MEED Middle East Economic Digest articles from July 2008

MEED Middle East Economic Digest archives from July 2008

Quote of the week.(Quotation)(Brief article)
July 4, 2008... "At $130 a barrel, who cares about efficiency? A lot of the drive for reform has gone because of the high price of oil" Paul Stevens, emeritus chair of the Centre for Energy & Policy at the University of Dundee

The Arabian World Construction Summit 2009.(SUMMITS)
July 4, 2008... 9-11 February 2009 Emirates Palace Hotel, Abu Dhabi, UAE www.meed.com/events/capitalmarkets The principal aim of The Arabian World Construction Summit (AWCS) is to promote high-level discussions on the latest industry issues and challenges...

Conferences.(Brief article)(Calendar)
July 4, 2008... Middle East Steel 2008 12-14 October Park Hyatt Hotel, Dubai, UAE www.meed.com/events/steel Middle East Rail Projects 2008 14-16 October Park Hyatt Hotel, Dubai, UAE www.meed.com/events/rail Capital Markets 2008 20-22 October Park...

Gulf projects ($m).(MEED PROJECTS)(Statistical table)(Brief article)
July 4, 2008... GULF PROJECTS (Sm) 30 June 17 June % change 29 June % change 2008 2008 on week 2007 on year Bahrain 38,577 37,127 3.9 33,760 14.3...

Compromise is best solution: Iraq will find that greater assistance from oil majors will drive progress: the factions within the Baghdad parliament will have to compromise.(IRAQ)(Brief article)
July 4, 2008... [ILLUSTRATION OMITTED] Baghdad's decision to pursue a series of short-term services agreements with oil majors, rather than more complex production-sharing deals, might have been a tacit admission of weakness by the central government, but...

Space will limit island projects: the demand for waterfront properties remains strong and for developers, the economics of islands still make sense.(UAE)(Brief article)
July 4, 2008... Over the past five years, reclaimed islands have become synonymous with Dubai. Palm Jumeirah was the first, quickly followed by Palm Jebel Ali and The World. But the difficulty in finding space means that any new projects will either have...

Bank fees are a sign of the times: banks are becoming more frustrated that the work they do in support of bids often adds up to nothing.(BANKING)(Brief article)
July 4, 2008... It is not just conctractors who find they have wasted time and effort when they drop out of a bidding race for major engineering, procurement and construction (EPC) projects. It is also causing concern further down the chain. Banks in...

National oil firms need to improve: with oil revenues higher than ever, there is little incentive for state oil giants to improve their performance.(OIL)(Brief article)
July 4, 2008... [ILLUSTRATION OMITTED] The Middle East's national oil companies (NOCs) might be enjoying the most lucrative period in their history, but there is still much room for improvement, according to MEED's second annual survey of the oil firms....

Riyadh is right to compensate firms: relief for contractors will be tempered by the knowledge that progress is unlikely to be immediate.(CONSTRUCTION)(Brief article)
July 4, 2008... Saudi contractors can look to the future with a little more certainty following a decree by the government to compensate firms for rising materials prices. The contractors had been hoping for such a decision after writing to the Council of...

Dubai plans further reclaimed islands: local developers Sama and Bright Start to build multi-billion-dollar projects offshore from Umm Suqeim.(CONSTRUCTION UAE)
July 4, 2008... Dubai is planning at least a further two multi-billion-dollar reclaimed island projects off the coast of the emirate. Local real estate developer Sama Dubai is planning Falcon island and another local developer, Bright Start, is planning a...

Riyadh turns to local banks for financing of $3.1bn PP10 plant: Arabian Bemco wins contract to build 2,000MW electricity plant.(BANKING & FINANCE: SAUDI ARABIA)(Saudi Electricity Co.)
July 4, 2008... Saudi Electricity Company (SEC) has begun to raise finance for the 2,000MW PP10 power plant near Riyadh, which is expected to cost SR11.5bn ($3. lbn) after awarding the construction contact to the local Arabian Bemco. Banque Saudi Fransi...

Survey shows red tape key to delays.(ENERGY: REGIONAL)(Brief article)
July 4, 2008... Bureaucracy is the key reason for delays to projects carried out by the region's state oil companies, according to a survey published in MEED this week. Two-thirds of respondents to MEED's second annual survey of national oil companies...

