Hafeet Rail, the rail project between Oman and the United Arab Emirates, has awarded key contracts for its construction and exploitation. The contracts include construction contracts, rolling stock and transportation on the future line.
The project, which is a joint venture between Oman Rail, Etihad Rail and investment company Mubadala, has awarded contracts to Larson & Toubro and Power China to build key railway facilities in Oman, specifically in Al Buraimi and Sohar. They are supposed to handle various types of freight and provide maintenance services.
Hafeet Rail has also contracted China Railway Rolling Stock Corporation (CRRC) to design and supply freight wagons for multimodal freight transportation. They will be designed so as to facilitate transportation of various types of freight, including bulk and containers.
Transportation contract
Earlier, Hafeet Rail signed an agreement with Emsteel to facilitate the transportation of aggregate materials, such as limestone and red shale, between Oman and the UAE. More specifically, Hafeet Rail will be transporting an annual volume of 4,2 million tonnes between the two countries over a 15-year period.
“By fortifying cross-border connectivity between Oman and the UAE, we are not only optimising supply chain efficiency but also positioning our integrated logistics ecosystem as a key enabler of trade competitiveness and economic growth”, a Hafeet Rail board member commented. “
“This strategic rail link will unlock unprecedented trade potential, catalyse high-impact investment opportunities, and position the region as a logistical powerhouse in the global economy.”
Hafeet Rail
Hafeet Rail will be 238 kilometres in length and is supposed to connect five major ports and industrial zones across the UAE and Oman. In the future, an extended connection to Oman’s capital city Muscat is planned as well.
The rail project, which was previously named Omani & Etihad Rail Company but changed its name in the spring of 2024, is part of a wider effort to develop rail infrastructure in the Gulf region and to connect all six Gulf Cooperation Council member states. It managed to secure 1,5 billion dollars in funding last year.