SAUDI ARABIA BAHRAIN UNITED ARAB EMIRATES QATAR OMAN KUWAIT
Construction An ITP Business Publication
WEEK
CONSTRUCTIONWEEKONLINE.COM
OCTOBER 17–23, 2009 [292]
NEWS, ANALYSIS, PROJECTS, TENDERS, CLASSIFIEDS, AND JOBS IN THE MIDDLE EAST
EXCLUSIVE
THE PRINCESS TOWER
WORLD’S TALLEST CW REPORTS FROM THE FUTURE’S HIGHEST RESIDENTIAL TOWER
INSIDE
NEWS ANALYSIS
How large a role can governments play in reviving an economy? PAGE 16
LEGAL
Is mediation a good alternative dispute resolution? Find out PAGE 22
FORMWORK
Can concrete types affect formwork used on projects? PAGE 30
CITY FOCUS
The latest news, projects and tenders in Makkah, KSA PAGE 44
CONTENTS OCTOBER 17-23, 2009 | ISSUE 292 9
FEATURES
17
26 ON SITE CW finds out what progress has been made on the soon-to-be tallest residential building in the world, Princess Tower.
30 SPECIAL REPORT Investigating the effects of self-compacting concrete on formwork.
DIRECTORY
21
38 TENDERS 39 PROJECTS 40 SPECIALIST SERVICES
11
26
REGULARS
22
2 ONLINE 4 MAIL
FRONT 9 FATALITIES JUST A MATTER OF TIME Last week’s building collapse in Sharjah has brought about concerns for the safety of the region’s projects.
11 DEVELOPERS URGED TO CONSIDER THEIR CARBON FOOTPRINT Enpark says now is the “crucial time” for developers to commit to technologies that will reduce carbon footprints.
12 $2BN SAUDI MEGA PROJECT UNVEILED Dar Al Arkan has unveiled plans to build a new master planned community in Jeddah, Saudi Arabia.
14 NEWS IN BRIEF Highlights of the week.
16 NEWS ANALYSIS The construction industry could be on the road to recovery thanks to the region’s governments.
17 NEWS IN PICS
BACK
Topical images with the latest news.
44 CITY UPDATE
19 EVENTS Industry dates for your diary.
The latest news and projects from Makkah, Saudi Arabia.
21 COMMENT
46 CONSTRUCT SAFE
Bassam Samman discusses the importance of risk management during the downturn.
The industry’s very own comic strip on health and safety best practices.
22 LEGAL
48 DIALOGUE
Arbitration may not be the only choice one has when opting to resolve disputes.
Mohammed Samkari of ABB shares his views on the Saudi Arabian market.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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ONLINE
www.ConstructionWEEKonline.com MOST POPULAR
NAKHEEL HAS ‘NOTHING NEW’ TO SAY ABOUT TRUMP TOWER NEW PROJECT BLASTS THROUGH SHARJAH’S MOUNTAINS EXCLUSIVE: SBG BAGS MASSIVE US$3.73BN KSA CONTRACT LIVE FROM CITYSCAPE MERAAS’ JUMEIRA GARDENS PROJECT ONGOING
HAVE YOUR SAY IS ‘AFFORDABLE’ HOUSING VIABLE FOR CONTRACTORS AND DEVELOPERS?
Or are the profit margins too slim to attract investment?
JOBS OF THE WEEK IN PICTURES: SITE TOUR: KING ABDULLAH FINANCIAL DISTRICT Saudi Binladin Group has just been awarded a US $3.73 billion (SR13.98 billion) tender for construction at the King Abdullah Financial District. We take a closer look at what’s already happening on site. For more images visit www.ConstructionWeekOnline.com
FEATURES Design
Architect
CELEBRATING STREET ART The world’s top street artists will be showcasing their skills.
ARCHITECT AWARDS 2009 Find out who won and was shortlisted in the 2nd annual MEA Awards.
MEP
FM
ON THE BOIL The latest technology and trends on the international front.
CARING CAMP Arabtec highlights its CSR programme.
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CONSTRUCTION WEEK OCTOBER 17–23, 2009
Senior Cost Estimating Engineer (Onshore Oil & Gas), Doha Project Delivery Manager – Pipeline, Abu Dhabi Senior Proposal Engineer, Riyadh
ONLINE POLL WHICH MARKETS DO YOU THINK HOLD THE BRIGHTEST FUTURE FOR THE INDUSTRY IN THE MENA REGION?
69.2% 23.1% 7.7%
GCC (KSA, UAE, Qatar, Bahrain, Kuwait, Oman)
North Africa (Morocco, Algeria, Tunisia, Libya, Egypt)
The Levant (Lebanon, Jordan, Syria, Palestine)
TO VOTE IN THIS WEEK’S SPOT POLL GO TO www.ConstructionWEEKonline.com
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MAIL that will withstand seismic activity. However, the design process would be more technically straightforward if the GCC had its own seismic provisions, which would be associated with the region’s geographical situation. NONOY GIRAY
RE: GCC UNAFFECTED BY NEW LAING O’ROURKE JOB AXE I believe O’Rourke started scaling down the business in the Mesa hub because it is easier to get rid of people in this area. The reason why, is to keep the business running in the UK and Europe, especially after Laing failed to secure any current assignments in the Middle East because of its reputation [in the Middle East]. Alor didn’t want to issue performance bonds in some of the potential projects they were bidding for, for a simple reason that they don’t want to risk it any more. O’Rourke has made enough money out of the Middle East and now downsizing his [O’Rourke] business because he doesn’t want to make sacrifices. In my opinion the organisation is not as well structured as it looks. EXALOR
Laing O’Rourke has sought mostly to minimise the impact on junior staff by culling senior staff first. There have been no bonuses for staff other than scaled down bonuses paid just before the crisis began. RAMGOPAL DASS
RE: ALGERIA’S ROADLAYER ‘ROLL-OUT’ Can this example be seen as a gobal trend? In the US
RE: SAUDI LANDBRIDGE FINALISES ROUTE
to sell them, no matter how ‘iconic’ or whatever they are. If you can’t build affordable housing at a profit, you evidently don’t know how to run your business efficiently. A slim profit margin is better than making a loss, isn’t it? Why should the government step in to help a substandard private company? DOUG
It is very impressive that the Saudi Arabian Government has embarked on this project. Saudi Arabia is not facing an energy crisis compared to other developing countries but the reason for building projects like the Landbridge is because it creates energy efficient transport. It sets a very good example for other countries, which require rail transport but are not taking action to develop or expand their networks. Good luck.
RE: QATAR CEMENT PRICES DROP BY 72%
G S GUUSINGHE
RE: NAKHEEL HAS ‘NOTHING NEW’ TO SAY ABOUT TRUMP TOWER
RE: SBG BAGS MASSIVE US$3.73BN KSA CONTRACT
we have been increasing our infrastructure spending. Could this mean the world economy is beginning the slow climb to recovery?
These infrastructure developments can be sustained only when supported by relaxed and friendly investment climate, immigration rules and, of course, tourism.
DAVID CRAWFORD
KHOZEMA KAZI
RE: CALLS FOR EARTHQUAKE PROVISIONS IN ABU DHABI
RE: CITYSCAPE: UAE NEEDS MORE AFFORDABLE HOUSING
As I understood, consultants are currently enjoying the use of international codes to help them design buildings
If nobody can afford ridiculous, luxury developments, then it stands to reason you won’t be able
I wonder why the cost of materials for construction works are always decreasing. It is not the same in my country (Nigeria). Most materials needed for the production of products are part of our land. We still suffer from exorbitant prices and therefore people struggle to afford them. TESLIM
It is wise to complete and continue business with reduced rates to cover the costs, but only until the end of the current recession. These actions must end within the first half of next year. INAM ALI
What Trump Junior said was that he will look at the project in two years time, “if it makes sense”. There’s little optimism in these statements. He is basically saying “let’s wait and see”. EMEKA ONWUOCHA
WRITE TO THE EDITOR Please address your letters to: Post, Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest Middle East business articles. The opinions expressed in this section are of particular individuals and are in no way a reflection of the publisher’s views.