Al-Rayis to be kingdom's first resort town: site will be first of 19 coastal towns to be developed following approval of kingdom's tourism masterplan.(TOURISM: SAUDI ARABIA)
July 4, 2008... North of Jeddah and close to Medina, Al-Rayis will be the first of a string of towns to be developed as part of the kingdom's $40bn plan to encourage tourism on its Red Sea coast. Osama Halawi, general manager of development areas with the...

National Bank seeks backers for $760m Shadeed steel scheme.(BANKING & FINANCE: OMAN)(National Bank of Abu Dhabi)(Brief article)
July 4, 2008... National Bank of Abu Dhabi (NBAD) is approaching regional and international banks to join the group of mandated lead arrangers on the $760m Shadeed steel project in Oman. NBAD is acting as financial adviser to Shadeed and is seeking to...

Banks consider charging for failed bids: contractors face fees for work undertaken by financial institutions regardless of whether bid succeeds.(BANKING & FINANCE: REGIONAL)
July 4, 2008... Bank are considering charging a fee for the work they do to support bidders on major construction contracts, according to several senior bankers in the region. Currently, the work that banks do for the bids of engineering, procurement and...

United Arab Shipping takes on $2bn debt for acquisitions.(BANKING & FINANCE: KUWAIT)(Brief article)
July 4, 2008... Gulf International Bank is working on arranging up to $2bn worth of debt for United Arab Shipping Company (UASC) to fired the acquisition of new ships and the continued expansion of the business. The debt will be split between a $500m...

Majors deny demanding share of oil: much-needed service agreements are delayed as Baghdad claims oil firms refused work based on fees.(ENERGY: IRAQ)(International oil companies)
July 4, 2008... International oil companies (IOCs) have denied claims by the Iraqi government that negotiations for much-needed technical support agreements broke down because of their demands for a share of the oil produced. Baghdad had been expected to...

Riyadh backs contractor compensation royal decree confirms decision to cover additional costs incurred as a result of rising raw materials prices.(CONSTRUCTION: SAUDI ARABIA)
July 4, 2008... Contractors have welcomed plans by Riyadh to compensate them for losses incurred on government contracts as a result of hikes in the cost of raw materials. A royal decree was issued in late June confirming the decision. According to...

Aramco invites bids for Jubail export refinery contracts.(ENERGY: SAUDI ARABIA)(Brief article)
July 4, 2008... Saudi Aramco has issued bid invitations to companies shortlisted for engineering, procurement and construction contracts to build the 400,000-barrel-a-day (b/d) export refinery at Jubail. The state-run oil giant and its joint venture...

Dubai Aerospace plans fleet expansion: group's aircraft leasing arm predicts rapid growth will give it $7bn worth of assets within five years.(TRANSPORT: UAE)(Dubai Aerospace Enterprise)
July 4, 2008... DAE Capital is set to acquire aircraft worth $1bn this year, and will increase its asset portfolio by a further $4bn by 2012. The aircraft leasing arm of Dubai Aerospace Enterprise has targeted rapid expansion and predicts it will have...

Madain to expand into Saudi Arabia and Abu Dhabi.(CONSTRUCTION: UAE)(Madain Properties)(Brief article)
July 4, 2008... Madain Properties, the Dubai-based firm that is planning to launch projects worth AED3bn ($817m) in the UAE this year, is to expand into Saudi Arabia and Abu Dhabi over the next 12 months. Madain recently expanded into the commercial...

Riyadh seeks interest in gas-fired plant: kingdom's second independent power project moves ahead as Rabigh scheme faces delays.(POWER: SAUDI ARABIA)(Saudi Electricity Co.)
July 4, 2008... Saudi Electricity Company (SEC) will invite expressions of interest to develop its second independent power project (IPP) before November, ahead of the delayed bids for its first IPP at Rabigh. PP11 will be built in Riyadh and will have a...

Dubai sets fast-track schedule for solar power plant study.(POWER: UAE)
July 4, 2008... Dubai is to award the feasibility study for its first solar power plant by October in a bid to fast-track renewable energy resources. However, contractors fear its timetable is too tight. It is the second of the seven emirates in the UAE to...

