OHL to participate in the construction of the Mecca-Medina high speed railway line

October 26, 2011

OHL will participate in Alshoula, the Spanish-Saudi consortium implementing the second phase of the Haramain High Speed Rail (HHR) project in Saudi Arabia.

This project involves the implementation of the High Speed railway line between the cities of Mecca and Medina. The project calls for 450 km of double track with a design speed of 320 km/hour, which will be used especially by pilgrims traveling between two cities. The line will have stations in Mecca, Jeddah, King Abdullah Economic City and Medina.

The Ministry of Transport of the Kingdom of Saudi Arabia is promoting the project, acting through the Saudi Railways Organization (SRO).

The project has been divided into two phases. The first is already contracted and running, with a contract for the infrastructure of the entire project and contracts for four stations.

The second phase, in which OHL participates in the Alshoula consortium, consists of the design and construction of the track, the design and installation of electromechanical systems (electricity supply, catenary, signaling, telecommunications, ticketing), the provision of rolling stock, project commissioning and operation and maintenance of the line and rolling stock for 12 years.

The Alshoula consortium consists of the following companies: OHL, Adif, Renfe, Talgo, Indra, Dimetronic, Cobra, Inabensa, Copasa, Imathia, Consultrans, Ineco and the Saudi companies Al Shoula and Al Rosan.

The scope assumed by OHL in the contract is as follows: 50% of all works for the execution of the tracks, including supply of materials, and 25% of the supply, installation, commissioning and maintenance for a period of 12 years of energy supply and the catenary.

The amount corresponding to OHL for the previous works is €586 million. OHL has a percentage stake in the consortium’s of 9.08%.
The total amount of the budget proposed Spanish group was approximately €6.7 billion.

The submission of tenders was on July 3, 2010 and only two groups submitted offers, the Spanish-Saudi group and a Saudi-French group, which was led by Al Rajhi Holding Group and Alstom.

OHL has been studying this project since 2005 and has participated in all the auctions.