Saudi's Diriyah Company announces $2 billion contract to develop new mixed-use district
The contract is one of the largest awarded in Saudi Arabia in 2024
Diriyah: Diriyah Company has announced the creation of a new mixed-use district in the north of Diriyah, the joint venture Northern District Construction Contract that is valued at over $2 billion or SR7.8 billion to build advanced educational institutions, cultural venues, modern offices, and a luxury hotel.
It is the largest single contract awarded by the Diriyah Company to date, with joint venture contractors El Seif Engineering Contracting Co. Ltd (ESEC) and China State Construction Engineering Corporation Limited (CSCEC). Construction work is set to commence from Q3-2024.
The size and scale of the contract demonstrate the rapid acceleration of work to build Diriyah, The City of Earth. The contract is one of the largest awarded in Saudi Arabia in 2024.
Jerry Inzerillo, Diriyah Company Group CEO, said: "We are thrilled to announce the award of this major contract to build the exciting mixed-used district in the north of Diriyah. This represents a major step in our accelerating development strategy and commitment to making Diriyah a place for the world to be able to learn, absorb culture, and experience a vibrant and welcoming visitor destination."
Ahmed Al Bassam, CEO of ESEC, said: "We are enormously proud to continue our strategic partnership with the Diriyah Company and to be entrusted with a project of such importance in developing some of the highest profile assets within the Diriyah development area, and indeed across the Kingdom."
Chuanhai Wei, CEO of CSCEC KSA Branch, added: "This contract marks another landmark opportunity for CSCEC to work once again with our strategic partners at El Seif Engineering Contracting Company and the Diriyah Company in building an extraordinary new city on the outskirts of Riyadh. We are delighted to be working on such a large-scale and ambitious project once more."
The ESEC and CSCEC joint venture is the latest project the two companies have been awarded by Diriyah, with major infrastructure work already commencing on the development site. This includes building road tunnels and the world's largest single concrete pour of 6100 cubic meters for construction foundation work. This relates to an earlier $1.8 billion or SR 6.65 billion contract awarded in June 2021.