Cairo confident of hitting deficit target: Finance Ministry says budget deficit will be maintained at 6.9 per cent of GDP for second year running.(ECONOMY: EGYPT)
July 4, 2008... Despite a E2bn [pounds sterling] ($37.5m) increase in Egypt's budget deficit, Cairo says it is still on target to maintain an overall budget deficit of 6.9 per cent of gross domestic product (GDP) for the second year running. However, a...

Nakheel invites bidders for QE2 residential towers contract.(REAL ESTATE: UAE)
July 4, 2008... Local developer Nakheel has invited five contractors to bid for a contract to build a real estate development next to the QE2 cruise ship, which is due to be moored permanently alongside the Palm Jumeirah. Companies invited include three...

Budget deficit rises as food prices soar: rising oil and food prices over the first six months of 2008 force Amman to spend more on subsidies.(ECONOMY: JORDAN)
July 4, 2008... Jordan's budget deficit has climbed to JD826m ($1.2bn), about 6.5 per cent of gross domestic product (GDP), after the government struggled to keep spending under control in the first half of the year. The country's Finance Ministry forecast...

Banque Audi denies end of merger talks with EFG-Hermes.(BANKING & FINANCE: LEBANON)(Brief article)
July 4, 2008... Banque Audi, Lebanon's largest bank, insists it is still in merger talks with Egyptian investment bank EFG-Hermes, despite widespread speculation that political instability in Lebanon bad caused the latter to pull out of the talks. ...

Tadawul joins the race to modernise: the Saudi bourse's privatisation plans and a new trading platform are set to boost investor confidence.(CAPITAL MARKETS)
July 4, 2008... The Saudi stock market (Tadawul), the region's largest, with a value of SR1.8 trillion ($475bn), has endured three turbulent years. Now, plans to privatise the exchange and offer trading in different financial instruments show it is seeking...

Politics stalls free trade talks: a bid by the EU to introduce human rights clauses to a free trade agreement with the GCC could undermine negotiations and drive Gulf states to seek alliances elsewhere.
July 4, 2008... Nicolas Sarkozy is confronted with more than the messy aftermath of the Lisbon Treaty as he takes over the presidency of the EU this month. The French president also has to try to reinvigorate the stalled trade negotiations between the EU and...

Arabian Construction Company: ACC is preparing for change at the senior management level as it pursues growth outside the UAE.(CONSTRUCTION)
July 4, 2008... COMPANY SNAPSHOT Date established 1967 Main business sectors Construction Headquarters Beirut Main business region UAE Chairman/President Ghassan Merehbi Arabian Construction Company (ACC) was formed in 1967 in Beirut...

Q&A: Wassim Merehbi, executive director.(Business Close-up)(Interview)
July 4, 2008... What are ACC's core strengths? Our strength is usually very tall buildings or large projects, whether they are in heavy civil industrial projects or major building projects such as institutional buildings or big mixed-use projects. Because...

Oil & gas.(Special Report)(Cover story)(Brief article)
July 4, 2008... As oil prices race past $140 a barrel, and with the world desperate for Middle East oil and gas, the region's oil companies could think that they have no need to listen to what their suppliers and foreign partners think of them. But they would...

The need for greater independence: MEED's second annual survey of national oil companies reveals industry concerns over a lack of transparency at the region's state energy firms and political interference in their affairs.(SURVEY RESULTS)(Survey)
July 4, 2008... Independence from political interference, transparency and bureaucracy are the three areas in which the region's state-run oil companies need to improve most, according to MEED's second annual survey of national oil companies (NOCs). More...

Saudi Aramco: already the world's biggest producer, Aramco is under pressure to raise output.(NOC survey 2008)(Saudi Arabian Oil Co.)
July 4, 2008... Company Saudi Aramco Oil reserves 259.9 billion barrels Oil production 2007 10.4 million barrels a day * Gas reserves 253.8 trillion cubic feet Gas production 2007 7.59 billion cubic metres *...

NIOC: Iran is badly in need of foreign technology and expertise to revive its ageing fields.(NOC survey 2008)(National Iranian Oil Co.)
July 4, 2008... Company National Iranian Oil Company Oil reserves 138.4 billion barrels Oilproduction 2007 4.4 million barrels a day * Gas reserves 981.8 trillion cubic feet Gas production 2007 111.9 billion cubic...

