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Region's first cross-border railway gathers pace
Gulf Construction
|June 2025
EXCAVATION and embankment works are progressing rapidly across vast areas and a variety of terrains to shape the first regional railway that will link Oman and the UAE, according to a social media post last month by Hafeet Rail.
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The joint venture spearheading the Oman-UAE railway network has awarded key construction and supply contracts in Oman as well as secured significant financing, marking substantial progress on the ambitious cross-border project, which is estimated to cost $2.5 billion.
Earlier this year, the company has contracted India's Larsen & Toubro (L&T) and Power China for the design and construction of state-of-the-art railway logistics facilities in Al Buraimi and Sohar. The Sohar facility will include provisions for locomotive and wagon maintenance.
Separately, China Railway Rolling Stock Corporation (CRRC) has been tasked with the design, engineering, and supply of a next-generation fleet of high-performance freight wagons.
Ahmed bin Ali Al Bulushi, a Board Member of Hafeet Rail and CEO of Asyad Drydock & Infrastructure Services, stated that these contracts “represent a natural progression” in the project's implementation, enhancing the network's technical and commercial capabilities and fostering integration between local industries and regional markets.
Hafeet Rail is a joint venture between Oman Rail, Etihad Rail, and Mubadala, established to develop a modern rail network that boosts logistics efficiency and drives economic growth between Oman and the UAE.
The network is expected to bolster trade and tourism by enhancing connectivity between the UAE, Oman, and the broader region. It also aims to strengthen the economic and cultural ties between the two countries, facilitating the movement of goods and people. The 238-km Hafeet Rail network will connect the UAE with the Port of Sohar in Oman, linking the sultanate to the UAE National Rail Network, and its terminals across the country. The network will feature 60 bridges and tunnels stretching 2.5 km and 12 passenger stations, linking five major ports and 15 integrated freight facilities and various industrial and free zones across the two countries.
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