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CONSTRUCTION WEEK OCTOBER 17–23, 2009
Registered at Dubai Media City ITP Business Publishing PO Box 500024, Dubai, United Arab Emirates TEL +971 4 435 6000 FAX +971 4 435 6080 Offices in Dubai & London
ITP BUSINESS PUBLISHING CEO Walid Akawi MANAGING DIRECTOR Neil Davies DEPUTY MANAGING DIRECTOR Matthew Southwell EDITORIAL DIRECTOR David Ingham VP SALES Wayne Lowery PUBLISHING DIRECTOR Jason Bowman EDITORIAL SENIOR GROUP EDITOR Stuart Matthews EDITOR Conrad Egbert TEL +971 4 435 6256, EMAIL conrad.egbert@itp.com ONLINE EDITOR James Boley TEL +971 4 435 6268, EMAIL james.boley@itp.com BAHRAIN & SAUDI ARABIA EDITOR Benjamin Millington TEL +973 1 756 4111, EMAIL ben.millington@itp.com NEWS EDITOR Matthew Warnock TEL +971 435 6179, EMAIL matthew.warnock@itp.com ASSISTANT EDITOR Sarah Blackman TEL +971 4 435 6278, EMAIL sarah.blackman@itp.com MEP EDITOR Gerhard Hope TEL +971 4 435 6252, EMAIL gerhard.hope@itp.com PMV EDITOR Greg Whitaker TEL +971 4 435 6263, EMAIL greg.whitaker@itp.com CONTRIBUTING EDITOR Alison Luke ADVERTISING COMMERCIAL DIRECTOR Raz Islam TEL +971 4 435 6371, EMAIL raz.islam@itp.com BUSINESS DEVELOPMENT MANAGER Alex Bendiouis TEL +971 4 435 6324, EMAIL alex.bendiouis@itp.com KEY ACCOUNT MANAGER Leigh Wright TEL +971 4 435 6473, EMAIL leigh.wright@itp.com ONLINE SALES MANAGER Scott Woodall TEL +971 4 435 6172, EMAIL scott.woodall@itp.com STUDIO GROUP ART EDITOR Daniel Prescott ART EDITOR Nadia Puma DIRECTOR OF PHOTOGRAPHY Sevag Davidian CHIEF PHOTOGRAPHER Nemanja Seslija SENIOR PHOTOGRAPHERS Efraim Evidor, Khatuna Khutsishvili STAFF PHOTOGRAPHERS Thanos Lazopoulos, Khaled Termanini, Jovana Obradovic, Rajesh Raghav, Ruel Pableo, Lyubov Galushko PRODUCTION & DISTRIBUTION GROUP PRODUCTION MANAGER Kyle Smith PRODUCTION MANAGER Eleanor Zwanepoel PRODUCTION COORDINATOR Devaprakash V.A MANAGING PICTURE EDITOR Patrick Littlejohn IMAGE RETOUCHER Emmalyn Robles DISTRIBUTION MANAGER Karima Ashwell DISTRIBUTION EXECUTIVE Nada Al Alami CIRCULATION HEAD OF CIRCULATION & DATABASE Gaurav Gulati MARKETING HEAD OF MARKETING Daniel Fewtrell DEPUTY MARKETING MANAGER Annie Chinoy TEL +971 4 435 6133, EMAIL annie.chinoy@itp.com EVENTS & CONFERENCES DIRECTOR, CONFERENCES, MARKETING & EVENTS Kimon Alexandrou PRODUCER Oscar Wendel ITP GROUP CHAIRMAN Andrew Neil MANAGING DIRECTOR Robert Serafin FINANCE DIRECTOR Toby Jay Spencer-Davies BOARD OF DIRECTORS KM Jamieson, Mike Bayman, Walid Akawi, Neil Davies, Rob Corder, Mary Serafin CORPORATE WEBSITE www.itp.com CIRCULATION CUSTOMER SERVICE TEL: +971 4 435 6000 WEB www.ConstructionWeekOnline.com ITPIMAGES Certain images in this issue are available for purchase. Please contact itpimages@itp.com for further details or visit www.itpimages.com. SUBSCRIBE online at www.itp.com/subscriptions NOTICE The publishers regret that they cannot accept liability for error or omissions contained in this publication, however caused. The opinions and views contained in this publication are not necessarily those of the publishers. Readers are advised to seek specialist advice before acting on information contained in this publication, which is provided for general use and may not be appropriate for the readers’ particular circumstances. The ownership of trademarks is acknowledged. No part of this publication or any part of the contents thereof may be reproduced, stored in a retrieval system or transmitted in any form without the permission of the publishers in writing. An exemption is hereby granted for extracts used for the purpose of fair review.
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FOREWORD TRANSPARENT TIMES
“THE DEIRA BUILDING COLLAPSE IS STILL A MYSTERY DESPITE THERE BEING A FULL FLEDGED INVESTIGATION”
The building collapse in Sharjah last week wasn’t exactly greeted with gasps of horror in the Construction Week newsroom. With all due respect, it spoke volumes about what people have to expect from construction in the region. And that is what was really horrifying. This is the third structure in the UAE to have collapsed in two months. In September, a building in Deira collapsed, along with the roof of a mall that was being built in Ajman. And though only decorative parts of the ceiling of Ibn Battuta mall fell down in August, it adds to the list of construction blips in the region. For years there’s been talk of the lack of quality on numerous developments, so it shouldn’t really come as that much of a surprise if a few buildings around us begin to crumble. Company bosses, project managers, fire-safety professionals and even construction workers have been warning this would happen, but yet the enforcement of building codes still seems to be on the backburner. Experts in the region have highlighted the dire need to enforce building safety regulations but not much progress seems to have been made. As far as common sense goes, a lack of enforcement of regulations is as good as them never being there in the first place. Calls for transparency are now at the top of the list, and rightly so. Transparency increases quality and weeds out any illegal practices. The Deira building collapse is still a mystery despite there being a full-fledged investigation. Half-baked answers have been released and no hard results of the investigation have been made public. And this makes one wonder – are the results of the investigation so embarrassing that they have to be kept under wraps? Are there practices going on that shouldn’t be? Or are the on-site inspectors not really inspecting? A tiny window of truth opened up last week. After the Sharjah car park collapse, which saw six workers taken to hospital and could have potentially killed another 100, Sultan Al Mualla, the director general of Sharjah Municipality admitted that building inspectors had visited the under-construction site the previous day and reported it to be in “good condition.” So what exactly did these inspectors’ check lists include? Are building materials inspected before construction begins or do inspectors only arrive on site midconstruction? And are underperforming inspectors held responsible? The recent happenings can’t even be passed off as one-offs, because they’re not. Three collapses in two months don’t qualify as one-offs. If operations are made transparent, developers, contractors, workers. inspectors, everyone will miraculously begin to toe the line. Transparency is as much a market force as are demand and supply so let it work for the greater good.
CONRAD EGBERT EDITOR conrad.egbert@itp.com
WRITE TO THE EDITOR Please address your letters to: Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest articles.
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CONSTRUCTION WEEK OCTOBER 17–23, 2009
FRONT
>Developers urged to consider their carbon footprint
11
>$2bn Saudi mega project unveiled
12
>Highlights
14
>News Analysis
16
>News in pictures
17
MANY WORKERS INVOLVED IN THE CONSTRUCTION OF A CAR PARK IN SHARJAH MADE A LUCKY ESCAPE BEFORE THE BUILDING COLLAPSED.
FATALITIES JUST A MATTER OF TIME By Matt Warnock
Last week, an under-construction ninestorey car park collapsed in the emirate of Sharjah, resulting in six workers being taken to hospital. The incident could have been much worse, as 100 site workers for contractor Bharath Tower Foundation had just vacated the building for their lunch break. “It’s God’s plan that it happened during the rest hours,” said Sharjah civil defence chief Waheed al Serkal. “Most of the workers had gone out to their accommodation. If it was another time, it would have been disastrous.” However, the incident was just the latest in a series to have occurred in the UAE, following August’s building collapse in Dubai, with a shopping centre in Ajman coming down last month. Although, fortunately, no fatalities were suffered in any of these events, one industry
expert has warned that it’s simply a matter of time before deaths occur. “It was highly fortunate that no lives were lost in this case, but as long as such collapses occur then the likelihood of multiple fatalities resulting must be expected,” said Halcrow regional health and safety manager and BuildSafeUAE Sharjah spokesperson Peter Neville. “It would not be possible to comment on the likely causes of this collapse without having a qualified and competent structural engineer carry out an assessment, but the reality is that incidents such as this are not uncommon in the region.” Neville added that ensuring the structural integrity of buildings and the safety of workers boiled down to placing health and safety at the centre of all projects, rather than dealing with these issues as an afterthought. “The overall situation in the construction
sector can be improved by persuading all stakeholders – including clients, contractors, designers and consultants alike – that health and safety needs to be placed at the very core of all their activities. “Site management must ensure that all safety procedures and precautions are in place, both prior to work beginning and during the construction phase. The safety of all persons involved in the entire life cycle of the project must also be considered, extending as far as occupation, maintenance and the eventual demolition of the structure.” The reason for the Sharjah collapse has yet to be identified, although police have interviewed building engineers. Perhaps most troubling of all is that building inspectors had visited the site just hours before the collapse and identified the building as being in good condition.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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MUAMMAR KHALED AL KATHEERI SAYS LEED AND ESTIDAMA ARE A GOOD START BUT MORE IS NEEDED.
DEVELOPERS URGED TO CONSIDER THEIR CARBON FOOTPRINT By Matt Warnock Now is the “crucial time” for developers, institutions and individuals to commit to technologies that will reduce combined carbon footprints. This was the message from Dubai Energy and Environment Park (Enpark) director Ali bin Towaih at the ‘Architecture and Daylight’ conference in Dubai. And many of the 200 regional and international specialists in the sustainable energy field who attended the event agreed with Towaih’s call to arms. “What is crucial to an endeavor such as this is that it not only earns benefits in terms of financial rewards, such as cost savings, but also contributes to enhancing employee morale, well-being and increased productivity,” said Tecom Investments’ director of sustainable energy and environ-
ment division, Sougata Nandi, presenting a case study on Tecom’s Leed Platinum management. “The Leed Platinum Tecom management offices, combined with the Dubai International Academic City’s achievement of Leed silver certification for Phase III, have made it possible for the region to craft its own success stories and case studies without having to resort to examples from other countries to justify our practices,” concluded Nandi. But, Muammar Khaled Al Katheeri, chief officer engineering management for Dubai Silicon Oasis Authority, said that authorities needed to lead the way. “We need some guidelines to follow here. There should be international, universallyrecognised principles.”
Abu Dhabi-based Hydra Properties has selected Kele Contracting as the main contractor for its Hydra Towers buildings in Dubai’s Business Bay district. Kele Contracting, which has worked with Hydra Properties on pre-tender construction and planning, has already commenced work on site. All enabling work, including shoring, piling and excavation, has been completed and the substructure works are now ongoing. Work is on schedule for the planned completion date at the end of 2011. “We are pushing ahead with construction on many different projects in Abu Dhabi and Dubai and we are delighted to report this progress on Hydra Towers,” said Hydra Properties chief executive Ali bin Sulayem. “Kele Contracting is a well-respected company, sharing with us the focus on on-time delivery for all of our customers.” Hydra Towers consists of five high-rise buildings of between 20 and 36 floors.