Adnoc: meeting its ambitious production targets is the main challenge for Abu Dhabi.(NOC survey 2008)(Abu Dhabi National Oil Co.)
July 4, 2008... Company Abu Dhabi National Oil Company Oil reserves 97.8 billion barrels Oil production 2.9 million barrels a day * Gas reserves 215 trillion cubic feet Gas production 49.2 billion cubic metres ...

KPC: restrictions on foreign ownership could hamper Kuwait's plans to increase production.(NOC survey 2008)(Kuwait Petroleum Corp.)
July 4, 2008... Company Kuwait Petroleum Corporation Oil reserves 101.5 billion barrels Oil production 2007 2.7 million barrels a day * Gas reserves 63 trillion cubic feet Gasproduction 2007 ...

Iraq: restoring control of Iraqi oil to one national oil company could help revive the sector.(NOC survey 2008)(Iraq National Oil Co.)
July 4, 2008... Companies South Oil Company North Oil Company Iraq Drilling Company Iraq Oil Exploration Company Oil reserves 115 billion barrels Oil production 2007...

Sonatrach: despite political and staffing issues, the Algerian state oil firm is in a strong position.(NOC survey 2008)(Financial report)
July 4, 2008... Company Sonatrach Oil reserves 12.3 billion barrels Oil production 2 billion barrels a day * Gas production 83 billion cubic metres Gas reserves 159.45 trillion cubic feet * Includes NGLs. Source: BP Statistical...

NOC: Libya's state-owned oil company is held back by heavy political influence.(NOC survey 2008)(National Oil Corporation)
July 4, 2008... Company National Oil Corporation Oil reserves 41.5 billion barrels Oil production 2007 1.8 million barrels a day * Gas reserves 52.8 trillion cubic feet Gas production 2007 15.2 billion cubic metres ...

Qatar petroleum: Qatar's state oil firm is making the most of the advantage provided by its giant North field.(NOC survey 2008)
July 4, 2008... Company Qatar Petroleum Oil reserves 27.4 billion barrels Oil production 2007 1.2 million barrels a day * Gas reserves 904.06 trillion cubic feet Gas production 2007 59.8 billion cubic metres *...

PDO: Oman must secure fresh resources while halting declines in output at ageing fields.(NOC survey 2008)(Petroleum Development Oman)
July 4, 2008... Company Petroleum Development Oman Oil reserves 5.6 billion barrels Oil production 2007 718,000 barrels a day * Gas reserves 24.4 trillion cubic feet Gasproduction 2007 24.1...

Egypt: further fresh bidding rounds are expected as Cairo prioritises oil and gas exploration.(NOC survey 2008)(Egyptian General Petroleum Corp.)(Statistical table)
July 4, 2008... Companies Egypt General Petroleum Corporation (EGPC) Egyptian Natural Gas Holding Company (Egas) Ganoub el-Wadi Holding ...

Sudapet/Nilepet: Sudan's splintered state oil sector shows promise despite civil war and US sanctions.(NOC survey 2008)(Statistical table)
July 4, 2008... Company Sudapet/Nilepet Oil reserves 6.6 billion barrels Oil production 2007 457,000 barrels a day * Gas reserves Not available Gas production 2007 Not available * Includes NGLs. Source: BP...

SPC: Syrian Petroleum Company has a difficult task in managing the state's falling production.(NOC survey 2008)(Syrian Petroleum Co.)(Statistical table)
July 4, 2008... Company Syrian Petroleum Company Oil reserves 2.5 billion barrels Oil production 2007 394,000 barrels a day * Gas reserves 10.2 trillion cubic feet Gas production 2007 5.3 billion cubic metres *...

Bapco: securing energy is the priority for Bahrain as it seeks to expand its downstream industries.(NOC survey 2008)(Bahrain Petroleum Co.)
July 4, 2008... Company Bahrain Petroleum Company Oil reserves 125 million barrels Oil production 2006 196,000 barrels a day * Gas reserves 3 trillion cubic feet Gas production 2007 11.5 billion cubic metres *...

