Saudi Projects - Issue 47

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With news brought to you by The Red Sea Development Company

ISSUE 44

OCTOBER 2021 / ISSUE 47

AMAALA DESIGN THAT UTILIZES THE LANGUAGE OF NATURE 2020 CRUX INSIGHT ENGINEERING AND CONSTRUCTION A REGIONAL ANALYSIS OF CAUSATION

SEDRA ROSHN'S FIRST RESIDENTIAL COMMUNITY IN RIYADH IS UNVEILED

UNIMAC'S GENERAL BUSINESS PHILOSOPHY IS BASED ON THE FIVE M'S OF CONSTRUCTION


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HKA brings a proud record of excellent service and high achievement to bear on today’s challenges. As trusted independent consultants, experts and advisors, we help clients manage disputes, risk and uncertainty on complex contracts. Our KSA direct experience proudly expands over 20 years. We have a permanent in-Kingdom team with offices strategically located to ensure that we can better serve our clients and anticipate their needs.

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KSA projects analysed for CRUX 2021*

Our industries HKA’s global portfolio includes some of the world’s largest and most prestigious projects. We have vast first-hand experience spanning all major industries and covering the world’s most complex mega projects, as well as an international track record of achieving successful outcomes. *Visit hka.com/crux-interactive-dashboard to find out the main causes of claims and disputes on engineering and construction projects in KSA.

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DECODING COMPLEXITY



Editors Foreword

UNLIMITED POSSIBILITIES A SURVEY CARRIED OUT BY SAUDI ARABIA'S GENERAL AUTHORITY FOR SMALL AND MEDIUM ENTERPRISES IN 2020 SHOWED THAT AS A RESULT OF THE COVID-19 PANDEMIC, 46.7% OF MICRO-ENTERPRISES, 30% OF SMALL BUSINESSES, AND 30.6% OF MEDIUM-SIZED ORGANIZATIONS DECIDED TO CLOSE AT LEAST ONE OF THEIR BRANCHES LAST YEAR. IN ADDITION, A CONSIDERABLE NUMBER OF COMPANIES WENT OUT OF BUSINESS. IT WAS A SIMILAR STORY ALL OVER THE WORLD. However, the Saudi government's swift reaction to the pandemic's impact rescued not only businesses but also secured jobs. It also fuelled the growing level of entrepreneurship in the Kingdom, with the Global Entrepreneurship

WANT YOUR COMPANY TO APPEAR IN THE KINGDOM'S LEADING TRADE PUBLICATION

Monitor, which assesses entrepreneurial motivation and activity worldwide, ranking Saudi Arabia sixth for global entrepreneurial competitiveness.

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This year, the Kingdom was placed first among GEM economies in four international entrepreneurship sub-indices: the ease of establishing a

MAY 2021 / ISSUE 46

business, government response to the pandemic, entrepreneurs' response to the pandemic, and good opportunities to launch a business. Moreover, individual skills and knowledge, quality of infrastructure, government support for enterprises, and simple access to funding for companies and entrepreneurs all placed the Kingdom among the top five countries in the world when it came to doing business. Tie all of this in with the fact that Saudi Arabia is rapidly becoming a global leader in the travel and tourism industry, with bold plans and billions to invest, and it quickly becomes apparent that the Kingdom is moving with lightning speed to the front of international business and commerce.

BUILDING SAFER, FASTER, AND GREENER. THE AMANA WAY VISION 2030 THE MOST IMPORTANT ACHIEVEMENTS FIVE YEARS AFTER ITS INCEPTION

JOHN PAGANO WORK WITH US WHAT TRSDC & AMAALA LOOKS FOR IN A PARTNER

RESA GULF SCAFFOLDING THERE ARE NO PROBLEMS ONLY SOLUTIONS

Much of this success may be attributed to the government, which has done an excellent job of managing one of the world's worst crises in recent history. This is especially true when considering Covid-19's devastating impact on businesses, which has been far more severe than, say, the global financial crash of 2007–2008. Read through the pages of this issue of Saudi Projects Magazine, and you'll see a nation in motion; a nation

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preparing for the future; a nation developing some of the most ambitious and exciting projects on the planet.

Rod Millington EDITOR

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Contents

COVER STORY

66

AMAALA

DESIGN THAT UTILIZES THE LANGUAGE OF NATURE FEATURES

22

24

INTERIOR DESIGN GETTING IT RIGHT

THE PUBLIC INVESTMENT FUND (PIF)

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52

MELISSA MESSMER, DIRECTOR OF ARCHITECTURE AND DESIGN

PATRICIA LOPEZ, LIGHTING DIRECTOR


Contents

44

THE RED SEA DEVELOPMENT COMPANY

DESERT ROCK RESORT ALSO IN THIS ISSUE

ENGINEERING AND CONSTRUCTION A REGIONAL ANALYSIS OF CAUSATION

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Lessons learned from claims and disputes

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CRUX REPORT HKA

GETTING TO KNOW WALEED ALKHAYYAT

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78

GIGA PROJECTS - AL DIRIYAH GATE

RETAIL

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Vision 2030

SAUDI VISION 2030 HAS UNLEASHED $1 TRILLION WORTH OF PROJECTS ACCORDING TO RESEARCH CONDUCTED BY GLOBAL PROPERTY CONSULTANT KNIGHT FRANK, SAUDI ARABIA'S VISION 2030 HAS RESULTED IN AROUND $1 TRILLION IN REAL ESTATE AND INFRASTRUCTURE PROJECTS SINCE 2016. THE PROPERTY EXPERT SAYS THAT APPROXIMATELY $300 BILLION OF THE ENTIRE INVESTMENT WILL GO INTO NEW INFRASTRUCTURE, SUCH AS EXTENSIVE NEW PASSENGER RAIL NETWORKS AND A BRAND-NEW AIRPORT IN RIYADH THAT WILL SERVE AS THE HOME BASE FOR A NEW NATIONAL AIRLINE.