“PERSONAL REASONS” CAUSE TABREED CHIEF TO QUIT By James Boley Tabreed’s CEO Khaled Salmeen Al Kawari has resigned from the Abu Dhabi-based district cooling firm. The company issued a short statement last week confirming his departure: “Khaled Salmeen Al Kawari has resigned from his position as chief operating officer of Tabreed for personal reasons.” Al Kawari started his career in 1998 as the mechanical project and design engineer at M-E Engineers in Colorado, US, where he designed and built mechanical systems and sporting facilities. In 2000, he moved to Abu Dhabi and held several positions at the Abu Dhabi Polymers Company and Borouge,
part of the Adnoc Group Petrochemical Company. He became deputy plant manager in 2005, overseeing the operational activities within the petrochemical plant. Prior to Tabreed, Salmeen was project manager of Mubadala Development Company in 2006 where he managed major energy investment projects at Masdar. In August, Construction Week reported that Standard &Poor had downgraded Tabreed’s credit rating, saying “the main areas of under-performance were lower-thananticipated reported profitability.” But H1 2009 appeared to be a good period for the firm, where the total revenue increased by 22% and gross income increased by 12%.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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FRONT $2BN SAUDI MEGA PROJECT UNVEILED By Benjamin Millington Saudi Arabian real estate developer Dar Al Arkan has unveiled plans to build a new master planned community in Jeddah at a total estimated cost of US $2 billion (SR7.5 billion), according to a company statement. The project, called Shams Al Arous, will cover three million m² and include more than 10,000 units, as well as public parks, entertainment centres, shopping malls, offices, restaurants, schools and mosques. Phase one of the project is expected to start in 2010 and will include construction of 2000 units at a cost of $400 million, said the statement. It did not say when phase one would finish, but the entire project is expected to take five years to complete. Shams Al Arous will be financed through a mix of its own generated funds, the company’s operational cash flows and external funds, SHAMS AL RIYADH HOUSING DEVELOPMENT IN RIYADH WILL COMMENCE NEXT YEAR. said the statement. Last week, Dar Al Arkan managing director Abdullatif He added that construction of its $1.6 billion Shams Al bin Abdullah Al Shelash told ConstructionWeekOnline.com Riyadh housing development in Riyadh is expected to that the company is currently finishing construction of commence in the first quarter of next year and take three its Al Qasr project in Riyadh which includes 4000 units. years to complete.
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FRONT HIGHLIGHTS UAE
ALSTOM IN RAIL TALKS French firm Alstom is in talks for light rail contracts in Dubai. VP of business development for transport Marc Chagnas said that Alstom was also bidding for the Haramain rail system, linking Jeddah, Makkah and Madinah in KSA. “We see in the Middle East real projects with advanced financing schemes, engineering and that’s not forgetting urban transport projects,” he said. A consortium including Alstom picked up the US $412 million (AED1.5 billion) contract to build phase one of the Al Sufouh tram system in Dubai earlier this year. UAE
CONTRACTOR SHIFTS FOCUS TO ABU DHABI The UK-UAE JV Al Futtaim Carillion (AFC) will attempt to negate a slump in Dubai projects with an increased focus on Abu Dhabi. And, the company expects the move to increase its Middle East turnover from US $730 million (AED2.67 billion) to $945 million in 2009,
according to an interim management statement from Carillion. In February, AFC won a $850 million deal to construct the Al Muneera development for private Abu Dhabi developer Aldar. Oman
AFFORDABLE HOUSING PROJECT LAUNCHED Zain Property Development is to create an affordable housing district in Muscat, Oman. The US $44 million (OR16.9 million) Dar Al Zain project will cover 62,000m². The project will be developed in four phases, with the first expected to be completed by June 2010. The entire project is scheduled for completion by the last quarter of 2012.Third party interior and exterior designers had been brought in on the project, said managing director Mish’al Moosa. Bahrain
WORKERS UNPAID FOR FOUR MONTHS Employees at Handmade Interior and Contracting Services in Bahrain claimed
their employer had not paid them for almost four months and was refusing to release them from their contracts. “[My employer] said I will not be paid the wages owed to me because it will go towards the cost of my visa, but he won’t even let me go home,” a disgruntled employee told CW. The story was corroborated by three of the 45 men who remain working for the firm. When contacted by CW, company boss Al Haddad said he only owed his workers one month salary, however admitted to illegally withholding his passports to ensure they fulfilled the terms and conditions of their contracts. Qatar
CONSORTIUM ACQUIRES QCON A Qatari-Bahraini consortium has acquired the Qatar Engineering and Construction Company (QCon) from Qatar Shipping. Qatar America Asia Consortium (QAAC), Bahrain-based Unicorn Investment Bank, Qatar First Investment Bank and The
NEWS IN NUMBERS
Under-construction Consultant Mouchel finished the year power projects in in the red after the GCC are worth Dubai writing off an estimated developer
Ishraq has broken ground on the
22-storey Holiday Inn Express in Manama
14
US $162bn, with around
50% of the total investment taking place in Saudi Arabia
CONSTRUCTION WEEK OCTOBER 17–23, 2009
$47m
of bad Dubai debts
First Investor acquired 100% of QCon from Qatar Shipping. “We are proud to have formed an alliance with three of the region’s financial institutions to acquire QCon, and we are confident that the consortium will add value to the company,” said QAAC chairman Sheikh Ahmed bin Mohammed bin Jabor Al Thani. Qatar
$610 MILLION PLANT CONTRACT AWARDED The Qatar Fertilizer Company (Qafco) has awarded a US $610 million (QR2.2 billion) EPC contract to a consortium lead by Italy’s Saipem and South Korea’s Hyundai Engineering and Construction. The contract covers the supply of licenses, engineering, procurement, construction and start-up of a complete granulated urea production plant with a capacity of 3850 tonnes per day at the Qafco Complex in Mesaieed Industrial City. Construction of the plant, known as Qafco-6, will take 35 months and is expected to be completed by the third quarter of 2012.
Abu Dhabi faces a housing gap of between
5000 and 40,000
homes, says Baniyas Investment
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ANALYSIS
> For the latest analysis log on to www.ConstructionWEEKonline.com
Governments providing industry with silver lining THE CONSTRUCTION INDUSTRY COULD BE ON THE ROAD TO RECOVERY THANKS TO GOVERNMENTS IN THE GCC By Matt Warnock
After months of doom and gloom, the construction industry this week saw the first shoots of economic recovery, as many in the industry received a welcome boost. Qatar, KSA and Abu Dhabi are leading the way, according to the latest report from Deloitte Middle East, entitled ‘The GCC Powers of Construction 2009’. “We have brought together expertise from Deloitte, as well as key regional players such as Arabtec and Construction Products Holding Company (CPC) to give valuable insight into the impact of the crisis on the construction sector in the region, as well as prospects for future growth and demand. The overriding message is one of many opportunities still to be found,” said Deloitte
RAKEEN’S GHASSAN YOUSSEF FEELS THAT CONSTRUCTION IN RAK IS STILL GOING STRONG.
“GOVERNMENTS MUST SPEND WISELY AND INITIATE WELCOMING ATMOSPHERES”
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UAE audit partner and construction indus“Of course, governments must spend try leader Cynthia Corby. wisely, create infrastructure and initiate The report found that Qatar’s gas-rich rev- welcoming atmospheres for both visitors enues were being ploughed into a construc- and industries to operate in,” agreed Rakeen tion sector that is set to grow by 17% in 2009, managing director Ghassan Youssef, who while Abu Dhabi’s 2030 plan continued to highlighted that construction in the emirate drive strong performance. of Ras Al Khaimah However, Saudi Arabia is was still going “GOVERNMENTS the current construction giant strong too. ARE BREATHING with around 50% of all Gulf “RAK has never LIFE INTO THEIR building developments. been over-hyped CONSTRUCTION SECTORS” “Governments are most likely to but the Crown be the dominant force in breathPrince, HH Sheikh ing life into their respective countries’ con- Saud, has played a key role in encouraging struction sectors,” said Deloitte Corporate business to ‘the industrial emirate’ and, thereFinance construction and capital projects fore, we’re not reliant on speculators.” advisory leader Rizwan Shah. Romain Felber, GM of RAK’s Al Hamra Village development continued, “Absolutely. All industries, in addition to tourism and property, are attracted to RAK through excellent leadership and that means that we’re not responding to a bubble, but to a real demand – an increase in industry and production.” So confident is Al Hamra in RAK’s continuing popularity, he revealed the developer is panning on maintaining and managing up to 30% in order to maximise the rental potential brought in by the likes of the upcoming Americas Cup. If governments are to be key in driving economic recovery, Salem Al Moosa, chairman and CEO of the Falconcity of Wonders project, noted that Dubai would be extremely well placed to come out on top. “What do you look for, whether an individual, investor or company? No taxes? Great transport? Facilities and amenities? SALEM AL MOOSA, CHAIRMAN AND CEO OF THE Attractions? Other leading multinationFALCONCITY OF WONDERS. als? We have all these already and the government is being very wise in scaling back development but continuing to focus on “THE GOVERNMENT infrastructure,” said Al Moosa. IS BEING VERY WISE “All those people who left Dubai, will be IN SCALING BACK DEVELOPMENT” flooding back.”
CONSTRUCTION WEEK OCTOBER 17–23, 2009
> For more pictures log on to www.ConstructionWEEKonline.com
FRONT NEWS IN PICS
LEFT: Last week, UAE-based property developer, Pearl Dubai completed the concrete raft pour on the development’s North Tower. This marks the installation of three of the Middle East’s largest rafts on tower 1, 2 and 3 of the project. The overall concrete pouring on the project’s four towers will consist of around 44,000m3 of concrete in the foundations containing over 4800 tonnes of steel reinforcements. Located opposite the Palm Jumeirah Island in the heart of Dubai Technology and Media Free Zone, Dubai Pearl is a landmark destination designed to offer spectacular views of the Arabian Gulf. LEFT MIDDLE: Abu Dhabi’s Yas Island is gearing up for its Formula 1 debut next month at the brand new Yas Marina Race Circuit. Stirling Lloyd’s waterproofing membrane Integritank has been used to protect the Southern Crossing Tunnel, which is currently close to completion and will link Al Raha Beach to the Yas Marina Circuit. It is scheduled to be completed in time for the November race this year. LEFT BOTTOM: Indian contractor Hindustan Construction Company is using four Sandvik DT 820 underground jumbo drill rigs for the construction of India’s first underground crude oil storage cavern in Visakhapatnam. The cavern is being constructed under a US $75.5 million contract for Indian Strategic Petroleum Reserves Limited, a subsidiary of the Oil Industry Development Board under the Petroleum Ministry. BELOW: A second glass dome is under construction above the Mall of the Emirates’ new 10,500m2 extension project. Like its other half, the apex of the new dome is 38m above the granite floor – high enough to house the Statue of Liberty. Designed by F+A Architects and detailed by Holfords, the dome is being made locally from sixteen large steel ribs that meet in a steel ring at the top with glass panels that form a grid supported by smaller steels. It will be erected over the coming three months.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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EVENTS
Event: Construction Week Awards 2009 Overview: In its 5th year, the Construction Week Awards 2009 will celebrate excellence in the construction industry and exceptional performance in 15 key areas of the sector, with nominations open to contractors, developers and consultants working in the Middle East. Award categories include project manager of the year, construction manager of the year, sustainable project of the year and developer of the year among others. Date: November 4 Location: Grand Hyatt, Dubai Phone: +971 4 435 6133 Email: annie.chinoy@itp.com Website: www.constructionweekonline. com/cwawards
NEXT WEEK!
