Diriyah Company, affiliated with Saudi Arabia’s Public Investment Fund (PIF), has announced the largest construction contract in the region’s history, valued at over SAR7.8 billion ($2 billion). The contract was awarded to a joint venture between Saudi-based El Seif Engineering Contracting and China State Construction Engineering Corporation (CSCEC).
The project aims to develop a mixed-use district in Diriyah, including educational institutions, cultural venues, modern offices, and a luxury hotel. This initiative is a significant component of the Diriyah Development, a key project under Saudi Arabia’s Vision 2030, intended to transform Diriyah into a major historical and cultural destination.
Jerry Inzerillo, CEO of Diriyah Company said: “We are thrilled to announce the award of this major contract to build the exciting mixed-use district in the north of Diriyah. This represents a major step in our accelerating development strategy and commitment to making Diriyah a place for the world to be able to learn, absorb culture, and experience a vibrant and welcoming visitor destination.”
Ahmed Al Bassam, CEO of El Seif Engineering, praised the continued strategic partnership with Diriyah Company, while Chuanhai Wei, Vice President of CSCEC Middle East, noted the contract’s significance in reinforcing their collaboration.
The development is crucial for Saudi Arabia’s economic diversification efforts, aiming to reduce reliance on oil by boosting tourism. The project will accommodate 100,000 residents, workers, students, and visitors, offering a variety of cultural, entertainment, retail, hospitality, educational, and residential spaces.
Inzerillo emphasised that this contract marks a major milestone in Diriyah’s master planning and showcases the company’s new procurement strategy, fostering collaboration among contractors, SMEs, manufacturers, and suppliers.
Diriyah, on the outskirts of Riyadh, is home to the UNESCO World Heritage Site of At-Turaif, the historic capital of the first Saudi state.