F

aisal Durrani, Partner at Head of Middle East Research at Knight

Frank, explained: "Saudi Arabia is a country being reborn. The ambition that underpins Vision 2030 is being borne out in reality, and we are rapidly closing in on

Approximately $300 billion of the entire investment will go into new infrastructure

$1 trillion of developments, all of which are colossal," adding that this is only about a third of the total spending planned. "The scale of infrastructure improvements in the country is phenomenal," Durrani continued, adding that the targets laid out by the government for attracting 100 million annual visitors to the country by

The cruise sector in the Kingdom is predicted to provide up to 50,000 jobs nationwide by 2028

2030 means that "both adequate and firstclass gateways need to be created."

terminal at Jeddah port, where the first cruise routes began operating. The analysis

He further went on to say that the number

explained that, according to the Public

and value of mega projects in Saudi Arabia

Investment Fund (PIF), the cruise sector in

will dramatically change the Kingdom's

the Kingdom is predicted to provide up to

real estate landscape and its standard of

50,000 jobs nationwide by 2028, and 1.5

living. He also referred to the new cruise

million cruise guests are expected annually.


Vision 2030

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NEOM, Saudi Arabia's futuristic city, is expected to cost $500 billion alone SHOWCASING THE VISION TO A GLOBAL AUDIENCE Knight Frank’s analysis focused on eight new planned cities along the country's Red Sea coast, where approximately $575 billion is being invested in building over 1.3 million new homes, over 3 million square meters of worldclass offices, and over 100,000 hotel rooms. NEOM, Saudi Arabia's futuristic city, is expected to cost $500 billion alone. It's being marketed as a fresh vision for future cities, as well as a worldwide hub for innovation, trade, and creativity. This new metropolis will be more than a smart city; it will be one of the most innovative and sustainable locations on the planet, thanks to the application of cutting-edge technology.

Riyadh, the Kingdom's capital, is "poised to become established as the Kingdom's commercial nerve center"

Moreover, according to the report, Riyadh is "poised to become established as the Kingdom's commercial nerve centre," with mega projects costing an estimated $63 billion. By the end of 2023, over 100,000 new houses are expected, as well as nearly 3 million square metres of new business space and over 12,000 hotel rooms. "The number and value of mega projects around the country is set to transform the real estate landscape, standard of living, lifestyle offering and perhaps most importantly, showcase the Kingdom's vision for an ultra-modern future to a global audience," Durrani concluded.

KNIGHT FRANK facebook @KnightFrankME Instagram @knightfrankmiddleeast Linkedin @Knight Frank Middle East Youtube @Knight Frank Middle East www.knightfrank.com.sa/en


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News

Professional License Mandatory from 2022 Dr Ahmed Qattan, Deputy

municipalities within two months,

Minister of Municipal and

he said, adding that this will

Rural Affairs and Housing for

be applicable to more than 72

regulating city operators,

branch professions that fall

revealed that the first phase

under the 16 main professions.

of issuing professional

Initially, obtaining a

licenses for 16 professions

professional license for at least

would begin in early 2022.

one worker in the targeted

The ministry will begin issuing

establishment will be required

the first professional certificate

for it to renew the municipal

for workers in establishments

licenses of all its employees.

under the jurisdiction of

Qattan emphasized that the ministry wanted to implement

This will be applicable to more than 72 branch professions that fall under the 16 main professions

the new rule without causing any problems for private sector establishments or interfering with their operations.

Saudi Mineral Deposits Estimated at $1.3 Trillion Saudi Arabia has performed

and Mineral Resources, who

extensive studies to determine

predicted that these investments

the size of its mineral

will expand by 150% by 2030,

deposits, with preliminary

creating up to 220,000 jobs.

findings indicating quantities

Saudi Arabia has SAR 170-180 billion in mining investments

Upon the implementation

worth $1.3 trillion. These

of the new mining law, the

resources include phosphate,

ministry received over 1,500

gold, copper, zinc, nickel, and

licensing requests. Furthermore,

other rare-earth minerals.

274 mining licenses have been

Saudi Arabia has around SAR 170-180 billion in mining investments, explained Khaled Al-Mudaifer, Vice Minister for Mining Affairs at the Ministry of Industry

issued this year, with eight of them having an average investment of SAR 250 to SAR 500 million. “This is just a start under the new mining investment law,” Al-Mudaifer said.


News

SKY GUARD DRONE TO BE CO-PRODUCED BY TWO SAUDI COMPANIES capabilities and enrich the skill sets of highly qualified local personnel." The two companies will

Saudi Tourism Authority Invests in Malaysia Office

manufacture,

Saudi Arabia's Advanced

produce,

As part of its plan to engage the tourism trade

upgrade, and

in key source markets and enhance awareness

modernise the Sky

of the Kingdom, the Saudi Tourism Authority

Electronics Company

Guard Unmanned Aerial

(STA) has opened a commercial office in Malaysia

(AEC) and the Prince

Vehicle (UAV) system.

that will serve the Southeast Asia region.

Sultan Defense Studies

"This important milestone

STA now has representative offices in 11 markets

and Research Center

in the manufacture of

serving 21 countries, with an eventual goal of

(PSDSARC) have signed an

advanced technologies will

having 15 offices around the world to expand

agreement to manufacture

help to ensure the successful

the reach of the Authority’s activities.

and produce the 'Sky

shift from research, tests, and

Guard' drone system.

experiments to manufacturing

PSDSARC describes the

and mass production,

Sky Guard as a multi-tasking

as well as the transfer of

tactical aircraft capable of

knowledge through training

carrying out surveillance and

on locally designed and

reconnaissance missions.

manufactured products,"

According to AEC, the

explained Acting Director-

agreement will "further

General of PSDSARC, Sami bin

boost national military

Mohammed al-Alhumaidi.

STA now has representative offices in 11 markets serving 21 countries

SAUDI FREELANCERS ALMOST DOUBLED AS ECONOMY RECOVERS The number of freelance employees in Saudi Arabia virtually doubled in the first half of this year, as the economy exhibited more indications of recovery from the pandemic. According to figures from the Ministry of Human Resources and Social Development, the

since the launch of a licensing program in 2019, up by 86%. “People registered in 2021 so

number of Saudis who obtained

far have reached 292,315, while

a freelance employment

282,766 citizens were registered

document has reached 631,518

in 2020,” the ministry said.

