Invest in Saudi Arabia - Transport sector – Concrete sleepers & slab track

Concrete sleepers & slab track

Investment Description

The planned metro projects in Jeddah, Mecca, Medina and Dammam, as well as the Saudi-Bahrain railway, the Jeddah commuter rail, the Saudi Landbridge, and the GCC railway will create an estimated USD 3.7 billion opportunity for concrete sleepers and slab track.

This opportunity represents ~ 1/3 of the overall rail systems opportunity and a large share could be captured locally. Existing local suppliers of concrete products include Bina Precast, PCM Strescon, and Al Mobty. Opportunity: Supply pre-fabricated concrete slab tracks and pre-stressed concrete sleepers to a contractor. A strategic JV with an established multinational manufacturer may be required to unlock value by vertically integrating the local supply base.

This opportunity has been identified as a high-potential opportunity for the first wave of projects.

  Time:

  Profile: Pre-fabricated element manufacturers demonstrating excellent quality and precision.

  Initial investment: USD 670-820 million.

Market data

Jobs                              : 700-900

No of Projects                : TBD

Market Size (2014-2024) : USD 3.7 billion

To Be Determined

Source: Saudi Arabian General Investment Authority (SAGIA) www.sagia.gov.sa