MARKET INTELLIGENCE REPORT Relevant news & activities in Saudi Arabia & the Middle East Region
Week of October 17, 2016 Click on the links provided to read more
SABIC SABIC achieved 200 million safe work hours without lost-time injury for construction of its mega- engineering projects. Saudi Gazette. 12-10-16 SABIC to intensify plans to develop local human talent. Saudi Gazette. 13-10-16 SABIC is working with PDI, a supplier of infection prevention products, to study environmental stress cracking of medical device enclosures using SABIC’s thermoplastics. Plastics Today. 13-10-16
MARKETS CONSTRUCTION The Ministry of Housing signed pacts with two national real estate development companies to build more than 10,000 housing units in Al-Qatif governorate, Eastern Province, including infrastructure work. Saudi Daily Record. 5-10-16 A consortium of Hyundai Engineering & Construction Company and Dutch project management consultancy Royal HaskoningDHV won the contract for the front-end engineering design of the world’s largest maritime yard in Saudi Arabia. Gulf Construction. 11-10-16
ENERGY Saudi Electricity Company awarded French utility company Engie, in partnership with Saudi Aramco, to build the 1,504 MW Fadhili power plant. Al Bawaba. 6-10-16 Saudi Aramco plans to sell a 5% stake in all of the company’s business when its initial public offering through the Saudi stock market. Saudi Daily Record. 9-10-16 Saudi Arabia announced that the price of crude oil could surge to $60 a barrel by the end of 2016 but warned against drastic production cuts that might shock the markets. Al Arabiya. 10-10-16 Saudi Arabia’s crude oil reserves of 266.5 billion barrels are expected to last for the next 70 years. Bloomberg. 11-10-16 The Saudi Minister of Energy, Industry, and Mineral Resources Khalid al-Falih called for solutions to challenges facing non-profit institutions. Asharq Al-Awsat English. 4-10-16 First Solar has commissioned the 52.5 MW Shams Ma’an solar array in Jordan, the largest PV array brought to completion so far in the Middle East. ReCharge. 10-10-16
TRANSPORTATION Trade volume between Georgia and Saudi Arabia increased by 200% and Saudi investments exceeded $100 million since Georgian Airways Company started operating flights from Dammam to the Georgian capital Tbilisi this summer. Al Arabiya. 10-10-16
Turkey’s low-cost airline Pegasus signed a codeshare agreement with online booking service flynas of Saudi Arabia. Saudi Daily Record. 11-10-16 Nissan-Petromin opens its first Nissan showroom in Riyadh, with plans to open another 20 showrooms across the Kingdom by the end of 2017. Saudi Daily Record. 16-10-16
CONSUMER Saudi Arabia has launched an entertainment revolution in the Kingdom as the General Authority for Entertainment schedules a variety of performers and events. Al Arabiya. 8-10-16 A total of 800 telecommunication establishments in KSA have closed because they were unable to meet the Saudization requirement. Al Arabiya. 9-10-16
Economic & Political Risk Analysis
TRADE & FOREIGN DIRECT INVESTMENT The Saudi Capital Market Authority has started to prepare a program to accomplish the Kingdom’s 2030 Vision. Saudi Gazette. 3-10-16 U.S.-based General Electric (GE) plans to expand its investment in Saudi Arabian manufacturing, including the development of digital management systems. The National. 12-10-16 Japan and Saudi Arabia agreed to advance bilateral cooperation in fields such as network- connected devices and renewable energy. The Japan Times. 9-10-16 Saudi Arabia is exploring the possibility of granting more licenses to foreign banks and easing restrictions on their operations to boost growth in the private sector. Emirates Business. 13-10-16 UK’s BAE Systems disclosed that it is in talks with Saudi Arabia over a five-year multibillion-pound arms contract, likely centered on BAE’s Eurofighter Typhoon combat aircraft. BBC News. 6-10-16 Privately owned King Abdullah Port in Saudi Arabia is ranked as the world’s fastest-growing port. Al Arabiya. 7-10-16 Japan’s SoftBank is forming a new investment fund that could invest up to $100 billion in technology companies worldwide, with Saudi Arabia’s Public Investment Fund contributing at least $45 billion. New York Times. 13-10-16
Upcoming & Relevant Events/Forums/Summits: RetrofitTech: Riyadh, KSA; October 24-25, 2016 GCC Power 2016: Doha, Qatar; November 8-10, 2016 The Big 5 International Building and Construction Show 2016: Dubai, UAE; November 21-24, 2016 MEED’s Saudi Arabia Summit: Riyadh, KSA; December 6, 2016 Saudi Arabia Smart Grid 2016: Jeddah, KSA; December 6-8, 2016