The number of Saudis who obtained a freelance employment document has reached 631,518, since the launch of a licensing program in 2019

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News

New Seat+ Service from SAUDIA Allows Guests to Purchase Extra Seats Saudi Arabian Airlines (SAUDIA) has

Guests will have the opportunity to complete

introduced Seat+. This new service allows

the extra seat reservation and payment

guests to buy one or more adjacent seats

from 48 to three hours before their flight

on their flights at nominal prices to enjoy

departure time. Guests also can find out if

increased space and greater comfort. The

their reservations are eligible for the extra

service is initially available in economy

seat purchase by entering their flight details

class for flights to Washington, New

on the Seat+ page on the SAUDIA website.

York, London, and Frankfurt, with plans

GUESTS CAN BUY ONE OR MORE ADJACENT SEATS ON THEIR FLIGHTS AT NOMINAL PRICES TO ENJOY INCREASED SPACE AND GREATER COMFORT

for expansions to other destinations. After booking their flight, Guests will receive an email or SMS with details of Seat+ and the offer to purchase the additional seat (subject to availability and maximum flight capacity).

Saudi Arabia Allocates Land for 600 Megawatt Solar Power Plants The Saudi Ministry of

The plants will have a capacity

Energy is building two

of 600 megawatts. They will

renewable energy plants

be implemented in the Third

on two land plots with a

Industrial City in Jeddah and

total area of 12 million

the Industrial City in Rabigh

square meters. These are

through the Saudi Authority

part of the Kingdom’s plan

for Industrial Cities and

to generate 50% of its

Technology Zones MODON.

energy from renewables.

Saudi Ceramics to Set up Porcelain Tiles Factory Saudi Ceramic Co. (Saudi

be implemented by a group of

Ceramics) is setting up a new

manufacturers and suppliers

factory to produce porcelain tiles

inside and outside the Kingdom.

using the latest international technologies, with a production

begin in the fourth quarter of 2021.

capacity of 8.25 million square

The trial run will commence in Q1

meters annually, at a total

2023 and will last for one month

cost of SAR 249.3 million.

before commercial operations begin.

The project will be financed

The plants will have a capacity of 600 megawatts

The implementation phase will

through a combination of borrowing and self-financing, the company said in a bourse statement, indicating that it will

A production capacity of 8.25 million square meters annually, at a total cost of SAR 249.3 million


News

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New Portal Connects Engineers with Clients The Saudi Council of Engineers (SEC) has

consultancy, design contracts, boundary

that the SCE continues to work to regulate

launched an online portal to assist clients

supervision, and turnkey contracts.

the engineering sector in the Kingdom and

who are looking to hire an engineering

The Council's Secretary-General, Abdel

improve the efficiency of digital services to

firm, providing details of the services they

Nasser Al-Abdul Latif, said that the new service

make it easier for potential clients to find

need in specific areas of the Kingdom. It

will increase competition and transparency

Council-registered firms that meet their needs.

will also give an indication of the rates

among service providers. He went on to say

companies charge for specific types of work. The portal, at saudieng.sa, provides details of the providers of services such as surveying

THE NEW SERVICE WILL INCREASE COMPETITION AND TRANSPARENCY AMONG SERVICE PROVIDERS

New Whys Partners with MOWGLI MENTORING regarding the

PHASE 1 OF

Dammam Public Transport Project ANNOUNCED

building and nurturing of

According to Bader Al-Sharif, Deputy Chief

powerful mentoring

Executive Officer (CEO) for Technical Affairs at

relationships,

Sharqia Development Authority, the first phase

programs and

of the public transportation project in Dammam

cultures to

will commence in 2022 with the bus project.

strengthen the ecosystem. Furthermore, it will New Whys, a Saudi consultancy

enable corporates and organizations,

firm focused on innovation and

who believe in the significance and

entrepreneurship, has signed

power of mentoring, to realize their

a partnership agreement with

strategic objectives through leadership

the internationally renowned

development and/or corporate

Mowgli Mentoring organization

social responsibility initiatives.

to design, deliver and evaluate effective mentoring programs in the Saudi Market. The primary objective of this partnership is to meet the increasing need for quality mentoring to better support entrepreneurs and leaders (including corporate, NPO, NGO and CSO leaders) within the ecosystem. The partnership will seek to address the challenges faced in the market

The project includes two main lines, the first linking

THE PARTNERSHIP WILL SEEK TO ADDRESS THE CHALLENGES FACED IN THE MARKET REGARDING THE BUILDING AND NURTURING OF POWERFUL MENTORING RELATIONSHIPS, PROGRAMS AND CULTURES

Darin Island to the North and Qatif, passing through Dammam and Dhahran to the King Fahd Causeway linking Saudi Arabia and Bahrain. The second mainline connects King Fahd Road to Dammam as a main artery to King Fahd International Airport in the West.

THE SECOND MAINLINE CONNECTS KING FAHD ROAD TO DAMMAM


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News

SAUDI ARABIA'S TAWAL PLANS TO ADD 200 TELECOM TOWERS ANNUALLY Tawal, the Saudi ICT

hybrid energy solutions that

infrastructure company, plans

include batteries and generators

to build about 200 new towers

to reach over 1,000 locations by

in the Kingdom every year

2021. Over 300 diesel generators

to keep up with the sector's

have also been converted and

expansion needs, according to

connected to the electricity grid,

CEO Mohammed Alhakbani.

with another 100 set to be added

He said that the company is

by the end of 2021. Furthermore,

working on major projects in

renewable energy is becoming

the Kingdom, including NEOM,

more prevalent across the

Al-Qiddiya, Red Sea, Amaala, and

network, according to Alhakbani.