Event: CID Awards 2009 Overview: This year’s CID Awards will celebrate the success of the Middle East design industry and demonstrate how the region’s sector can stand alongside its international peers. Date: November 15 Venue: Park Hyatt, Dubai Phone: +971 4 435 6133 Email: annie.chinoy@itp.com Website: www.constructionweekonline. com/cidawards
Event focus
BUILDING SUSTAINABILITY INTO THE MIDDLE EAST DATE: OCTOBER 25, 26 VENUE: CROWNE PLAZA HOTEL, ABU DHABI PHONE: +971 4 4356127 EMAIL: OSCAR.WENDEL@ITP.COM WEBSITE: WWW.CONSTRUCTIONWEEKONLINE. COM/CONFERENCES Construction Week has merged the Building Sustainability conference and the GreenBuilding training series in order to offer strategic insight and practical learning in one exhibition.
Event: Construction Week Dubai Conference Overview: A one day event with two streams
running concurrently covering the vital aspects of construction and real estate. Date: November 3 Venue: Raffles Hotel, Dubai Phone: +971 4 435 6127 Email: oscar.wendel@itp.com Website: www.constructionweekonline. com/conferences
Event: Build Smart 2009 Overview: Build Smart 2009 will present solutions, new technologies and best practice for improving efficiency and productivity during project development. But, the main focus at the event will be the official launch of new association, Building Smart Middle East. It will demonstrate that by establishing standards for the construction industry, Building Smart can facilitate improvements in profitability and sustainability in the region. Building Smart will eventually operate throughout the Middle East and North Africa, as a not-for-profit organisation. Date: November 15-16 Venue: Yas Hotel, Abu Dhabi Website: www.itp.net/events/buildsmart Event: MEP Awards Overview: The MEP Awards 2009 is a platform for the mechanical, electrical and plumbing sector in the Gulf to recognise its achievements and to acknowledge the latest innovations, technology and processes that have helped drive down costs and ensure adherence to best-practice standards. Date: December 9 Venue: The Westin, Dubai Phone: +971 4 435 6133 Email: annie.chinoy@itp.com Website: www.constructionweekonline. com/mepawards Event: Construction Week North Africa Conference. Overview: This Construction Week conference will provide a firm basis for all interested parties to come together and share their experience of the
economic renaissance in North Africa. Date: December 17 Venue: Semiramis Intercontinental, Cairo Phone: +971 4 435 6127 Email: oscar.wendel@itp.com Website: www.constructionweekonline. com/conferences Event: International Symposium on Architectural Membranes Overview: The workshop will address the theoretical bases for structural analysis necessary for computer implementation. Date: October 14-15 Venue: American Univeristy in Dubai Website: http://isam-dubai.web.officelive. com/about.aspx Event: Index 2009 Overview: Index is the Middle East’s largest contemporary interiors trade show. Now in its 19th year Index is established as the must-attend annual event for buyers and suppliers of the world’s finest interiors. Date: 14-17 November Venue: Dubai World Trade Centre Phone: +971 4 438 0355 Website: www.indexexhibition.com Event: The Big 5 Overview: Big 5 is the annual meeting place for all industry professionals. Over 58,000 key buyers and decision makers from the public and private sectors attended the 2008 event. Date: November 23-26 Venue: Dubai World Trade Centre Website: www.thebig5exhibition.com Event: The Big 5 PMV Overview: International exhibition for plant, machinery and vehicles. Date: November 23-26 Venue: Dubai International Exhibition Centre Phone: +971 4 332 9029 Website: www.big5pmv.com Event: Saudi Building and Interiors Exhibition and Symposium 2010 Date: April 4-7, 2010 Venue: Jeddah International Exhibition and Convention Centre Phone: +966 2 654 6384 Email: ace@acexpos.com Website: www.eventseye.com Event: Front Roof and Cladding 2010 Date: March 8-10, 2010 Venue: Expo Centre, Sharjah Website: www.eventseye.com Event: Saudi Building and Interiors Exhibition and Symposium Date: April 4-7, 2010 Venue: Jeddah International Exhibition and Convention Centre Phone: +966 2 654 6384
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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COMMENT > For the latest news and comments log on to www.ConstructionWEEKonline.com/comment
Avoiding the downward economic spiral BASSAM SAMMAN DISCUSSES THE IMPORTANCE OF RISK MANAGEMENT, PARTICULARLY DURING THE DOWNTURN
Organisations are now seeing the importance of investing in new projects that will help them meet increased consumption demand and maintain and recapitalise their existing assets. Nevertheless, project investments are known to be subject to high risks of failure. According to a US survey, almost 70% of undertaken projects fail to achieve their original set objectives. And this is a major threat – investments wasted in failed projects become sunk costs that organisations can’t recover, but it would mean that they have wasted the opportunity to invest those funds in other projects, which could have been beneficial. Unlike controlled operations, a key feature of each project is that it is unique. The issues and problems associated with each project delivery differ from one project to the other. Risks are inherited in each project delivery regardless of measures an organisation takes in identifying and managing risks. Project risk management is driven by the organisation’s top executive level. It is at that level when an organisation is labelled as aggressive or conservative. It is also at that level where the attitude towards risk exposure gets determined and communicated throughout the firm. An organisation’s CEO has the duty to select and set the priorities for what objectives need to be considered when a risk analysis is done. In light of the economic crisis, organisations are finding it more important to select the right projects and when selected, delivered the right way from the start. Therefore, it is crucial that proper risk management practices are implemented when deciding what projects should be selected for execution. Portfolio Risk Management The Portfolio Project Management concept is recognised as the link that executives and
CEOs have lacked in order to align project investments with their organisation’s strategic goals. Through those processes, executives are now able to follow a proven methodology for detailing different investment initiatives required to achieve their strategic goals and then apply a process for categorising, evaluating, prioritising and selecting what project investments to sanction. The portfolio project management methodology has identified four processes: Identify portfolio risks—this process will help identifying which risks may affect projects portfolio and documenting their characteristics. Analyse portfolio risks—this will help to identify how to assess and combine the likelihood of occurrence and impact on selected objectives of identified risks. Develop portfolio risk responses— this helps to develop options and actions to enhance opportunities and to reduce threats to portfolio objectives. Response actions for negative risks could include identifying actions to avoid the causes of those risks or reduce the likelihood of those risks to occur. Monitor and control portfolio risks—This process helps to track the identified risks, monitoring residual risks, identifying new risks, executing risk response plans, and evaluating their effectiveness throughout the projects portfolio life cycle. Organisations looking to avoid diving down the economic spiral need to give great care to risks in their project investments and adopt practices to identify, analyse, respond and manage those risks, not only at each project level but also at the organisation enterprise level. Further, risk management is an executive action where executives have the duty to create the policies and impose the processes that will ensure not only project investments are aligned with the organisation’s strategic objectives but that all project risks are aligned with the enterprise risks.
“IN LIGHT OF THE ECONOMIC CRISIS, ORGANISATIONS ARE FINDING IT MORE IMPORTANT TO SELECT THE RIGHT PROJECTS”
Samman is the CEO and Founder of CMCS, a supplier of project management solutions. He has 26 years of experience in the field. He graduated in civil engineering from Kuwait University and earned a masters degree in Engineering Administration from George Washington University. Samman is a certified project management professional and a certified planning and scheduling professional and earned value professional. He is a founding member of the Project Management Institute Arabian Gulf Chapter and served on their board of directors for more than six years.
The opinions expressed in this column are of the author and not of the publisher.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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LEGAL > For more legal advice log on to www.ConstructionWEEKonline.com/comment
Mediation is a good option OLIVER KAMMERER SAYS ARBITRATION IS NOT THE ONLY CHOICE ONE HAS WHEN OPTING TO RESOLVE DISPUTES
“THERE IS NO JUDICIAL RECOGNITION OF THE ‘WITHOUT PREJUDICE’ CONCEPT [IN THE UAE]”
Kammerer is a consultant at Hill International’s Dubai office. He holds a civil engineering degree from the University of Applied Sciences Mainz/Germany and a Masters of Law degree in Construction Law and Arbitration from the Robert Gordon University in Aberdeen/UK. He is further a member of the Chartered Institute of Arbitrators and of the Society of Construction Law. He has about 7 years construction and engineering experience gained in Germany, Libya, Iran and the UAE.
The opinions expressed in this column are of the author and not of the publisher.
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Alternative dispute resolution (ADR) refers to private methods of dispute resolution outside the courtroom. There are various ADR options available including mediation, conciliation, adjudication, expert determination and mini-trials. Although technically being an alternative to litigation, arbitration is sometimes not considered as being an ADR option because of the possibility of the process being turned into a private version of litigation – though the parties could agree otherwise. ADR, in the form of mediation in contrast to litigation/arbitration, is considered to be: more informal and flexible, faster, less expensive, enhancing communication between the parties and beneficial in the maintenance of commercial relationships as the parties aim to reach a consensual solution instead of having a decision unilaterally imposed on them by a third party. The nature of ADR generally makes it essential that the parties approach the process with a degree of flexibility of position and are willing to compromise to reach a solution. Among the ADR options available, mediation is probably the best known and the most utilised in recent times. In mediation, a skilled third party (the mediator) actively encourages the parties to reach a mutually acceptable solution for their dispute. Mediation is an important alternative dispute resolution method and is accepted as a proper procedural process for the resolution of disputes under Islamic law or in an Islamic context. Normally a mediation session starts with the parties and the mediator meeting in a joint session where the process is described by the mediator. After that the parties make their opening statements and then move to separate rooms with the mediator going back and forth. The mediator will listen to the arguments put forward and to guide negotiations towards a consensual solution. He may offer advice as deemed appropriate whilst maintaining neutrality. He has no power to issue an imposed decision
CONSTRUCTION WEEK OCTOBER 17–23, 2009
on the parties. In contrast to litigation or arbitration, the mediation process may be less adversarial and can take account of commercial considerations beyond narrow concepts of judicial right and wrong. Mediation, therefore, tends towards less hostility than litigation or arbitration which typically produces a winning and losing party, ignoring possible legitimate concerns of either party. The attitude of the parties very much influences the success of the mediation. If the parties unwilling to compromise and take a realistic view of any potential settlement, the mediation will most likely fail. Although it is important that the mediation is attended by representatives of the parties who are familiar with the issues in dispute, there may be a place for other representatives (eg. those with settlement authority to hear both sides and form an independent view of the respective merits). If an agreement is reached by the parties, a skilled mediator would assist the parties in reducing the resultant agreement to writing for signature, avoiding ambiguity and any possible further dispute on the same issues. One important point that the parties should keep in mind when conducting a mediation in the UAE is that there is no judicial recognition of the ‘without prejudice’ concept, which could mean that commercially sensitive information, including tentative offers of settlement, would be capable of disclosure in later proceedings. Techniques and approaches exist however, to circumvent such potential pitfalls and these should be made available to parties in dispute by proper professional advisors. Parties in the UAE contemplating the use of mediation should give particular importance to two factors including 1) control of the process remains with the parties as they may withdraw without penalty at any time and 2) the parties only have to agree to a solution if they can live with it, unlike litigation or arbitration in which the judgement may be detrimental to them.
