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L&T and power china have signed a contract of $509 million to build Freight facilities of Etihad Rail

UAE Etihad Rail has assigned a project to construct freight facilities for its railway network stage 2.

The project has been assigned to the joint venture (JV) of India based construction Company, Larson and Toubro Limited (L&T) and China-based construction Company, Power China International. The project value of the signed contract is AED 1.87 billion.

The contract celebration was attended by S.N. Subrahmanyan, Managing Director of L&T, and Mr. Wu Wenhao, President of Power China International. The agreement was signed by Shadi Malak, Etihad Rail CEO, Anupam Kumar from L&T, and Hong Lee from Power China International. The signing celebration was done in existence of H.H. Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, Chairman of the Abu Dhabi Crown Prince’s Court, and Chairman of Etihad Rail.

Freight facilities of Etihad Rail stage 2:

Under the condition of the contract, the two companies will be jointly liable for the surveying, design, construction, equipment installation, testing, and pre-commissioning of each facility. The scope of work included Design, Engineering, Procurement, Construction & Commissioning of Bulk Material handling systems (Rail loading and unloading systems) with involved civil and structural works, bulk material storage facilities, general cargo and container handling facilities with freight terminal management & control systems. All the freight stations will comprise railway siding and track works apart from other infrastructure works such as bridges, buildings, roads & drains, water, and electric utility systems.

Etihad Rail is constructing a series of freight facilities in Ruwais, Industrial City of Abu Dhabi, Khalifa Port, Dubai Industrial City, Jebel Ali Port, Al Ghayl and Siji, Fujairah Port and Khorfakkan Port capable of undertaking all loading and unloading operations, in addition to providing container warehouse and maintenance. The planned port facilities will provide a full service to Etihad Rail customers, inclusive direct access to trains on the dock, easing container movements between ships and trains. Meanwhile, the other facilities centers will serve the various departments, including building materials. The sector will contribute to transporting more than 30 million tons of different types of raw materials from their sources in the north of the country to the main marketplace in Abu Dhabi and Dubai for utilization in the construction industry. With this reward, Etihad Rail has completed the contract-awarding process of Stage Two of the national network which will link Fujairah and Khorfakkan on the UAE’s east coast to the UAE’s Saudi Arabia border at Ghuweifat. Etihad rail presently awarded the package D works, covers a distance of 145km. The project value f the contract was $1.25 billion.


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