AlUla. Tawal has, for instance,

Tawal is also working on

begun the construction of 60 new

promoting the sharing of

solar-powered sites at NEOM.

communication towers to

For 850 sites, Tawal is adopting

reduce duplication.

Cartlow Partners with Blue Ocean Global to Boost Circular Economy

Cartlow, the region’s leading recommerce and reverse logistics

TAWAL OWNS ABOUT 15,000 OF SAUDI'S 35,000 TELECOMS TOWERS

COLUMBIA SHIPMANAGEMENT UPS ITS GAME IN SAUDI ARABIA CSM Saudi Arabia will manage 35 offshore units and jack-up rigs with immediate effect

Milagrow, Godrej, and many more. In parallel, Cartlow’s advanced

facilitator across the KSA and

reverse logistics platform will

UAE, has partnered with Blue

empower the global distributor to

Ocean Global, which represents

eliminate waste from its reverse supply

Columbia Shipmanagement (CSM) and the Khobar-based

some of the world’s top telecom,

chain and direct it into the hands of

Spectrum Group have formed a strategic joint venture.

electronics, and small domestic

Cartlow’s satisfied customer base.

CSM Saudi Arabia, the new

Columbia

company, will manage 35

Shipmanagement's

offshore units and jack-up

President and CEO, Mark

rigs with immediate effect,

O'Neil, stated that the new

with more to follow, with a

firm will aim to expand

skilled team of between 70

its bespoke services

and 80 employees drawn

reach both within the

from both companies.

Kingdom and the UAE.

appliance brands in an effort to streamline its product return flow, enhance conversion rate, and sustain a healthy inventory. Blue Ocean Global is the authorized distributor of brands including Black & Decker, Gigaset, Motorola, NEC,

STREAMLINE ITS PRODUCT RETURN FLOW, ENHANCE CONVERSION RATE, AND SUSTAIN A HEALTHY INVENTORY


News

KAUST RESEARCH STUDY TO IMPROVE THE PRESERVATION OF CORAL REEFS IN THE RED SEA The King Abdullah University of Science and Technology (KAUST) has conducted

KSA RANKED FIRST

IN FOUR ENTREPRENEURSHIP INDICATORS The Kingdom of Saudi Arabia

entrepreneurship and its activity

(KSA) has achieved unparalleled

internationally, citing the Global

global success in four international

Entrepreneurship Monitor Report (GEM).

entrepreneurship sub-indicators,

The Kingdom’s advancement included

as well as advanced positions

‘Availability of Good Opportunities

in six additional indicators.

to Start a Business’ and ‘Ease of

The announcement was made by

Starting a Business’, ‘Entrepreneurs’

a study intended to improve the

the National Center for Performance

Response to the Pandemic’ and ‘The

preservation of coral reefs in the Red

Measurement (Adaa), which measures

Kingdom’s Government Response to

Sea due to the increasing temperatures

the variable levels of stimulating

the Pandemic’ indicators, Adaa said.

of seas and oceans caused by global warming and climate change. The research, carried out with the help of university experts and researchers, focused on a specific type of coral reef known scientifically as Mussismilia hispida. The study revealed that these reefs' interconnections change. This prompted

THE ANNOUNCEMENT WAS MADE BY THE NATIONAL CENTER FOR PERFORMANCE MEASUREMENT

researchers to develop strong biological helpers using the same reef and its associated bacteria that live inside its tissue. This was achieved by grinding and soaking it in seawater solution, launching the bacteria, and isolating hundreds of its species to study their genetic and metabolism ability.

The research focused on a specific type of coral reef known scientifically as Mussismilia hispida

National Housing Launches Projects in Riyadh and Jeddah To boost housing supply, the National Housing Company (NHC) has launched the Riwaa and Maylaa projects in Riyadh's Al-Jawan district and the Khayala project in Jeddah. Riwaa, which spreads over 780,000m2, includes nearly 1,060 under-construction units. Meanwhile, Maylaa consists of 819 villas, extending over 400,000m2.

The real estate developer indicated that it is currently developing nearly ten projects in Jeddah to provide more than 23,000 units.

Maylaa consists of 819 villas, spreading over 400,000m2

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Appointments

Egis Appoints New Managing Director for Saudi Arabia Bob Hope assumed the role of Country

flagship offices in Riyadh, which will be

Managing Director for Egis operations in

its largest footprint in the Middle East.

Saudi Arabia, leading the development

With over 15 years of experience in the

and growth of the Group in the Kingdom.

Kingdom, Egis prides itself on being a key

Throughout his career, Bob held senior

partner in providing engineering services

leadership positions in the Middle East with

for large infrastructure developments,

key engineering and architecture firms. He has

including Riyadh Metro, Riyadh Airport,

extensive experience in leading the delivery

Green Riyadh, AMAALA Airport, etc.

of complex regional projects in infrastructure,

The appointment of Bob will reinforce

urban planning and buildings. He holds a B.Sc.

the position of Egis in Saudi Arabia

(Hons) in Construction Management and is an

and enable the company to achieve its

alumnus of Harvard’s Building Global Business

ambitious growth plan in the Kingdom.

and a Fellow of Chartered Institute of Building. Egis has significant growth plans for Saudi Arabia in various areas, including consulting, engineering, project management, smart mobility and operations. The firm is in

BOB HAS HELD SENIOR LEADERSHIP POSITIONS IN THE MIDDLE EAST WITH KEY ENGINEERING AND ARCHITECTURE FIRMS

the process of opening its state of the art

PIF Hires ex-HSBC Executive as Director of Investments The Public Investment Fund (PIF) has appointed Omar Jahidi as its Director of Investments, the latest in a string of appointments to help expand its reach. Jahidi, previously the Director for Investment Banking Advisory at HSBC Holdings in Saudi Arabia, will report to Eyas AlDossari, head of investment advisory within the MENA investments division, who was formerly in charge of investment banking for Saudi Arabia at Goldman Sachs Group and also worked at HSBC.