German Formwork Technology A Total Solution Provider Relatively young company, started in March 2008, GFT is far more than just ‘another’ supplier as it has vast experience in providing provides complete formwork solution (includes design work, price estimates, material supply, training on site, site supervision, and the issuing of certiďŹ cates to contractors prior to concrete pouring) to contractors from sales to rental, as it has a highly skilled management team whit many years of experience. GFT has quickly developed a reputation as a total solution provider, offering an extensive product range, preparation of detailed execution drawings and corresponding calculations, as well as on-site assistance.
GFT`s commitment to QC and Health and Safety requirements: - Ensure a high standard product quality and safety. - All products are assessed prior to marketing to identify any quality, safety concerns and to ensure that they are compliant with all necessary product safety legislation - Quality control at different phases of the production line. - Frequent visits to the manufacturing companies and production facilities to ensure that the correct quality assurance and proper production method statements are met. - Random QC checks are carried out by FUGRO laboratory in the UAE. All of these controls are undertaken to ensure that products are free of risk and provide long life performance. GFT follows both European and local regulations for the control of products, which provides a framework for the production and utilization of the material without risks.
GFT is committed to the most stringent QA/QC and Health and Safety requirements. Its aim is to produce only quality products that can be used safely and are accompanied by the necessary information. GFT believe that its clients, and others who may use its products, have a right to expect that all quality insurance, health, safety and environmental requirements are met.
Prestigious projects: -
Hospital project in Um Al Quain Coral Beach Hotel in Ajman Queens Palace Hotel in Abu Dhabi Extension of Madinat Zayed in Abu Dhabi Abu Dhabi Financial Centre (high rise)
Dubai T: +971 (0) 4 343 4154 F: +971 (0) 4 343 4155
www.gf-tech.ae
Abu Dhabi T: +971 (0) 2 551 4948 F: +971 (0) 2 551 4947
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CONSTRUCTION WEEK OCTOBER 17–23, 2009
T H E C R OW N J E W E L AS THE PRINCESS TOWER GEARS UP TO BECOME THE TALLEST RESIDENTIAL BUILDING IN THE WORLD, CONSTRUCTION WEEK LOOKS AT THE PROGRESS ON THE 420M-HIGH DEVELOPMENT AND DISCOVERS WHAT MAKES BUILDING A TALL TOWER DIFFERENT FROM ANY OTHER PROJECT By Sarah Blackman; Photos by Efraim Evidor
T
here’s no place like Dubai Marina to find a room with a view. With The Palm Jumeirah on one side and the city’s bright lights on the other, it’s no wonder that UAE developers are making their mark in the scenic location by constructing super-tall residential buildings. In fact, building the tallest has almost become a competition in the area with 23 Marina and the Elite Residence Towers reaching new heights and set to stand at 90and 91-storeys respectively upon completion. But, it is the Marina’s Princess Tower
that is set to reign as the tallest residential There will also be some retail outlets facing building in the world upon its expected Al Sufouh road and the side street running completion date of July 8, 2011. back to the marina. In addition, there will The project was first announced by Tameer be a recreational area at level 97 for ownHolding Investments in November 2006 and, ers of the building and guests to enjoy the three months later, Arabian Construction surrounding sights. Company (ACC) was awarded “Already the floor the main construction contract. at level 57 is spec“WE HAVE RESUMED Work began immediately and tacular. It overlooks FULL PRODUCTION the development, which will The Palm and the rest AND ARE NOW stand at 100 stories, has now of the marina,” says WORKING TOWARDS reached the 58th floor. COMPLETION” ACC project manager Bill Parker. The Princess Tower conThe tower is currently progressing five sists of approximately 580 apartments. It has gymnasiums and swimming pools on to six days ahead of the planned schedule levels five and six, and has six floors of park- but, according to Parker, the development ing below ground and four above. hasn’t always been a smooth process.
STANDING ON THE 57TH FLOOR, ACC’S BILL PARKER SAYS THE PRINCESS TOWER OVERLOOKS THE DUBAI MARINA AND THE WHOLE OF THE PALM JUMEIRAH.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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“EFFECTIVELY WHAT WE ARE DOING IS CONSTRUCTING ONE BUILDING ON TOP OF ANOTHER”
“With the financial crisis we had a slow down period but, together with the client, we have managed the process so that the project has continued to develop steadily through the period, albeit a little slower,” he explains. “We have a typical floor cycle of around six to seven days, but during the slowdown period we were completing a floor every two weeks. This was to help assist the client in managing its finances. In the last month, however, we have resumed full production, so we are now working towards completion.” However, there is more to building a skyscraper than simply constructing a few additional floors. At the base of the Princess Tower, concrete elements are 130cm-thick and ACC is currently using 60cm-thick concrete at level 57; the contractor will later reduce the thickness to 30cm by the 100th floor. The building perimeter structure is progressively becoming thinner, so that the floors below can handle the load. “Effectively, what we are doing with the very tall structure is constructing one building on top of another,” explains Parker. The composite slab is made up of steel beams, a corrugated metal deck and reinforced concrete with strengths of around 80 megapascals (MPa). The metal deck is stud-welded to the steel beams, so there is complete composite action, with rebar coming from the core and from the perimeter columns completing the slab. “The slab acts as a diaphragm connecting the concrete core and perimeter columns. This structure system is known as ‘tube in tube’ construction.” According to the project manager, Tameer chose ACC as the main contractor because of its expertise in very tall buildings. Parker himself also has a lot of knowledge in this particular field. “I was involved in Eureka in Melbourne [Australia], which at the time was the tallest residential building in the world. This was
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LEFT TO RIGHT: WORK ON THE PRINCESS TOWER HAS CONTINUED THROUGHOUT THE DOWNTURN.
completed in 2006 and I came to the UAE in the same year to join ACC,” he says. “I came from a tall building expert company and joined ACC for the specific task of building the next tallest building and the next after that.” It is because of ACC’s specific construction knowledge that the Princess Tower is able to withstand seismic activity and damage caused by the elements. Last month, S K Ghosh of S K Ghosh Associates, a seismic and building code consulting practice, told Construction Week that even in the Gulf, where there are few earthquakes, seismic provisions should be considered. “There aren’t many earthquakes in the Gulf but they are quite common in Iran and an earthquake there would definitely be felt out here,” he said. “Ground motion caused by earthquakes can be significant, so provisions definitely need to be considered.” According to Parker, on a tall structure such as the Princess Tower, the need to protect the building against strong winds overrides the need for seismic provisions. “Because this is a very tall building, levels six, 24, 52, 79 and 96 have been designed with wind resistant belt structure elements. So, the columns and beams you find on all the other floors are supplemented by these belt structures, which are part of the wind resistance of the building,” he says. Building the tower has also created logistical challenges for ACC. The sheer height of the
CONSTRUCTION WEEK OCTOBER 17–23, 2009
PRINCESS TOWER – FAST FACTS: CLIENT
Tameer Holding Investments
MAIN CONTRACTOR
Arabian Construction Company
CONSULTANT
Adnan Saffarini Engineering Consultants
MECHANICAL CONTRACTOR
ETA Hitachi Plant JV
LIGHTING DESIGNER
FEMC
TENDER DATE
August 2006
CONSTRUCTION START DATE
February 2007
EXPECTED COMPLETION
July 8, 2011
PROJECT VALUE
US $190 million
building has made it difficult to transfer men and materials to a particular workface. In order to combat this problem, the company implemented systems such as Grocon’s jump form system (a climbing formwork system), which according to Parker, reduces crane hoisting requirements for the concrete structures. In addition, staircases, which can be accessed immediately after concrete is poured are used on site. Health and safety is also being taken very seriously during the construction of the 420m-high tower. “Falls are the greatest danger on a construction site and we are very conscious of that,” Parker insists.
“We train our workers by holding weekly indeed. This is a good situation to be in at tool box talks and make sure the appropri- the moment.” ate equipment is used. We also have a site ACC currently uses Primavera construcnurse and clinic for the small injuries and so tion software to control its overall costs but on. Furthermore, we have an alarm system, will shortly be implementing an integrated which runs throughout the building and management system. sounds if there is a potential problem.” “All of our projects are going live with SAP management software Implementing health and safety systems and investing this month,” Parker adds. “FALLS ARE in strong building materials “Our cost reporting has been THE GREATEST are small prices to pay for DANGER ON SITE spreadsheet based but SAP is building what will be the secAND WE ARE an integrated system, which ond tallest structure in the VERY CONSCIOUS reports at site level, regional OF THAT” level and group level.” world – a development that will stand the test of time. And, The Princess Tower is according to Parker, even after taking steps expected to lose its crown as the tallest to improve the quality of the building, ACC residential building in the last quarter of is very close to keeping to its budget. 2013 when The Pentominium, a 129-storey The contract for the tower has increased project, also being built by ACC in Dubai by less than 3% in over two years. The Marina, is completed. But, the location of original contract for the tower was US the towers still remains one of the most $190 million (AED700 million) and has desirable and sought after places to live and, now increased by around $5.4 million. with more and more exciting new develop“I think we have variations of around ments progressing there, it may well keep AED20 million, which is very small its place on the throne.
