Saudi Arabia’s Mawani Signs SAR 900m Agreements

1 October 2022

The Saudi Ports Authority (Mawani) announced in a statement that it has signed seven contracts and Memorandums of Understanding (MoUs) with partners from the public and private sectors with a total exceeding SAR900 million, which included establishing a new integrated logistics park at Jeddah Islamic Port, developing the infrastructure according to the latest global standards, as well as developing the new ports’ management system. As the signing took place at the Saudi Maritime Congress hosted in Dammam between 28-29 September 2022, with the patronage of HRH Prince Ahmed bin Fahd bin Salman bin Abdulaziz Al Saud, Deputy Governor of Eastern Province.

By signing the contracts and MoUs, Mawani aims to achieve complete transformation in the process of operations and logistical support at Saudi ports, in line with initiatives assigned to the Authority within the Saudi Vision 2030 program, and to fulfill the objectives of the National Transport and Logistics Strategy (NTLS) to position Saudi Arabia as a global logistics hub.

As the first contract signed with Globe Group to build an integrated logistics park and a re-export zone at Jeddah Islamic Port over an area of 135,000 m2, in order to provide and employment opportunities and enable national companies specialized in the logistics industry.

While the second contract was signed with PC Marine Services with a total of SAR458 million to cooperate in strengthening food security through Jeddah Islamic Port, by constructing new berths with a design depth of 16 m and a length of 1100 m, while increasing the number of berths from 26 to 31 in the multi-purpose terminal to accommodate large dry bulk vessels, develop infrastructure to receive larger dry bulk carriers and meet the local market demand of grains, as well as securing the Kingdom’s strategic grain reserve by increasing the imported grains.

Whereas mawani also signed a contract with Modern Building Leaders (MBL) in cooperation with Huta Hegerfeld Saudia Ltd, to implement the project of deepening the approach channels, turning basins, waterways, and the southern terminal basin at Jeddah Islamic Port with a total of SAR184 million, which will facilitate receiving large vessels with a capacity of 24,000 TEUs. While Mawani signed another contract with Giza Arabia to implement the security system project at King Fahad Industrial Port in Yanbu with a total exceeding SAR61 million, which will increase the efficiency of facilities and managing security vulnerabilities by developing the port’s security system according to best global practices.

Meanwhile, Mawani signed a MoU with King Abdulaziz University to implement the best practices in the fields of research, training, and academic affairs related to ports as well as the maritime transport and logistics sector, while aiming to strengthen the cooperation in the fields of occupational health and safety, as well as the Maritime Law and investigations of maritime accidents and injuries, along with protecting the environment from oil leakage and pollution.

In addition, Mawani signed a MoU with the Saudi Accreditation Center to provide accreditation services to the conformity assessment bodies contracting with Mawani, and strengthen the cooperation in the fields of research and exchanging expertise, to further ensure costumer protection as well as general health and safety according to the assessment standards in the Kingdom.

As Mawani also signed a MoU with Tabadul to develop the ports’ new management systems and implement the Fourth Industrial Revolution (4IR) technologies in Saudi ports, in line with the Smart Ports initiative to expand the services provided at the ports and increasing the 46 current services to reach 150 services, in order to achieve the objectives of the digital transformation in the logistics sector.

Through its participation at the Congress, Mawani focused on strengthening communication along with showcasing promising services and solutions in the Kingdom of Saudi Arabia, while it received leaders and experts within the maritime transport and logistics industry on local and international level at its booth in the congress, to share the latest development of Saudi ports.

Noting that the Saudi Maritime Congress is held annually in cooperation with Mawani, the National Shipping Company of Saudi Arabia – Bahri, and several strategic founding partners, as it gathers experts within the maritime transport and logistics sector, along with providing a platform for the pioneers within the industry regionally and globally to discuss investment and development, in line with the objectives of Saudi Vision 2030 which aim to position the Kingdom as global logistics hub.

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