MEED reported that Saudi Binladin Group is the frontrunner for the two major construction contracts on the expansion of King Abdulaziz International airport in Jeddah.

A source said that SBG is waiting for the NTP [notice to proceed]. It [succeeded] for the commercial and technical proposals. It is waiting for a final decision from the King Abdulaziz management.

The first contract involves building 600,000 square meter passenger terminal that will be able to handle 30 million passengers each year. The second contract covers infrastructure and involves designing and building runways, tunnels, landscaping and a light rail system.

Contractors submit their bids for the two deals in April. SBG was the lowest bidder for the terminal and infrastructure contracts as it submitted a price of SAR 11.3 billion and SAR 13.9 billion respectively.

For the terminal, the other bidders included JV of Saudi Oger and South Africa’s Murray & Roberts Contractors at SAR 14.4 billion the local Almabani General Contractors Company at SAR 18.4 billion; consortium of Turkey’s TAV, Athens based Consolidated Contractors Company, the local El Seif Engineering & Contracting and the local Al Rajhi Group at SAR 19.1 billion.

Saudi Arabia is investing heavily in its airports. The other major airport project underway in the kingdom is the expansion of Medina airport. The USD 1.5 billion Phase I of the airport involves the construction of a new passenger terminal and the renovation of the existing runway. Contractors have until December 15 to submit their bids.

Saudi Arabia’s General Authority for Civil Aviation plans to revamp Medina airport to increase its passenger handling capacity to 14 million people a year. The airport currently handles about 3.5 million passengers a year.

(Sourced from MEED)