FLEXIBLE FORMWORK CAN THE TYPE OF CONCRETE USED FOR A PROJECT AFFECT THE FORMWORK NEEDED TO ENSURE ITS SUCCESS? CONSTRUCTION WEEK INVESTIGATES THE EFFECTS OF SELFCOMPACTING CONCRETE ON FORMWORK ByAlison Luke
O
ne of the latest developments in the concrete industry is that of self-compacting concrete (SCC). When used correctly, the product does not need mechanical vibration and will simply flow into the areas that have been created by the formwork to meet the structural design. Shorter onsite times and higher quality finishes are among the benefits cited for SCC, but how does its use impact the formwork applied to contain it on a project? And how are the formwork manufacturers overcoming these issues?
CONCRETE CHOICES When a contractor opts to use SCC on a project there will be an immediate impact on the type of formwork system that can be used. This is primarily due to the higher pressures that will occur during the casting period. “If SCC is to be utilised this will generally negate the option for the contractor to use traditional hand-built timber and plywood columns or walls as is sometimes still seen on sites,” reports Aluma Systems Middle East Abu Dhabi area manager Daniel Taylor. “Due to the considerably higher design pressures created when SCC, as opposed to traditional concrete, is poured into vertical forms, the contractor is advised to use high quality system formwork,” adds Taylor. Specially designed formwork may be necessary in some cases. “Some of the ready-made panel formworks might not be able to withstand the higher concrete pressure generated by SCC depending on the shutter height,” explains Peri technical manager UAE and Oman, Oliver Weiss. MFE Formwork Technology design manager Michael Allen agrees: “The choice of SCC will affect our formwork supply if the design calls for areas to prevent the rise of the concrete post-pour. We will also need to look at the wall/column formwork design. “SCC obviously flows better into any features, negating the need for vibration and giving a better finish to the concrete. This leaves extra pressure on the formwork self generated compactions, but gives sharp edges on all columns and beams,” adds Allen.
FACTORS TO CONSIDER By far the biggest issue of SCC for formwork providers is the increased pressure, however, other factors such as costs and
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CONSTRUCTION WEEK OCTOBER 17–23, 2009
> For more special reports visit www.ConstructionWEEKonline.com
ADDITIONAL MEASURES TAKEN TO SECURE AGAINST HIGHER CONCRETE PRESSURE AT SCIENCE CENTRE, WOLFSBURG, GERMANY.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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Superior, Fast and Safe Highest Quality Formwork Engineering - Made in Spain
DANIEL TAYLOR, ALUMA SYSTEMS MIDDLE EAST, AREA MANAGER.
OLIVER WEISS, PERI TECHNICAL MANAGER UAE AND OMAN.
time must also be taken into account when designing a system. “The biggest factor when designing formwork for SCC is the consideration of higher design pressures for the vertical forms such as columns and walls,” explains Taylor. “For conventional concrete, the design pressures are lower due to the lower slump flow and quicker setting times, meaning that primary beams, joists and tie-rod spacing in our adjustable Aluma Vertical systems can all be spaced farther apart. “More rigid systems such as panelised, vertical shutters will have decreased versatility [when used with SCC] and traditional hand-built shutters simply won’t be able to consistently and adequately accommodate the higher pressures without risk of failing,” Taylor warns. The higher pressures created by the poured concrete necessitates the need for a more resistant formwork stresses Bern-
PERI SSC-TRIAL - TOTAL WALL HEIGHT 8M.
MICHAEL ALLEN, MFE FORMWORK TECHNOLOGY DESIGN MANAGER.
hard Lindner, technical manager Doka Gulf. “SCC requires a very accurate assembly of the formwork, with no openings left and 100% tightness to avoid possible leaks,” explains Lindner. The cost of the formwork will be greater if special designs are required warns Weiss. However, there are several benefits to be gained by the contractor, client and the formwork manufacturers and suppliers. “Since the formwork will be designed for hydrostatic pressure the rate of rise is not limited,” explains Weiss. This will enable faster pours, hence time savings on site. As external mechanical vibration is not needed, a better surface finish can be achieved and reinforcement can be denser. “Segregation can be avoided, for example under big box-outs, and there is the possibility of pumping concrete from the bottom,” explains Weiss. “No casting windows are
THE EFFECTS OF SCC ON FORMWORK • Greater concrete pressure, particularly in wall formwork • High formwork will require special design • Some ready-made panel formworks are unable to withstand the higher concrete pressures • Potential increased costs for formwork due to changes and/or additions needed to standard products • Concrete can be pumped from the base; the rate of rise is not limited • No casting windows are needed for high shutters • Formwork must be 100% secure to avoid leaks
BERNHARD LINDNER, TECHNICAL MANAGER DOKA GULF.
required for high shutters and the rate of rise is not limited,” adds Weiss.
OVERCOMING THE ISSUES OF SCC There are many ways to overcome the issues on formwork for projects using SCC. Perhaps the most important of these is the early involvement of the formwork provider. “First of all it should be discussed whether SCC is really necessary for the structure to be cast,” states Weiss. “The advantages and disadvantages, including costs, should be carefully evaluated.” Once the use of SCC has been established, developing a suitable formwork system to meet the structural needs is the next essential step. “During the design and drafting stages, the choice of the adequate formwork solution is crucial for both technical and economical reasons,” stresses Lindner. “This helps to ascertain whether a system formwork - framed or timber beam - should be used, or if project-specific solution will be necessary,” he explains. In order for the system to be a success, the formwork provider must operate in close contact with the wider construction team. “In all circumstances where SCC is to be used, [Aluma] meets with the contractor to ascertain their requested speed of pouring the particular form, calculate the expected pressure which will result from the rate of pour, and then design the formwork to the most economical configuration, all within our internationally approved safety factors,” stresses Taylor. With regards to the choice of formwork shoring system for the slabs, one of the primary benefits of SCC is the high quality finish it produces, which reduces the time and effort required after deshuttering to finish the surfaces. “We have found that generally contractors who are taking
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
33
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ALUMA SYSTEMS MIDDLE EAST HAS BEEN WORKING ON ZELAN’S MEENA PLAZA.
them, such as temperature, concrete recipe, site conditions eg. number and size of rebar,” warns MFE FORMWORK TECHNOLOGY’S INFINITY TOWER PROJECT. Lindner. “At Doka, for the formwork design, we consider a hydrostatic presthe decision to use SCC in search of this sure, meaning 25 kN/m² per 1m height of benefit do not want a formwork system pouring, however we always remember the to leave a bad finish on the underside of changing factors,” Lindner adds. the slab, which will negate this benefit,” stresses Taylor. PRODUCT “As opposed to panelised slab shoring AVAILABILITY systems, which can leave a large patch- The good news for contractors is that many work of indentations on the underside of of the existing formwork products can be the slab at the junction between panels and adapted to meet the needs of SCC, while primary members, a plywood-based shor- others have also been developed for use ing system such as Aluma Table-Form and in such cases. Aluma Frame leaves a high quality finish “All formwork systems can be used for any and therefore would not negate the benefit kind of concrete,” reports Lindner. “In the of using the SCC,” Taylor adds. case of SCC, the formwork design must be In some instances trial off-site casts are adjusted to meet a much higher concrete carried out prior to on-site work commenc- pressure, eg: Doka large-area formwork ing to ensure that the formwork will per- Top 50 gets designed depending on the specified concrete pressure, the spacing form as required. “If the design is done properly by experts, between the formwork beams and the steel theoretically no special tests are required wailings are then increased to cope with [to ensure the viability of the formwork the required load,” he explains. system],” states Weiss. “However it might Doka has introduced the Framax universal be advisable to carry out mock-up casts SCC panel for use with SCC. The concrete to confirm concrete surface results and is pumped in through the built-in connecpracticality for the site.” tion point and forced upward under presPeri has performed such trials off site sure. The panel has a special adapter with with a concrete supplier and contractors a gate for connecting the concrete pump. for certain projects. MFE has also offered It is suitable for use in applications with trials for certain projects. Allen reports: complex geometries and very highly rein“Mock-up areas are cast to see if sagging forced structures. In addition, the Doka filler neck SCC enables the large-area Top will occur in the designed forms.” However, care must be taken when car- 50 formwork to utilise SCC; this is the same rying out and analysing any test results. element as used in the Framax panel “Tests comparing statistical calculations Peri has provided formwork for several with measured pressure on the site do not projects where SCC has been used. The bring precise and clear results as there are firm offers a concrete pump connector too many side factors which may influence within its product portfolio that enables
the pumping of concrete from the bottom of the shutter. The firm’s other products can be used regardless of the concrete type: “We did not adopt our formwork products to SCC in particular; it is more important to be fully aware of the topic and design accordingly,” stresses Weiss. MFE offers a system formwork solution that is custom-designed for the specific project parameters, but it is important to bear in mind its future uses as it can be reused up to 250 times stresses Allen. “The material gauge varies depending on the kN/mm² pressure on the formwork area. The components would demand extra bracing [when used with SCC], however the reinforcement spacing may be closer and use additional accessories to counter the additional pressures,” Allen adds. Adaptability of the formwork system is important agrees Taylor. “When choosing the type of formwork, a vertical system such as Aluma Column, Aluma Wall and Aluma Super-Core, is extremely versatile in its design parameters, thus allowing necessary adjustments to be made to accommodate the higher design pressures as well as the contractor’s requested speed that he wishes to achieve the pouring,” Taylor explains.
FUTURE FOCUS The use of SCC is yet to become the norm in the region, however it is expected to become more common on future projects given perceived benefits such as reduced time. And with the major formwork providers all focusing on providing solutions to the potential issues that SCC can cause, its effective use will surely be assured. “All of the issues [of SCC on formwork] can be overcome with detailed knowledge and valued design,” concludes Weiss.
