Dhabi 2016.
It is expected to become home to 29,000 residents across more than 4,300 residential units.
Sufian Hasan Al Marzooqi, chief executive officer at TDIC, said: “We are pleased to announce the awarding of the contract for the enabling works for Saadiyat Lagoons District. We launched this project back in April of this year and works are on track in preparation for the main construction of the project.
"Saadiyat Lagoons District will offer investors and residents a unique lifestyle experience along with proximity to the island’s other districts and their rich leisure, education and cultural offerings. The interest we have received so far has been very promising and we look forward to seeing this project come to life.”
3. TDIC, Al Jaber ink $100m deal for Jawaher Saadiyat
Abu Dhabi-based master developer, the Tourism Development & Investment Company (TDIC), awarded a $100m (AED370m) construction contract for Jawaher Saadiyat to Al Jaber Building, following a competitive tendering process.
The project is on a 24-month delivery from mobilisation on site.
H.E. Ali Majed Al Mansoori, TDIC’s chairman of the board, said: “We are pleased to announce the awarding of the main contract for Jawaher Saadiyat, the latest residential community at the Saadiyat Beach District, which adds to Saadiyat’s appeal as a destination of choice in the market. TDIC has already received much interest from investors for Jawaher due to its prime location overlooking the Saadiyat golf course and the sense of exclusivity it offers to residents. We are confident that once completed, it will drive demand for our real estate offerings on Saadiyat even further.”
H.E. Obaid Khaleefa Al Jaber Al Marri, chairman of Al Jaber Group said: “We are proud to be chosen by TDIC to execute this project. Having previously developed more than 7,000 villas in numerous prestigious projects, Al Jaber Building is looking forward to join hands with TDIC to develop yet another great milestone.”
Located within the Saadiyat Beach District and overlooking the Saadiyat Beach Golf Club, Jawaher Saadiyat will feature 83 exclusive units comprising four- to six-bedroom villas, and four-bedroom townhouses designed in a contemporary and modern style.
The villas’ built-up area ranges from 636 to 1,268 sqm, and include two to four shaded car parks. The townhouses built-up area ranges from 462 to 464 sqm and include two shaded car parks.
4. Hill wins $13m hospital contracts in Kuwait
Hill International has received a letter of award from Health Assurance Hospitals Company (Dhaman) to oversee the construction of two new hospitals in Kuwait.
The three-year contract has an estimated value of approximately KWD3.9m ($13.1m).
These projects involve the construction of two 300-bed secondary care hospitals, staff accommodation buildings and parking facilities.
The hospitals will be located in Al Ahmadi and Al Jahra.
5. Arcadis to design mall in Sharjah's Tilal City
Design and consultancy firm Arcadis has been appointed as the lead consultant and designer for Tilal Mall, an upscale retail destination which will be built in Sharjah’s Tilal City.
Under the agreement, Arcadis will provide architectural, engineering and cost consultancy services on the project, which will occupy an area of two million square feet and will host a range of vital facilities, including a four-star hotel, a hypermarket, a fashion corner with exclusive brands, in addition to a family entertainment centre, a multi-screen cinema and Tilal Boulevard, featuring a selection of culinary outlets.
On the new project, Sheikh Sultan bin Ahmed Al Qasimi, chairman of Tilal Properties said: "Tilal Mall will be one of the UAE’s key shopping destinations and one of the largest malls in Sharjah. Located on the Emirates Road, the mall will enjoy direct accessibility to the motorway and neighbouring areas."
The development will include a number of mixed-use facilities to cater to all the needs of a contemporary community.
6. Abu Dhabi's Aldar, NPC ink contracts worth $119m
Abu Dhabi developer Aldar Properties awarded contracts of $119m (AED440m) to National Projects and Construction (NPC) for Nareel Island, its master planned island community, and for Al Merief, a community in Khalifa City.
Set to be carried out over a 16-month period, the work on both developments commenced in July, and covers infrastructure, utilities and public areas, in addition to associated marina works for Nareel Island.
Talal Al Dhiyebi, chief development officer, Aldar Properties, commented: “As one of the most exclusive developments in the region, Nareel Island truly brings a new level of luxury to Abu Dhabi.