The PIF has made a spate of senior appointments recently, naming Turqi Alnowaiser and Yazeed Alhumied as deputy governors and hiring Abdullah Shaker, who previously worked for Saudi AlBaraka Banking Group and HSBC. Jahidi joins the PIF at a time when the fund is quickly expanding, transforming from a primarily domestic holding firm into a driving force behind Crown Prince Mohammed bin Salman's aspirations to overhaul the Kingdom's economy.

JAHIDI JOINS THE PIF AT A TIME WHEN THE FUND IS QUICKLY EXPANDING


Appointments

Binladin International Holding Company Announces Key Appointment

and complex fundraising across diverse

Binladin International Holding Group (BIHG),

Sobha Group, KEF Holdings and Suhail

the parent company of Saudi Arabia’s

Bahwan Group, as well as Indian Oil.

largest construction conglomerate, the Saudi Binladin Group (SBG), announced the expansion of its executive leadership team with the appointment of Balaji Prasad as Group Chief Financial Officer. Prasad brings 24 years of experience across the region with a focus on debt restructuring, corporate turnaround, business transformation

industries such as Contracting, Real Estate, Manufacturing, Trading and Oil & Gas. Past appointments include CFO of Abu Dhabi listed developer Manazel PJSC as well as leadership positions in blue-chip companies such as TYCO, Reliance Industries, Pentair,

PRASAD BRINGS 24 YEARS OF EXPERIENCE ACROSS THE REGION WITH A FOCUS ON DEBT RESTRUCTURING, CORPORATE TURNAROUND, BUSINESS TRANSFORMATION AND COMPLEX FUNDRAISING

Ramzi Darwish Appointed as Head of Savills Saudi Arabia Savills, the leading global real estate

it has been an invaluable experience to be a

advisors, has announced the appointment

part of such an internationally respected firm.

of Ramzi Darwish as Head of Savills Saudi

I look forward to collaborating even more

Arabia. Ramzi will lead the Saudi team

closely with Savills well-established global

whilst driving the expansion of all service

network to drive growth to our KSA business

lines with a strong focus on Property

and retain the Savills position as market

Management, Facilities Management,

leaders in Commercial Agency, Property

Consultancy and Valuation, leveraging

Management, Facilities Management, and

his extensive knowledge of both the

Strategic Consultancy, in addition to our

KSA market and Savills global network

Valuation business that is scheduled to start

capabilities. His promotion from within

trading in Q4 this year. These are exciting times

the Savills team comes in recognition of

for Savills in KSA, and I am very confident

his successful tenure to date, both growing

that this new chapter will be full of success.”

headcount and revenue and establishing the Savills brand as best in class among international real estate firms. Commenting on his appointment, Darwish said: “Having been with Savills since 2014,

THE APPOINTMENT OF RAMZI DARWISH REINFORCES SAVILLS VISION TO EXTEND ITS SERVICE PROVISION IN THE KINGDOM

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CRUX Report HKA

ENGINEERING AND CONSTRUCTION A REGIONAL ANALYSIS OF CAUSATION Lessons learned from claims and disputes


CRUX Report HKA

HKA’S ULTIMATE PURPOSE WITH CRUX IS TO EDUCATE AND EMPOWER EMPLOYERS, CONTRACTORS, AND THE BROADER SUPPLY CHAIN TO MAKE BETTER JUDGMENTS AND CHOICES BY UNDERSTANDING AND APPLYING THE LESSONS LEARNED FROM ITS UNPARALLELED EXPERTIZE.

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While HKA has observed some improvement in skills and the adoption of better practice, parties in many territories are still hampered by their incomplete knowledge of contract forms.

The study looked at 313 projects from 26 countries in the region from 2018 to 2020, with an average CAPEX value of $1.8 billion and an average claimed dispute value of $122 million

Too many projects lack a keen awareness

CLAIMS AND DISPUTES

of recurrent pitfalls and past successes.

For CRUX 2020, the study looked at 313 projects

Consideration of these risks and opportunities

from 26 countries in the region from 2018 to

can help to improve the contracting process

2020, with an average CAPEX value of $1.8

and, as a result, minimise change and the risk

billion and an average claimed dispute value of

of project disputes.

$122 million.

The data from HKA reveals the high cost of

Change in scope leads to the updated ranking

claims and disputes in terms of both money

of factors behind these claims and disputes,

and time. The total value of the claimed

as it has in previous years, with late approvals

Covid-related disruption has already resulted in

conflicts on 1,100-plus projects topped $48.6

emerging as the next most prominent factor in

claims, with many more on the way. However,

billion, and the claimed extensions of time

2020.Design-related issues, such as incomplete

the root causes of disagreements are deep-

(EOT) totalled 593 years, albeit with significant

design, late distribution of design information,

seated and will endure if employers and

regional variance. The numerous hours of

and design flaws, are also looming large, as

contractors do not address them – especially as

management work, as well as legal and

they are throughout the rest of the world. This

market realities put their ability to keep up with

other related fees, are not included in these

is suggestive of poor coordination of designs

change to the test.

calculations.

produced to tightening timescales.

CHANGED FUELLED BY COVID-19

The late provision and poor coordination of

Employers and contractors’ pathways to

The Covid-19 pandemic could hardly have

design information may also be a factor in

resolve their issues may be evolving, as they

come at a worse time for economies in the

pushing late approvals towards the top of the

have in other regions.

Middle East and Africa. As a result, companies

CRUX table of causes of claims and disputes.

are looking to diversify away from their

Moreover, though ranked slightly lower in the

historical reliance on oil-generated revenue,

examination of data acquired in 2020 compared

with oil prices at rock bottom levels. To achieve

to prior years, contract interpretation and

this, significant commitments in research time

management remain among the top six factors.

PATHWAYS TO RESOLVING DISPUTES

and CAPEX are essential as nation-states build more mixed and sustainable economies. In a further wave of change, Covid-19 has triggered the consolidation of government agencies as well as several large developers and banks based in the Middle East. And despite significant investment targeted at increasing tourism and long-term residency to shore up economies in the region, building demand, both residential and commercial, will decline due to the departure of many expatriates.