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
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www.ConstructionWEEKonline.com/directory
§ § § § DIRECTORY
DIRECTORY TENDERS | PROJECTS | SUPPLIERS | CITY UPDATE
38 TENDERS 39 PROJECTS SPECIALIST SERVICES 40 Building materials 41 Construction chemicals/concrete 42 Education & training/flooring 43 Recruitment/steel CITY UPDATE 44 Makkah, Saudi Arabia
To advertise please call Shishir Desai +971 4 435 6375, or email shishir.desai@itp.com
OCTOBER 17–23, 2009 CONSTRUCTION WEEK
37
TENDERS §
¦TENDERS FREE TENDERS AND SERVICES IN THE CONSTRUCTION INDUSTRY TO INCLUDE YOUR TENDERS IN THIS SECTION EMAIL TENDER DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Tender focus
ROYAL COMMISSION OF JUBAIL AND YANBU Royal Commission for Jubail and Yanbu – a government entity – was established to develop two cities; Jubail on the east coast and Yanbu on the west coast of Saudi Arabia. Currently, the company is overseeing a massive expansion of Jubail, which includes new residential areas, a university, a rail network and a new industrial zone dubbed Jubail Two. Last month, it was reported that the commission awarded a number of utility contracts, totalling US $372.6 million (SR1.4 billion), for the implementation of industrial, residential and public utility projects in the industrial cities of Jubail and Yanbu. The largest contract, totalling $132.7 million, was awarded to Azmeel Contracting Company for the construction of 312 housing units with all utility services.
To include your tenders in this section email tender details to editor@ConstructionWeekOnline.com
BAHRAIN Issuer: Electricity and Water Authority Tender No: 237/2009/5310 Description: Supply of a PVC pipeline in Bahrain. Closes: October 7 Fees: BD15 Contact: Purchasing and Supply Directorate, Room 107, Ground Floor, Electricity and Water Authority, Diplomatic Area, Manama EGYPT Issuer: Potable Water and Sanitary Drainage Company Description: Companies specialised in waste water solutions to design lifting stations at villages within Kafr El Sheikh Governorate. Closes: October 7 Fees: EP5000 Bond: EP500,000 Contact: Potable Water and Sanitaty Drainage Company, opposite the court yards complex, Tanta OMAN Issuer: Oman Wastewater Services Company Tender No: 258/2009 Description: The scope of work includes the development of Al Ansab wetland in Oman. Closes: October 5 Fees: OR686 Contact: www.tenderboard.gov.om Issuer: Oman Wastewater Services Company Tender No: 258/2009 Description: The scope of work includes the construction of a car park for Haya Water Headquarters in Al Ansab. Closes: October 5 Fees: OR686 Contact: www.tenderboard.gov.om QATAR Issuer: Public Works Authority Tender No: PWA/GTC/009/09-10
THE COMMISSION HAS AWARDED A RAFT OF UTILITY CONTRACTS.
Description: The design and construction of trunk and internal sewers within Musaimeer. Closes: October 13 Fees: QR6000 Contact: Contracts department, Public Works Authority Issuer: Central Tenders Committee Tender No: 78/2009-2010 Description: Construction of public parks and plaza at Al Rayyan. Closes: October 26 Fees: QR300 Contact: www.ctc.gov.qa Issuer: Public Works Authority Tender No: PWA/GTC/010/09-10 Description: Construction of trunk and internal sewers within Musaimeer – phase one. Closes: October 27 Fees: QR6000 Contact: Contract department, Public Works Authority Issuer: Public Works Authority Tender No: PWA/GTC/009/09-10 Description: Construction of trunk and internal sewers within Ain Khalid Area – phase 2. Closes: November 10 Fees: QR8000 Contact: Contract department, Public Works Authority SAUDI ARABIA Issuer: Holy Makkah Municipality Tender No: 4/00/00/296/1/2/19 Description: Construction of pedestrian facilities in several areas of Makkah. Closes: October 24 Fees: SR5000 Contact: www.holymakkah.gov.sa Issuer: Royal Commission for Jubail and Yanbu Tender No: 655-C13 Description: Construction of sports centres at Al Ferdos and Jalmudah. The work includes site preparation, construction of new roads, sidewalks and utilities.
Closes: October 25 Fees: SR9000 Contact: Contracts section, directorate general of Royal Commission in Jubail, PO Box 10001, Jubail Industrial City Issuer: Ministry of Finance Tender No: 1193 Description: Expansion of the Ministry of Finance in Qassim. Closes: November 3 Fees: SR1000 Contact: www.mof.gov.sa Issuer: Saline Water Conversion Corporation Tender No: MT-384 Description: Replacement of high voltage cables. Closes: November 7 Fees: SR500 Contact: www.swcc.gov.sa Issuer: Royal Commission for Jubail and Yanbu Tender No: PIC G-1679B Description: Procurement, testing, commissioning and construction of two mosques in Yanbu. Closes: November 15 Fees: SR1000 Contact: Director for Purchasing, Contracting Department, PO Box 30031, Madinat Yanbu Al Sinaiyah UAE Issuer: Dubai Electricity and Water Authority Tender No: CNW/0132/2009 Description: Construction of Al Ghafat reservoirs phase one and two in Dubai. Closes: October 21 Fees: AED2000 Contact: DEWA, PO Box 564 Issuer: Dubai Electricity and Water Authority Tender No: CNE/606/2007® Description: The construction of Hassyan Power and Desalination Station. Closes: November 8 Fees: AED5000 Contact: Head office of Dubai Electricity and Water Authority
> For more tenders check online at www.ConstructionWEEKonline.com/tenders 38
CONSTRUCTION WEEK OCTOBER 17–23, 2009
¦PROJECTS
> For the latest projects information visit www.ConstructionWEEKonline.com/projects
§ PROJECTS
A BAHRAIN DATABASE - BUILDING PROJECTS FOCUS TO LIST YOUR PROJECTS IN THIS COLUMN EMAIL DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Project focus
WATER GARDEN CITY In October 2008, the US $7 billion (BD2.6 billion) Water Garden City was unveiled by master developer Albilad Real Estate Investment Company. Since then HOK International has been awarded the master planning contract, while Scott Wilson Kirkpatrick and Company has walked away with the infrastructure consultant contract. The project is currently at design stage and construction is expected to start in Q1 of next year and is set for completion by early 2020. The city will be located in Seef District in Manama, Bahrain and will spread on 2.2 million m². It will include residential units, a beach park, a marina, schools, commercial spaces, retail outlets and leisure facilities.
PROJECT TITLE
CLIENT
CONSULTANT
MAIN CONTRACTOR
HEALTH CENTER IN HIDD
BBK
Adel Ahmadi Associates
Mohammad Jalal Contracting
CEBARCO TOWER
Khaled Abdulrahim
Modern Architects
ZAWIA RESIDENTIAL TOWERS ON AMWAJ ISLANDS
Falcon Property Company
MANSOORI HOUSE
THE US $7 BILLION CITY.
VALUE (US$MN)
STATUS
BAHRAIN project under construction
Cebarco
16
project under construction
Davenport Campbell/MSCEB
Charilaos Apostilides (Chapo)
80
project under construction
Hassan Mansoori
Mazen Al Umran Consulting Engineers
M & I Construction
2.5 - 15
project under construction
AL MATROOK TOWER
Faisal Ali Al Matrook
Mohamed Salahuddin Consulting Engineering Bureau
Charilaos Apostilides (Chapo)
19
project under construction
FIVE-STAR HOTEL & MULTI-STOREY APARTMENT AT BAHRAIN INVESTMENT WHARF
VK Universal Property Management Company
Future Engineering Consultants
Al Namal Construction
31 - 100
project under construction
SHOPPING MALL IN HIDD
VK Universal Property Management Company
Global Engineering Bureau
Al Namal Construction
40
project under construction
KING HAMAD GENERAL HOSPITAL IN MUHARRAQ
Ministry of Health
Ismail Khonji Associates/Australian Design Group
AA Nass/Burhan International Construction
135
project under construction
GRAND MUHARRAQ PARK
Ministry of Municipalities & Agricultural Affairs
Salah Al Rumaih Group
Not Appointed
50
project under design
NASMAH TOWER
RMK Projects
Salah Al Koheji Engineering
RP Construction
13
project under construction
DIPLOMAT COMMERCIAL OFFICE TOWERS
National Hotels Company
Mohamed Salahuddin Consulting Engineering Bureau
Chase Perdana Berhad
70
project under construction
WATER GARDEN CITY
Albilad Real Estate
HOK/Scott Wilson
Not Appointed
ISA TOWN HEALTH CENTER BUILDING
Ministry of Health
Adel Ahmadi Associates
United Arab Construction Company
REGENT TOWER
Kimo International
United Engineering
AAA Homes
NURANA
NS Holdings Company/Manara Developments
Davenport Campbell
Not Appointed
1000
WORKSHOP & ACCOMMODATION IN TUBLI
Skyline Trading Corporation
Aref Sadiq Design Consultants
Skyline Trading
2.5 - 15
751 - 1000 7 17
project under design project under construction project under construction project under design project under construction
To list your projects in this section email details to editor@ConstructionWeekOnline.com
8
SPECIALIST SERVICES §
¦SPECIALIST SERVICES CONSTRUCTION PRODUCTS AND SERVICES MADE EASY IN CONSTRUCTION WEEK’S DIRECTORY TO ADVERTISE PLEASE CALL +971 4 435 6375, OR EMAIL SHISHIR.DESAI@ITP.COM
Supplier focus
XTRAMIX CONCRETE SOLUTIONS A MANUFACTURER OF CONCRETE
To advertise please call +971 4 435 6375 or email shishir.desai@itp.com
Xtramix Concrete Solutions was established in Abu Dhabi, UAE in 2006. It is a subsidiary of the Al Jaber group of companies and the largest private employer in Abu Dhabi. Al Jaber traditionally owned ready-mix concrete plants and equipment to supply its own projects, but has now consolidated all its operations in the fields of ready mix concrete, pre-cast, quarry and block. The company’s main batching plants are located in Mussafah Industrial Area, inside Abu Dhabi International Airport, Al Hasban and Al Mafraq, Abu Dhabi. In addition, Xtramix has a plant in Ras Al Khaimah, UAE. One of the objectives of the company is to contribute its share as a supplier of ready-mix concrete for the infrastructure projects in the private sector, as well as for the government. The company’s new precast plant, Xtramix International Precast, is located in Abu Dhabi Industrial City and the start of production shall commence by the end of November this year. There, Xtramix will design pre-cast constructions and elements, produce of pre-cast elements and pre-stressed hollow core slabs and deliver pre-cast elements to the construction site. Xtramix supplies all types of concrete the specifications and limits of recognised standards, i.e. the British Standards Institution and American Society for Testing and Materials.