Etap: despite its limited hydrocarbons reserves, Tunisia is attracting international attention.(NOC survey 2008)(Entreprise Tunisiennes d`Activites Petrolieres)
July 4, 2008... Company Enterprise Tunisienne d'Activites Petrolieres Oil reserves 600 million barrels Oil production 2007 98,000 barrels a day * Gas reserves 2.3 trillion cubic feet Gasproduction...

Kuwait transport: the six most important people in the country's transport sector.(The MEED List)
July 4, 2008... Abdulrahman Khalid al-Ghunaim POSITION Communications Minister BIOGRAPHY AS Communications Minister, Abdulrahman Khalid al-Ghunaim not only looks after the entire range of communications, such as telecommunications and postal services,...

Contractors bid for major Qatar pipeline.(Project news on MEED.com)(Brief article)
July 11, 2008... [ILLUSTRATION OMITTED] Bids from at least five international contractors have been submitted for a major contract to build a gas pipeline between Ras Laffan and Mesaieed. The project, known as the strategic gas pipeline, involves...

Adnoc and ConocoPhillips sign sour gas deal.(Project news on MEED.com)
July 11, 2008... Abu Dhabi National Oil Company (Adnoc) and US oil major ConocoPhillips have signed a long-awaited agreement to develop sour gas reserves.

Agility wins US Air Force contract.(Project news on MEED.com)
July 11, 2008... A joint venture led by Kuwait's Agility Defense & Government Services has won four fuel-management contracts with the US Air Force.

Lootah wins Abu Dhabi pipeline deals.(Project news on MEED.com)(Lootah BC Gas)(Brief article)
July 11, 2008... The local Lootah BC Gas has won contracts worth about $40m to build and convert gas pipelines in and around Abu Dhabi city, totalling about $40m.

Abu Dhabi looks for highway partners.(Project news on MEED.com)
July 11, 2008... Abu Dhabi has invited companies to prequalify for a 25-year concession for the Mafraq-Ghweifat highway.

Qatari bank to launch in Libya.(Project news on MEED.com)
July 11, 2008... Masraf al-Rayan has received approval from the Qatar Central Bank to open in Libya.

UAE appoints nuclear envoy.(Project news on MEED.com)
July 11, 2008... The UAE has nominated its first ambassador to the International Atomic Energy Agency.

Dubai selects Sports City contractor.(Project news on MEED.com)
July 11, 2008... The local NSCC has been awarded the enabling works contract for the Arena Mall shopping centre at Dubai Sports City.

Events.(Conference news)(Calendar)
July 11, 2008... Green Buildings 2008 27-29 October Park Hyatt Hotel, Dubai, UAE www.meed.com/events/greenbuildings Examining key commercial opportunities and the latest regulatory codes in the Gulf A downside of the region's construction boom is that...

The GCC power & water report: the struggle to keep supplies ahead of demand.(INSIGHT)
July 11, 2008... [ILLUSTRATION OMITTED] GCC utilities are facing the most challenging time in their history. In this 80-page report, MEED Insight provides a comprehensive overview of developments in the power generation and water sector, and the outlook up...

MEED projects.(Project news on MEED.com)(Statistical table)(Brief article)
July 11, 2008... MEED PROJECTS GULF PROJECTS (Sm) 7 July 30 June % change 7 July % change 2008 2008 on week 2007 on year Bahrain 38,703 38,577 0.3 ...

Infighting will delay oil deals: Baghdad and oil majors still need to push through short-term deals: Iraq's political elite should step up to the challenge to avoid delays.(IRAQ)
July 11, 2008... [ILLUSTRATION OMITTED] In just a matter of weeks, much of the momentum behind Iraq's push to revamp its oil industry has been weakened by political infighting. Just when it seemed that real progress had been made through the signing of...

Lessors should exploit market: the tide in aircraft leasing is turning away from the former strongholds of Europe and the US, and towards the emerging market of the Middle East.(AVIATION)(Brief article)
July 11, 2008... Airlines are under severe and increasing pressure as their fuel costs continue to mount, but their suffering has presented fresh opportunities for other players in the market, not least aircraft leasing firms. Regional lessors have not...