The total value of the claimed conflicts on 1,100-plus projects topped $48.6 billion


20

CRUX Report HKA

As a consequence of tighter cashflows in the wake of Covid-19 and weaker construction markets, the number of negotiated settlements is projected to rise. Contractors are likely to prioritize early payment while avoiding local courts that are

the viability of projects. More widely, demand

time through variations orders

for the latest technologies and sustainable

Employers also seek the lowest design price,

materials has introduced a lag as employers’

so consultants operating on slim margins push

engineers and regulatory authorities assess

design detail and associated risk down the

their compliance. Integration of emerging

chain to contractors. Claims are effectively

technologies with existing plant on brownfield

embedded in contracts at the point of signature

projects is another complication.

when design is incomplete.

Fewer late approvals will occur if:

Despite this, design accounts for only a

 Decision-making processes within

modest proportion of the total capital cost

employer organizations are simplified to

of increasingly massive and sophisticated

expedite approvals.

projects.

 Parameters for approvals are shared

unsuited to determining complex engineering

with parties closely engaged with design,

Both the employer and the contractor

and construction issues.

resulting in more local decision-making and

would benefit from completing projects on

escalation by exception rather than as a

schedule, within budget, and according to

rule.

specifications if:

Even though some Middle Eastern governments still insist on state corporations resolving disputes in local courts, arbitration is widely established throughout the region. The recent successes of state governments in a series of significant disputes will encourage even wider use of arbitration. In addition, several quasigovernment institutions are adopting dispute

 Contractors are proactive in seeking approvals as early as possible.  Experienced staff supervise the process, ensuring submissions are complete.  Defined review points are fixed to avoid arguments over ‘reasonable’ timelines.  Contracts incentivise engineers to

resolution boards in the region. However,

process submissions promptly and deter

the potential benefits of this less adversarial

non-essential requests for additional

approach are not clear when the process is

information.

managed more like an arbitration.

 The capacity, skills and capabilities of

SO, WHAT ACTIONS CAN BE

 Knowledge is passed from one design party

admin and technical staff are increased.

 More time was undertaken to mature design earlier, alongside more detailed early project planning.  Greater emphasis could be placed on engaging supply chain stakeholders earlier, pre-empting latent design issues.  Design risk was apportioned to the party best equipped to address it. While these changes may prolong the design phase, they should not harm the entire project timetable provided construction is more efficient and effective. They would also result

TAKEN TO AVOID DISPUTES?

to the next so that the design adopted can

in greater price and schedule certainty, fewer

As a consequence of tighter cashflows in the

be developed rather than restarted, which

defects and less rework, and a more acceptable

wake of Covid-19 and weaker construction

inevitably slows up approvals

risk profile.

markets, the number of negotiated settlements is projected to rise ACT PROACTIVELY AS MARKETS TRANSITION The relative maturity of their construction

Covid-related disruption has already resulted in claims, with many more on the way

markets, particularly claims processes, varies

CONTRACT MANAGEMENT AND MANAGEMENT OF THIRD PARTIES In the experience of HKA, forms of contract and the roles and responsibilities of the parties involved are routinely misunderstood

substantially between the Middle East and

INCOMPLETE DESIGN

in the Middle East. Both EPC (Engineering,

Africa. While the causes of disputes differ,

Unrealistic timetabling of projects tendered

Procurement & Construction) and Design &

projects in both regions are plagued by late

on immature designs is at the heart of design

Build contracts can be run by employers and

approvals, design problems due to unrealistic

failures, causing more disputes across the

engineers as if traditional construction-only

timeframes, and inadequate contract and third-

region.

agreements. Contractors moving into new

party management. However, for each, there are practical actions that can be taken.

industries, such as power and renewables, face In the Middle East, competition drives prices

a steep learning curve, not least in design and

down as contractors offer value engineered

partnering with specialists for EPC projects.

LATE APPROVALS

solutions that they cannot mature due to

Previous falls in the price of oil have resulted

extremely tight programs. As employers set the

Except for those generated in-house by

in a flurry of late approvals in the Middle East,

timescale, and the open tender price is initially

contractors, claims in the Middle East are

as oil and gas corporations paused to reassess

decisive, contractors seek additional fees and

becoming increasingly sophisticated.


CRUX Report HKA

There is a need for:

Employers need to:

 Formal training in a wider breadth of

 Give contractors, who are better placed to

contract forms.  Enhanced communication between parties so that all stakeholders understand delivery timescales and contractual commitments.  Clarity over roles, responsibility, and ownership of risk.  Knowledge transfer from senior team

manage time-related risks, a greater say on timescales.

ENGINEERING AND CONSTRUCTION A REGIONAL ANALYSIS OF CAUSATION

 Resist the temptation to allocate Covidrelated risks (as mooted for oil and gas

Lessons learned from claims and disputes

contracts) to contractors, and explore pragmatic joint measures instead.  Consider open-book contracts, especially

members to those growing through their

for infrastructure projects where ground

career as part of succession planning.

conditions pose unforeseeable risks

 ‘Buddying’ systems akin to those adopted in Australia so that lessons learned can be

Contractors need to:

applied in the future

 Appreciate, as design & build specialists, the full risks they assume when moving to

RISK IMBALANCE As with project timetabling, risk allocation is unrealistic, and the imbalance has increased over the last 12 months. This time and risk

EPC contracts.  Resist pressure to assume the risk of interface delays with other EPC contractors.  Match the employer team’s sophisticated

combination is unhealthy, triggering a rash

delay and quantum analytical capabilities

of claims symptomatic of troubled projects.

to maximise cost recovery

DOWNLOAD THE FULL REPORT:

 DOWNLOAD HERE HKA  hkasaudi@hka.com

Employers and their lawyers seeking to unload maximum risk should adopt a more

There are clear and common lessons that can

facebook @HKAGlobal

commercial, less legalistic mindset. Contractors

and need to be learned to ensure progress is

linkedin @ hka-global

must deepen their understanding of contract

made during the next 12 months and beyond.

twitter @ HKAGlobal

terms and their implications.

www.hka.com

21


22

INTERIOR DESIGN AND FIT OUT

INTERIOR DESIGN: GETTING IT RIGHT!