XTRAMIX’S BATCHING PLANT IN MUSSAFAH INDUSTRIAL AREA.
BUILDING MATERIALS
40
CONSTRUCTION WEEK OCTOBER 17–23, 2009
BUILDING MATERIALS
HARD LANDSCAPING SUPPLIER
CONCRETE
§ SPECIALIST SERVICES
> For directory information visit www.ConstructionWEEKonline.com/directory
CONSTRUCTION/MANUFACTURERS
CONSTRUCTION CHEMICALS
Painting and finishing tools
Monoblock
ThermoBound
DEWATERING
Engineering Works Foundation Infrastructure (L.L.C.) P.O. Box: 111245, Dubai - U.A.E. P.O. Box: 2752, Abu Dhabi - U.A.E. Tel: +971 4 340 9022 Fax: +971 4 340 8952 E-mail: brian@ewfi.ae
SPECIALIZED DEWATERING SERVICES: • Specialized in Deepwell, Wellpoint, Open pumping techniques • Professional Service
www.pinceisatlas.com.br
OTAL (LLC) Dubai, U.A.E Phone: (+971-4) 267 9646 e-mail: otal@eim.ae website: www.otal.ae
• Round the clock backup • Effective Groundwater control OCTOBER 17–23, 2009 CONSTRUCTION WEEK
41
To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
CONSTRUCTION/MANUFACTURERS
SPECIALIST SERVICES §
¦SPECIALIST SERVICES CONSTRUCTION PRODUCTS AND SERVICES MADE EASY IN CONSTRUCTION WEEK’S DIRECTORY TO ADVERTISE PLEASE CALL +971 4 435 6375, OR EMAIL SHISHIR.DESAI@ITP.COM
CONTRACTORS/MANUFACTURERS
EDUCATION & TRAINING
To advertise please call +971 4 435 6375 or email shishir.desai@itp.com
FLOORING
HVAC & PLUMBING RELATED EQUIPMENT
42
CONSTRUCTION WEEK OCTOBER 17–23, 2009
PP CORRUGATED SHEETS
RECRUITMENT
RECRUITMENT
,OOKING TO RECRUIT WORKERS FROM
)NDIA .EPAL
"ANGLADESH 3RI ,ANKA
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ยง SPECIALIST SERVICES
> For directory information visit www.ConstructionWEEKonline.com/directory
6IETNAM 0AKISTAN
OR LOCAL LABOUR SUPPLY 7E ALSO UNDERTAKE -IGRATION 3ERVICE TO !USTRALIA #ANADA 4EL &AX % MAIL ASSIDUAA EIM AE STEEL
STEEL
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To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
OCTOBER 17โ 23, 2009 CONSTRUCTION WEEK
43
KHALED DESOUKI/AFP/GETTY IMAGES
CITY UPDATE MAKKAH, SAUDI ARABIA
The making of Makkah MAKKAH IS A TRULY UNIQUE CITY – PRESENTING SOME UNIQUE OPPORTUNITIES By James Boley
A
s the holiest city of Islam, hosting around three million hajjis every year, it should come as no surprise that Makkah is home to some significant projects aimed at moving large numbers of people. Currently under construction is the King Abdul Aziz Road that will connect the entrance of Makkah to Jebel Omar, next to the Grand Mosque. Following its inauguration in June this year, the road’s creation
44
looks likely to create new opportunities for developers. “We will announce the real estate that will be dealt within each phase. Residents will be given six months to leave their houses,” said Umm Al Qura Corporation director general Mohammad Qanawee, which suggests that new housing could
“WE CONSIDER [THE HARAMAIN RAILWAY] A MAJOR PROJECT IN THE HISTORY OF TRANSPORT IN THE KINGDOM”
CONSTRUCTION WEEK OCTOBER 17–23, 2009
THE SHEER NUMBER OF PEOPLE WHO TRAVEL TO MAKKAH EACH YEAR MEANS TRANSPORT IS VITAL.
be a viable option for new projects for developers. Other transport projects are also picking up speed. Earlier this year, China Railway Construction Corp (CRCC) picked up a US $1.8 billion (SR6.7 billion) ground and civil engineering works contact for a railway linking the port of Jeddah to Makkah and Madinah. The project is seen as particularly crucial by the Saudi government, with transport minister Jabara Al Seraisry saying; “We consider it a major project in the history of transport in the Kingdom.” The first phase of the Haramain highspeed railway will include preparing the ground, constructing bridges, culverts and tunnels for laying track, while the second phase will include track laying, electrification, power supply, installing
KHALED DESOUKI/AFP/GETTY IMAGES
CONSTRUCTION IN THE HOLY CITY OF MAKKAH IS FOCUSED ON IMPROVING TRANSPORT SYSTEMS.
communication and signalling systems and deploying rolling stock. The consultancy contract for phase two is currently open for tender. Meanwhile, the station design contract was awarded to a Foster + Partners/Buro Happold joint venture in April. CRCC also picked up the honours on a light rail project for Makkah this year. The Makkah Metro will link Makkah with the holy sites at Mina, Arafat, and Muzdalifah and is due for competion in 2011. The first line is hoped to be open in time for Hajj 2010, where it should carry around 35% of the project’s total capacity. However, it’s not just road and rail that
is cementing Makkah’s reputation on the map. Next year should see the Saudi Binladin Group finish construction on the seven tower Abraj Al Bait development. The seven towers are Hajar, Zamzam, Maqam, Sarah, Marwah, Safa and Hotel Towers. In addition to that the project will have a four-storey mall and car parking. The towers are arranged from 32 to 47 storey with a total built up area of 1.45 million m². Up to 65,000 people would be housed inside the towers. When complete, the project will be the second tallest building in the world after the Burj Dubai, and the tallest hotel and building in Saudi Arabia.
ABRAJ AL BAIT WILL BE THE TALLEST TOWER IN SAUDI ARABIA WHEN COMPLETED NEXT YEAR.
TOP PROJECTS Haramain High Speed Rail Project Makkah Metro Abraj Al Bait Jamaraat Bridge Makkah Ring Road
US$ 2 billion 1.8 billion 1.6 billion 1.2 billion 126 million
ConstructSAFE Working at height
46
CONSTRUCTION WEEK OCTOBER 17–23, 2009
> For the ConstructSafe comic strip log on to www.ConstructionWEEKonline.com
Introducing the Construct Safe lead characters (from Left to Right)
experience. Poor health, safety & welfare knowledge
Raoul: Senior Supervisor with 30 years experience and good health, safety & welfare knowledge
Farik: Apprentice labourer new to the industry with no experience. Poor health, safety & welfare knowledge
Achmat: Construction labourer with little
Illustrations by Jincom Publishing
If you have a health & safety or environment issue that you would like to see addressed through this comic strip email your ideas or comments to editor@ ConstructionWeekOnline.com. Alternatively, log onto www. ConstructionWeekOnline.com to see the comic strip.
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OCTOBER 17–23, 2009 CONSTRUCTION WEEK
47
DIALOGUE MOHAMMED SAMKARI
Downturn resistant Mohammed Samkari of ABB shares his views on the Saudi Arabian market and says that the kingdom has been good for the company with the future only looking brighter
By Conrad Egbert
How confident is ABB in the Saudi Arabian market and has the downturn affected the company’s operations and plans there?
We’ve seen and experienced a rise in demand for our power and automation technology solutions in the kingdom over the past 12 months, due to the Saudi government’s efforts to upgrade the energy and utilities sector. Based on orders we’ve seen no downturn in the Saudi market at all. What sorts of profits has the company seen in Saudi this year as compared to a similar period last year?
biggest market in terms of what we do. That combined with the strong population growth, the majority of the population being under the age of 24 and the economy opening up to foreign direct investment, means that business is only set to get better here. We do have mega projects across other markets in the GCC, so Saudi is not the only market that is growing for us. Are projects carrying on as planned in Saudi Arabia and would you say companies are still growing in the kingdom?
Oil prices are stable and the kingdom is still enjoying strong Our order backlog has increased and our profits are up over economic growth. In general, government projects are going 2009. While we can’t give out numbers, ahead on time and as budgeted. We’ve the increase in orders from the public been adding staff to our operations sector, especially from government here to cope with the rise in demand Mohammed Samkari is the president utilities, is notable. We’ve won a for power generation solutions. ABB and local business unit manager for number of large projects, including now has over 1300 employees in Saudi substations for ABB in Saudi Arabia. one for US $60 million with Saudi Arabia and we’re still growing. He is a Saudi national and has been Electricity Company. Are companies beginning to show more confidence in the market and more of a willingness to spend?
The private sector is moving more cautiously, but we are still seeing more orders from privately owned companies as they look to drive efficiency and reduce costs. However, the government is driving spending and growth. Would you say Saudi Arabia is the strongest market in the GCC?
Saudi Arabia has a population of around 26 million people and a land mass which is the same size as Western Europe, so it’s always going to be the
48
CONSTRUCTION WEEK OCTOBER 17–23, 2009
instrumental to the growth and development of ABB in Saudi Arabia. An electrical engineer by training, Samkari graduated with a Bachelor of Science in electrical engineering from King Saud University in 1992. After graduating he joined ABB in Saudi Arabia as a design engineer and was promoted in 1996 to section head for systems engineering. A year later he took over the management of the engineering department. In addition to taking care of ABB’s substation business in the country, Samkari is also responsible for personnel development, customer support and expanding ABB’s presence across the kingdom.
What value of projects is ABB expecting to pick up during the course of 2010?
This is always the hardest question to answer. We’re expecting modest growth over 2010 and we are preparing for profitable growth over 2010 buoyed by continued government spending. If the private sector becomes more aggressive in their growth plans, that will have a positive impact for us, but there’s so many different issues involved – the health of the global economy to name but one – that we can’t really put a guess as to how quickly the private sector will pick up next year.