Oman, UAE Sign $3bn Agreements to Set Up, Operate Railway Network

Oman, UAE Sign $3bn Agreements to Set Up, Operate Railway Network

To the tune of $3 billion (RO 1.160 billion), Oman Rail—developer and operator of the national railway network in Oman—and Etihad Rail, developer and operator of the national railway network in the United Arab Emirates (UAE), signed an agreement to establish “Oman and Al-Ittihad Company”, owned 50-50 by the two sides, to design and operate a railway network connecting Sohar Port and UAE National Railway Network.

The pact was inked within the context of the state visit of Sheikh Mohammed bin Zayed Al Nahyan, President of the UAE, to Oman.

The agreement was signed on behalf of Oman Rail Company—a subsidiary of Asyad Group—by Eng. Abdul Rahman Salim Al Hatmi, CEO of the Asyad Group, and Eng. Shadi Malak, CEO of Etihad Rail Company.

Under the agreement, the new company will set an action plan in motion to implement the project, which includes financing mechanisms, scheduling and supervision of the design, implementation and operation of the railway network linking Sohar and the Emirate of Abu Dhabi in line with top standards endorsed by the two countries.

This partnership constitutes an extension of the strong strategic and historical relations binding Oman and the UAE at all levels. It will bolster business activity and boost social,