EVERYTHING FROM BATHROOMS TO CARS IS DESIGNED USING A COMBINATION OF PRACTICALITY AND AESTHETICS. TO PUT IT ANOTHER WAY, HOW IT WORKS AND HOW IT LOOKS. FOR EXAMPLE, A ROOM MAY APPEAR ATTRACTIVE, BUT IT CAN BE A TERRIBLE ENVIRONMENT TO WORK AND LIVE IN IF THE LAYOUT IS CLUNKY. HOWEVER, WHEN PRACTICALITY AND AESTHETICS ARE COMBINED, YOU CAN HAVE FANTASTIC INTERIOR DESIGN!

Keep in mind that an interior design that reflects the owner's or brand's personality will always exude the perfect blend of elegance and relaxation

N

evertheless, while the appearance of

THIS YEAR'S TRENDS

open up the possibility of creating a very serene

something is just as important as how

But what are the current trends for 2021?

environment similar to that seen outdoors.

it functions - the two go hand in hand - you

What is your starting point? Well, first of all,

must first address the practical before moving

consider nature-inspired hues and earth tones.

One of the finest examples of this approach

on to the enjoyable. The whole goal of putting

Natural materials with an organic style and

in Saudi Arabia at the moment is The Red Sea

together an interior design is to create a space

appearance have become a popular interior

Project's 'Coral Bloom', a concept created

that tells your story and is packed with things

design theme, particularly in residential

by architectural firm Foster + Partners, and

that you enjoy.

projects. The organic feel can be masterfully

designed to blend in with the island's pristine

blended, for instance, with brick walls and

natural environment. Stainless steel villas

Of course, each customer approaches an

solid hardwood, creating an extraordinarily

inspired by coral are part of plans for this

interior designer with a concept in mind.

snug and peaceful interior. Contemporary

ambitious development.

Therefore, the designer's task is to take that

furniture with a definite relationship to natural

concept, nurture it, and watch it bloom into its

flora and well proportioned metallic works

full potential.

definitely need to be considered, too, as they


INTERIOR DESIGN AND FIT OUT

23

Also, keep in mind that an interior design that reflects the owner's or brand's personality will always exude the perfect blend of elegance and relaxation, resulting in a warm and welcoming atmosphere. Furthermore, understanding how to incorporate top interior design trends with the owner's particular style will always result in a flawless kind of individuality and stylishness. TURNING YOUR VISION INTO REALITY Good interior designers are always on top of the latest trends, investing time by attending the top design shows and keeping their fingers on the latest trends and developments. This means they bring fresh ideas to the table, such as features you may not have considered or something unique to your space that isn't available off the shelf.

A skilled designer will follow the brief and go above and beyond by asking additional questions regarding function and purpose

A skilled designer will follow the brief and go above and beyond by asking additional questions regarding function and purpose. As a consequence of this collaborative process, your final design will reflect you or your brand, and you will be able to take pride in a fantastic end result.

The whole goal of putting together an interior design is to create a space that tells your story and is packed with things that you enjoy

COMFORT FIRST Having a roomy and attractive interior design always adds to the overall look and feel of the space. Furthermore, comfort must always take precedence over style. Once the interior design has been carefully established with the utmost function and balance, the natural luxuriousness will undoubtedly emerge. Systematic space planning and development, which a professional interior designer always insists upon, is always the key to achieving the most functional interior design setup.


24

THE PUBLIC INVESTMENT FUND (PIF)

THE PUBLIC INVESTMENT FUND INNOVATORS, NOT IMITATORS AS A VEHICLE FOR VISION 2030, SAUDI ARABIA'S TRANSFORMATION BLUEPRINT, THE PUBLIC INVESTMENT FUND (PIF) PROGRAM ENDEAVORS TO SUSTAIN EFFORTS THAT ARE NOT ONLY CONFINED TO UNCOVERING FRESH GROWTH POTENTIALS FOR THE KINGDOM BY INVESTING IN INTERNATIONAL FINANCIALLY VIABLE PROJECTS. RATHER, IT PLAYS A KEY ROLE ON THE GROUND, INVESTING IN LOCAL PROJECTS THAT WILL HELP SAUDI ARABIA'S PRIORITY SECTORS FLOURISH.

and 2030 aspirations. They are also in line with the directives issued by CEDA's Strategic Management Committee (SMC) and PIF's Board of Directors.

The PIF is now ready to take the next step in its development by defining its policies, strategies, plans, and vision for the years ahead The Kingdom's Real Estate and Infrastructure sector is an essential aspect of Vision 2030, and

S

it differs in scope, type, and character from uch actions will open up new avenues

A CATALYST FOR ECONOMIC DIVERSIFICATION

other sectors and Real Estate and Infrastructure

for non-oil GDP growth, create more

The PIF has come a long way since its inception,

sectors around the world; thus, it deserves its

jobs, boost local production, strengthen the

achieving many of its ambitious investment

own pillar. Along the value chain, this Strategic

Kingdom's private sector, improve quality of

and institutional plans. It is now ready to take

Pillar helps develop local Real Estate and

life, and reinforce Saudi Arabia's leadership

the next step in its development by defining

Infrastructure projects and companies. More

position. Indeed, in line with the 2030 vision, it

its policies, strategies, plans, and vision for

specifically, it encompasses all Saudi Arabian

will continue its endeavor as one of the Vision

the years ahead (2021-2025) and identifying

initiatives to establish development enterprises

Realization Programs (VRPs) to achieve its

its main investment objectives at local and

or assist new businesses in the Real Estate and

objectives and contribute to diversifying the

international levels. The PIF aspires to serve as a

Infrastructure industry.

