Saudi Arabia’s Port of NEOM open for business

Operations include a CMA CGM scheduled liner service, general cargo facilities, storage, and passenger services.

More than SAR7.5bn ($2.025bn) has been committed to the new port’s development so far. It will provide a key entry point for goods and materials required for the development of the City of NEOM, Saudi Arabia’s vast new city of the future.

The ‘smart’ metropolis in Tabuk Province is just north of the Red Sea and will cover a total area of 26,500 sq km, more than 35 times the area of Singapore.

At the port, contracts for design, dredging, quay wall construction, and cargo handling equipment have recently been awarded. US-based port consultant, Jacobs, has been engaged to oversee design, with Moffatt and Nichol, IGO, and Trent as sub-consultants. The redesign project costing SAR180m ($48.6m) will cover terminals, warehousing, rail delivery, infrastructure, and a sustainable energy network.

Netherlands-based Boskalis and Belgium-France contractor, BESIX, are the first European contractors to be involved. They have been awarded a design-and-build lump sum contract worth more than SAR2bn ($540m).

Several crane and container equipment contracts have also been awarded. Saudi Liebherr Company Ltd won contracts for ten mobile harbour cranes valued at more than SAR200m ($54m). Shanghai Zhenhua Heavy Industries Company Limited (ZPMC) landed contracts for ten ship-to-shore gantry cranes, 30 electric rubber-tyred gantry cranes, and six automated rail-mounted gantry cranes, together worth more than SAR1bn $270m). ZMPC will work with Siemens Europe to supply automation components.

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The first container terminal is due to start operation by the beginning of 2025.

Sean Kelly, Managing Director of Port of NEOM, commented: “The Port of NEOM will be a critical enabler to the overall build, operations and economic ambitions of NEOM – from the import of goods and materials during the development phase and as a new global port serving the region. This is particularly important as development accelerates and businesses across NEOM come on stream.”