DAMMAM, 6 April 2003 — The war in Iraq has not hampered the cargo movement of Saudi Railways and all operations between King Abdul Aziz Seaport and Riyadh as well as to other destinations are running normally, according to Communication Minister Nasser Al-Salloum.
The minister made his comments after chairing a board meeting of the Saudi Railways Organization at its headquarters here yesterday.
The board also discussed the expansion of the rail network that will link Riyadh with Jeddah by extending rail tracks to a further 950 km at a cost of nearly SR10 billion.
A track linking Makkah and Madinah through Jeddah will also be linked to the industrial city of Yanbu, as well as a proposal to sell railway tickets through approved travel agencies.
Al-Salloum also stated that the Kingdom will give priority to national companies to carry out the proposed SR10 billion railway expansion project as well as the new toll-based expressways.
Speaking to reporters later, Al-Salloum said the companies or the consortium of companies, which are to implement the project, will be able to cover their expenditures within 20 to 30 years.
The winner of the 1,600-km project will be granted a concession for a long duration, which is yet to be determined. The main project envisages adding a 950-km rail link between Riyadh and the Kingdom’s main commercial port of Jeddah on the Red Sea.
This will complete the rail link between the country’s east and west coasts through the existing 450-km link between Riyadh and Dammam on the Gulf coast. Another 570-km rail link is planned between Jeddah and the two holy cities of Makkah and Madinah. The line will also extend north to Yanbu, an industrial city on the Red Sea. A third 115-km railway is planned to link Dammam with the industrial city of Jubail on the Gulf coast.
Al-Salloum said the project will be supervised by an administrative body to protect public interest. “National companies will be given priority to implement the projects but if there is lack of necessary expertise the support of foreign expertise could be resorted,” he said.
Several foreign and local firms are bidding for the projects to expand the Saudi railways. Saudi Arabia is the only country in the Arabian Peninsula with a railway. At the moment, there is only one active route between the capital and Dammam. The earlier railway link, built by the Ottomans, linked northern border cities with Madinah to transport Muslim pilgrims.
The ministry has short-listed eight foreign companies out of 32 firms which bid to become the financial consultant for the railway project. The shortlist includes companies from Australia, Europe, Japan and the United States.
The financial consultant will formulate the projects and then invite offers from international and local firms to construct the railways. They will also submit complete studies for the privatization of the railways.
Meanwhile, Eastern Province Governor Prince Muhammad ibn Fahd has set up a committee to study railway security in the Eastern Province, comprising officials from SRO, Saudi Aramco, the Department of Civil Defense and the police.
The board said an inquiry into a recent accident of a Riyadh-bound train in which the driver and his assistant were killed was under way.
Safety around the crossing where the accident occurred was not sufficient, Al-Salloum said, adding he would take up the issue with Saudi Aramco officials. Saudi Railways had previously asked Aramco to provide adequate security measures at the crossing as it passed through Saudi Aramco’s land.
He suggested building an overpass in order to ensure smooth movement of trains as well as motor vehicles and a barrier at the crossing.