"Meanwhile, Al Merief is set to become a welcoming, impressive new address to a burgeoning area of the capital. We are very proud of these two very distinct communities, and the enthusiasm received from the UAE National community during each announcement and sales phase.
"With the appointment of NPC, we are on track for the completion of both developments in 2017.”
7. Carillion Alawi wins $311m PDO deal extension
Oman-based contractor Carillion Alawi won a four-and-half-year contract extension from Petroleum Development Oman (PDO) for its integrated facilities management services in Oman.
A subsidiary of the UK firm Carillion, the contractor said as per the $311m contract, it will provide integrated facilities management services at 12 locations across the sultanate.
The group's partnership with PDO began in July 2013 when it was signed up to deliver an integrated facilities management service, focused on providing safe, cost effective services across the PDO concession estate, which inlcudes PDO’s main cotsal estate, and covers an area of some 100,000 sqkm.
The range of services being delivered comprises engineering maintenance, projects, catering and environmental services, including cleaning, housekeeping, pest control, landscaping and linen and laundry services, said a statement from the company.
Under this contract extension, which will begin this month, Carillion Alawi will continue to focus on delivering safe, cost effective services by driving cost reduction and efficiency through reducing waste, improving productivity and reshaping service delivery, it added.
8. Barwa awards $27.4m Madinat Al Mawater contract
Barwa Real Estate has awarded construction contracts for the Phase I of Madinat Al Mawater project to Doha-based INSHA Co.
The works, valued at $27.4m (QAR99.85m), are scheduled to be completed within 12 months, The Peninsula reported.
Located at the intersection of Rawdat Rashed Road and Salwa Road, once completed, Phase I will serve as a hub offering services including the sale, purchase, and maintenance of used vehicles.
Phase I of Madinat Al Mawater project is among numerous new projects planned by Barwa Real Estate in 2016.
Occupying a plot of 215,677m², Phase I will include 60 car showrooms covering a total area of 18,506m², 176 residential apartments over a total area of 14,191m², and 10 commercial shops and workshops covering 806m².
Included in the infrastructure will be three electrical substations, internal roads, potable water, firefighting, irrigation, sewage, storm water and CCTV networks.
9. DSI bags $61.5m water network contract in Iraq
Drake & Scull International (DSI) has been awarded a $61.5m (AED226m) engineering, procurement and construction (EPC) contract for the construction of a water injection network installation project at the Zubair oil field in Basra, Iraq.
The contract was awarded by ENI Iraq B.V. (EIBV), a subsidiary of the Italian oil and gas multinational firm ENI S.p.A.
EIBV is the lead contractor of the Zubair Project consortium, which currently comprises EIBV, Occidental of Iraq LLC and KOGAS Iraq B.V. which is undertaking the redevelopment of the Zubair Oil Field.
Under the terms of the agreement, Drake and Scull Oil & Gas (DSOG) will oversee the EPC of a gas supply pipeline system to a power plant in addition to water injection systems consisting of flow lines, trunk lines, manifold stations and wellheads hook-up work to enhance oil recovery.
Mobilisation activity on the project has commenced with a scheduled completion of early 2018.
10. MAG 5 PD awards contract for $190m MAG 5 Boulevard
MAG 5 Property Development (MAG 5 PD) has awarded the contract for its MAG 5 Boulevard project in Dubai South to Fujairah National Construction (FNC).
The developer, formed jointly by MAG Property Development (MAG PD) and MBM Holding, said that the $190m (AED700m) project would be completed within two years.
Once completed, MAG 5 Boulevard will feature 1,172 residential units and a selection of retail, food and beverage (F&B), and leisure and entertainment amenities.
Commenting on the contract award, Talal Moafaq Al Gaddah, chief executive officer of MAG 5 PD, said: “We are delighted to announce FNC as the main contractor for MAG 5 Boulevard, our first medium-income housing community in the UAE, offering exceptional residential living with prices starting from AED380,555 [$103,600].
MAG 5 Boulevard is located within Dubai South’s residential area, The Village. As the development’s plot is adjacent to the Expo 2020 site, Al Gaddah said that “completing this project within two years was an important requirement of the tender”.