Jeddah-Jazan train link to spur growth

October 10, 2014

Jeddah, Oct 10: Businessmen and officials have welcomed the Saudi Railway Organization’s (SRO) plan to establish a 660-km coastal railway line between Jeddah and Jazan, saying it would boost the two regions’ economic, commercial and social development.

Jeddah-Jazan trainThe SRO recently signed a contract with an engineering consultancy firm to conduct a feasibility study on the project, including its cost, number of passengers, and amount of cargo to be transported.

The firm has completed the first phase of its study, which has taken into consideration the railway line’s designs. The new line will be established parallel to the international coastal highway that serves many major roads and the Jazan Economic City.

Mohammed bin Khaled Al-Suwaiket, SRO's chief, said the plan is to expand the Kingdom’s railway network. “We have drafted a strategic plan for railway expansion spanning 9,900 km and 19 railway lines,” he said.

He said the dual line between Jeddah and southern Jazan would pass Shuaiba, Al-Laith, Madhleef, Qunfudah, Amq, Barak, Qahma, Shuqaiq and Sabya. It would be linked with the landbridge project that connects Riyadh with the Red Sea port city.

Ali bin Mohammed Al-Garni, chairman of Qunfudah Municipal Council, said Saudis have been looking forward to this strategic project for a long time. “It will not only boost economic and industrial development of cities linked by the railway but also cut down on road accidents."

Shaikh Mohammed Rafik, chairman of Gammon Group, which is developing an industrial city in Jazan, said the new railway would encourage more foreign companies to invest in the industrial city, which is expected to draw investment worth SR75 billion and create 100,000 jobs.

“The industrial city will spur Jazan’s economic growth and bring about a face-lift for the region,” said Rafik. “We are now in the process of signing agreements with prominent companies from Canada, China, India, South Africa and Malaysia,” he said.

According to a study, the number of passengers on this route will increase from 1.13 million to 1.95 million by 2025 while cargo flow will jump from 1.8 million to 3.19 million tons.

Emad Al-Subhi, chairman of Al-Laith Municipal Council, stressed the railway’s role in accelerating economic and commercial growth, and providing safe public transport services.

“The project reflects the government’s long-term vision,” said Abdul Rahman Halawani, a Saudi businessman. “We hope the governors of Makkah and Jazan make this dream a reality to accelerate growth,” he said.

Abdullah Hubaily, a member of the Tourism Development Committee, described the railway as the best transport mode for a vast country such as Saudi Arabia. “Infrastructure projects such as railways will attract foreign capital and promote tourism.”

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Agencies
February 5,2020

Paris, Feb 5: Saudi Arabia has reported an outbreak of the highly pathogenic H5N8 bird flu virus on a poultry farm, the World Organisation for Animal Health (OIE) said on Tuesday, February 4.

The outbreak, which occurred in the central Sudair region, killed 22,700 birds, the OIE said, citing a report from the Saudi agriculture ministry.

The other 385,300 birds in the flock were slaughtered, it said.

The case was the first outbreak of the H5N8 virus in Saudi Arabia since July 2018.

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News Network
April 23,2020

Dubai, Apr 23: UAE announced on Thursday 4 deaths, 518 new coronavirus cases and 91 recoveries.

According to the Ministry of Health and Prevention, an additional 29,000 COVID-19 tests were performed, which revealed 518 new positive cases, bringing the total number of cases to 8,756. The new patients identified are in a stable condition and undergoing treatment, according to the ministry.

UAEGov

@uaegov
 · 4h
An additional 29,000 Covid-19 tests were performed, which revealed 518 new cases bringing the total number of cases to 8756. The new cases identified are in a stable condition and undergoing treatment, @mohapuae announced today. #UAEGov

UAEGov

@uaegov
Also, @mohapuae announced that four Asian expats who tested positive for COVID-19 died due to complications. This brings the total death toll to 56. The Ministry of Health and Prevention expressed sincere condolences to the families of the deceased.

The ministry announced that four Asian expats who tested positive for COVID-19 died due to complications. This brings the total deaths to 56. The ministry expressed sincere condolences to the families of the deceased.

The total number of recovered cases has reached 1,637 with 91 patients fully recovered on Thursday, after receiving treatment.

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News Network
May 7,2020

Dubai, May 7: Saudi Arabia will emerge as the victor of the oil price war that sent global crude markets into a spin last month, according to two experts in the energy industry.

Jason Bordoff, professor and founding director of the Center for Global Energy policy at New York’s Columbia University, said: “While 2020 will be remembered as a year of carnage for oil nations, at least one will most likely emerge from the pandemic stronger, both economically and geopolitically: Saudi Arabia.”

Writing in the American publication Foreign Policy, Bordoff said that the Kingdom’s finances can weather the storm from lower oil prices as a result of the drastically reduced demand for oil in economies under pandemic lockdowns, and that it will end up with higher oil revenues and a bigger share of the global market once it stabilizes.

Bordoff’s view was reinforced by Sir Mark Moody-Stuart, former chairman of Royal Dutch Shell and one of the longest-standing directors of Saudi Aramco. In an interview with the Gulf Intelligence energy consultancy, he said that low-cost oil producers such as Saudi Arabia would emerge from the pandemic with increased market share.

“Oil is the only commodity where the lowest-cost producers have contained their production and allowed high-cost producers to benefit. When demand recovers this year or next, we will emerge from it with the lowest-cost producers having increased their market share,” Moody-Stuart said.

Bordfoff said that it would take years for the high-cost American shale industry to recover to pre-pandemic levels of output. “Depending on how long oil demand remains depressed, US oil production is projected to decline from its pre-coronavirus peak of around 13 million barrels per day.

“Shale's heady growth in recent years (with production growing by about 1 million to 1.5 million barrels per day each year) also reflected irrational exuberance in financial markets. Many US companies struggling with uneconomical production only managed to stay afloat with infusions of cheap debt. One quarter of US shale oil production may have been uneconomic even before prices crashed,” he said.

Moody-Stuart said that recent statements about cuts to the Saudi Arabian budget as a result of falling oil revenues were “an important step to wean the population of the Kingdom off an entitlement feeling. It means that everybody is joining in it.”

The former Shell boss said that other big oil companies would follow Shell’s recent decision to cut its dividend for the first time in more than 70 years. But he added that Aramco would stick by its commitment to pay $75 billion of dividends this year.

“When a company looks at its forecasts it looks ahead for one year, so for this year it (the dividend) is fine,” he said.

Bordoff added that Saudi Arabia’s action in cutting oil production in response to the pandemic would improve its global position.

“Saudi Arabia has improved its standing in Washington. Following intense pressure from the White House and powerful senators, the Kingdom’s willingness to oblige by cutting production will reverse some of the damage done when it was blamed for the oil crash after it surged production in March,” he said.

“Only a few weeks ago, the outlook for Saudi Arabia seemed bleak. But looking out a few years, it’s difficult to see the Kingdom in anything other than a strengthened position,” Bordoff said.

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