Inflation must be driver for change: Cairo must make further reforms to cut bureaucracy, boost productivity and free up Egypt's economy.(EGYPT)(Brief article)
July 11, 2008... With inflation at 20 per cent and rising, Egypt's businessmen are right to be concerned. As inflation rises, so does the risk of macroeconomic instability. Like the Gulf states, which are suffering from their own inflation scares, Cairo is...

Developers have to tread carefully: without co-ordination, borrowers risk cannibalising each other's deals and pushing margins higher still.(PROJECT FINANCE)(Brief article)
July 11, 2008... [ILLUSTRATION OMITTED] After a quiet first half of the year, several project finance deals are finally set to come to the market in late 2008 and early 2009. With several power projects planned in Saudi Arabia, managing the flow of...

Plastics industry needs a boost: the prospect of cheap materials could be enough to kick start Saudi Arabia's industrial diversification.(SAUDI ARABIA)(Brief article)
July 11, 2008... The news that petrochemicals producers in Saudi Arabia are considering selling their output to local manufacturers at a discount will provide a welcome boost to the kingdom's nascent plastics industry. It may not have issued any direct...

Aramco presses on with output boost: state firm defies tight market conditions to build refineries and increase production at Karan gas field.(ENERGY: SAUDI ARABIA)(Saudi Arabian Oil Co.)
July 11, 2008... Saudi Aramco is pushing ahead with ambitious investment and production plans despite the threat of inflation and a tight labour market. The state-run energy firm has decided to increase capacity for a second time at its offshore Karan gas...

Dubai defies concerns over hydrogen plant with Beijing: project will go ahead despite contractors' doubts over its economic viability.(POWER: UAE)
July 11, 2008... Dubai Electricity & Water Authority (Dewa) says it will go ahead with plans to build a $3bn hydrogen power plant in partnership with China, after two Dubai-based firms that had signed up to the project said it might no longer be economically...

Saudi bank moves team to Bahrain.(BANKING & FINANCE: SAUDI ARABIA)(Brief article)
July 11, 2008... Saudi Arabia's National Commercial Bank (NCB) is to relocate its Riyadh-based syndications team to Bahrain to move closer to international institutions in the region, according to sources at the bank. Currently the bank, which is the...

Political row to delay $3bn service deals: oil and finance ministries clash over proposals for part cash, part oil payments that break UN rules.(ENERGY: IRAQ)
July 11, 2008... Differences between Iraq's oil and finance ministries over payment terms for international oil companies (IOCs) threaten to further delay negotiations for technical service agreements worth $3bn. One senior oil industry executive involved...

Riyadh calls on privatisation advisers to freeze fees.(WATER: SAUDI ARABIA)(Brief article)
July 11, 2008... Saudi Arabia's Saline Water Conversion Company (SWCC) is calling for advisers on the proposed sell-off of the kingdom's desalination facilities to freeze their fees at the level they first quoted one year ago. The move follows the...

Morocco's budget deficit set to double: government increases subsidies to ease impact of inflation while growth is slower than anticipated.(ECONOMY: MOROCCO)
July 11, 2008... Morocco's budget deficit will double in 2008 as the government shields its population from rising oil and food prices by increasing subsidies, says credit ratings agency Standard & Poor's (S&P). The forecast is the latest sign that North...

Sumitomo seeks local banks' support for Ras al-Zour plant.(BANKING & FINANCE: SAUDI ARABIA)(Brief article)
July 11, 2008... Japan's Sumitomo Corporation is contacting Saudi banks as it seeks to strengthen its bid for the $5.5bn Ras al-Zour independent water and power project (IWPP), which it submitted without the support of any Saudi institutions. As with most...

Mubadala plans major stadium.(CONSTRUCTION: UAE)(Mubadala Development Company)(Brief article)
July 11, 2008... Abu Dhabi government-owned Mubadala Development Company is developing a major sports stadium in Abu Dhabi known as Sheikh Khalifa bin Zayed Stadium. Germany's Ed Zueblin has been selected to execute the piling and enabling works for the...

Riyadh set to issue tenders for Mecca-Medina rail link: six consortiums set to receive requests for proposals for civil works.(TRANSPORT: SAUDI ARABIA)(Brief article)
July 11, 2008... Tenders will be issued in mid-July for the first of three main contracts to build the $6bn high-speed rail link between the holy cities of Mecca and Medina. The Saudi Railways Organisation (SRO) is preparing to issue requests for proposals...

Developer to launch giant Jeddah project: multi-billion-dollar scheme will include residential and commercial buildings over 15 square kilometres.(CONSTRUCTION: SAUDI ARABIA)(Dar al-Arkan)
July 11, 2008... Riyadh-based property developer Dar al-Arkan is to launch a multibillion-dollar mixed-used development in Jeddah before the end of the year. The project is said to be worth billions of dollars and will include residential and commercial...

Three bid for $1bn contract to build cracker at Mesaieed.(PETROCHEMICALS: QATAR)
July 11, 2008... Three groups have made technical bids to build a $1bn cracker at the planned petrochemicals complex at Mesaieed--the only such project likely to be awarded this year in the GCC. The plant became the only ongoing cracker project in the...

Nakheel claims Trump Tower ownership: Owner/operator split brings conflicting claims over who will own iconic Palm Jumeirah hotel and tower.(CONSTRUCTION: UAE)(Trump Hotel & Tower)
July 11, 2008... Confusion surrounds the ownership structure of the landmark Trump Hotel & Tower on Dubai's Palm Jumeirah island after the chief executive officer of Dubai-based developer Nakheel said his company would be the sole owner of the scheme. This...

Regeneration of Riyadh to start 2009.(CONSTRUCTION: SAUDI ARABIA)(Brief article)
July 11, 2008... Riyadh is set to have a SR7.5bn ($2bn) redevelopment approved early in 2009, once the go-ahead is given for a new light rail system in the city. According to a source at the ArRiyadh Development Authority (ADA) that is responsible for the...

Russian firm leads on deal to extend Dolphin pipeline: Stroytransgaz set for its first major UAE deal, to extend gas supply to Fujairah.(ENERGY: UAE)
July 11, 2008... Russia's Stroytransgaz is understood to be the front runner for the $350-400m contract to extend the Dolphin Energy gas pipeline from Abu Dhabi to Fujairah on the federation's east coast. The Moscow-based contractor is thought to have made...

Manufacturers set to benefit from discounts on materials: Riyadh encourages petrochemicals firms to hand on fuel subsidies to industry.(PETROCHEMICALS: SAUDI ARABIA)
July 11, 2008... Riyadh is encouraging the petrochemicals sector in the kingdom to sell its products to local manufacturers at a discount, in an effort to promote growth in the domestic plastics industry. Thanks to abundant gas production, basic chemicals...

Gasco tenders four key deals on $5bn plant:.(ENERGY: UAE)(Brief article)
July 11, 2008... Abu Dhabi Gas Industries Company (Gasco) has tendered four of the main process packages on Abu Dhabi's $5bn-plus integrated gas development (IGD). Once complete, the project will produce and process more than 700 million cubic feet a day...

Doha considers bids for port project: steering committee assesses submissions for design consultancy and programme management contracts.(TRANSPORT: QATAR)
July 11, 2008... Qatar is evaluating bids for two key contracts on the multibillion-dollar project to develop New Doha Port on the country's east coast. Bids have been submitted in recent weeks to the government steering committee for the consultancy...

Adco retenders gas compressor deal for onshore Bab field.(ENERGY: UAE)(Abu Dhabi Company for Onshore Oil Operations)(Brief article)
July 11, 2008... Abu Dhabi Company for Onshore Oil Operations (Adco) has reissued the long-awaited tender for the contract to install gas compressors at its onshore Bab field. Eight companies and groups are understood to be prequalified for the...

Baghdad's struggle to unlock oil: efforts to get Iraq's oil production back to 1970s levels are being hampered by political infighting.(ENERGY)(Cover story)
July 11, 2008... Baghdad's plan to sign a series of short-term technical services contracts (TSCs) with foreign oil companies exposes the government's continuing failure to resolve the deep divisions over who controls the nation's natural resources. All...

Projects slow as dollars dry up: Saudi developers are cutting back their project portfolios as the lack of dollar availability pushes up the cost of funding, while bankers wait for the bigger deals expected in 2009.(Saudi project finance)
July 11, 2008... The rapid growth in the region's project finance market in recent years has not been maintained so far in 2008. The lack of dollar availability caused by a sharp contracting of the credit markets and the consequent increase in the cost of...