Kingdom's economy, cultivating new sectors

catalyst for economic diversification by fostering

that lead towards a vibrant society, thriving

strategic sectors and solid economic alliances to

GIGA-PROJECTS AND VAST RESOURCES

economy and ambitious nation.

strengthen the Kingdom's regional and global

One Strategic Pillar focuses on Saudi Arabia's

influence.

giga-projects, which facilitates new ecosystems

CEDA launched the PIF Vision Realization

and unlock new sectors through the PIF, which

Program (VRP) in 2017 as part of an integrated

The PIF program has created eight strategic

is heavily enabled by and promotes technology

initiative to achieve the Kingdom's Vision 2030,

pillars around which it plans and implements

and expertise in the Kingdom. The giga-projects

as well as to collaborate with other VRPs to

its projects. Given their obvious consistency

are intended to stimulate the economy. Their

contribute to the Kingdom's economic and

with the goals of Vision 2030, this comprises

advantages are expected to extend far beyond the

social growth, strengthen its global position, and

projects across numerous industries and

Real Estate and Infrastructure sectors, assisting in

uncover its pioneering investment power.

asset classes internationally to fulfil its 2025

diversifying the economy away from oil.


THE PUBLIC INVESTMENT FUND (PIF)

25

The PIF is energizing and engaging society in executing and implementing a number of projects and objectives As a result, the PIF has concentrated on obtaining the most extraordinary talent from domestic and international markets and has worked hard to develop its people. Moreover, it is keen on leveraging tourist attractions and the Kingdom's historical and cultural heritage, such as UNESCO sites, in addition to unique natural features such as mountain and marine tourism, They bolster the Kingdom's economic

It also has diverse terrain from far north to

to maximize the use of geographical resources.

development efforts and encourage

far south, and from the west coast to the east

The PIF also aims to optimize non-oil economic

investments in various industries, all while

coast, in addition to its most valuable resource,

resources such as mining, clean energy and

generating significant profits over the medium

its people, who are strenuously devoted to

entertainment.

and long term. The Red Sea Development

building a prosperous future. As a result, one of

Company, NEOM, Qiddiya, and ROSHN are four

the PIF's local investment aims is to make use of

Aviation and defence, vehicles, modern

of the leading giga-projects currently active in

the Kingdom's resources.

research, development, and manufacturing,

the Kingdom.

The PIF program has created eight strategic pillars around which it plans and implements its projects Saudi Arabia has a unique strategic location as well as a long and illustrious history. Its land is rich in vast and high-quality resources due to several significant factors, including the Kingdom's economic and geographical position among the world's countries, connecting the three continents.

tourism and entertainment, minerals and WORKING FOR A BRIGHTER FUTURE

mining, utilities, renewable energy, technology

By attracting and maintaining highly

localization, communications and media, real

trained cadres, developing future leaders in

estate projects, military industries, e-commerce,

management and investment, and growing

modern global cities, and recycling are among

expertise in target sectors, the PIF is also

the future investments considered by PIF in its

energizing and engaging society in executing

activities. Such measures, when taken together,

and implementing a number of projects and

will pave the way for a brighter future for the

objectives.

Kingdom and its people.

Saudi Arabia has a unique strategic location as well as a long and illustrious history

PUBLIC INVESTMENT FUND Instagram @publicinvestmentfund Linkedin @pifsaudi Twitter @PIF_en Youtube @Public Investment Fund www.pif.gov.sa


26

THE PUBLIC INVESTMENT FUND (PIF)

PIF-BACKED ELECTRIC VEHICLE COMPANY LUCID MOTORS DEBUTS ON NASDAQ THE FIRM ANNOUNCED THAT IT HAS RECEIVED MORE THAN 11,000 PAID RESERVATIONS FOR ITS LUCID AIR ELECTRIC CAR PIF CONTROLS MORE THAN 60% OF LUCID

Lucid says that the listing brought in $4.4

According to reports, the Air will have

controls more than 60% of Lucid. In 2018,

billion, which it plans to utilise to boost

a single-charge range of more than

the fund invested more than $1 billion in

expansion and production capacity.

500 miles, beating out the current

the company to assist it in establishing its

market leader, Tesla's Model S, which

production centre in Arizona, United States.

The firm announced that it has received more than 11,000 paid reservations for its Lucid Air electric car, which will be

has a range of roughly 400 miles. Lucid Motors has gone public as Lucid

Talks regarding the creation of a Lucid factory in Saudi Arabia have taken place as

ready by the end of 2021. According to

Group, Inc., following a merger with Churchill

part of a push to lure more high-tech jobs

CEO Peter Rawlinson, the launch was

Capital Corp IV, which was announced on

to the Kingdom, according to Bloomberg.

initially scheduled for 2020 but was

23 July. It will trade under the ticker 'LCID'.

postponed due to Covid-19 concerns.

According to the Wall Street Journal, PIF

SAUDI-OWNED ELM INVESTS IN INDIAN HEALTHTECH PLATFORM

THE SAUDI SOVEREIGN FUND HAS ESTABLISHED 35 STRATEGIC COMPANIES SINCE 2018

According to Livemint, Elm, a Saudi

The Saudi sovereign fund has established

jobs, the companies are working to boost

Public Investment Fund-owned firm,

35 strategic companies since 2018, with its

private sector growth and diversification

has invested in India-based healthtech

assets having grown to about SR1.6 trillion

of the Kingdom's economy. By 2025, the

Healthifyme's $75 million Series C

($426.6 billion). It aims to expand this to

Kingdom's sovereign fund expects to create

fundraising round, headed by Khosla

SR4 trillion by the end of 2025, Deputy

1.8 million direct and indirect jobs.

Ventures and LeapFrog Investment.

Governor Yazeed Al-Hamid said earlier

HealthQuad and Unilever Ventures, as

this month. He said the sovereign wealth

well as current investors Chiratae Ventures,

fund aims to boost its local investments

Inventus Capital, and Sistema Asia Capital,

to account for 75-80% of the total.

joined the round, bringing the total investment in the firm to $100 million.

By introducing new industries and producing 366,000 direct and indirect


THE PUBLIC INVESTMENT FUND (PIF)

SEDRA, ROSHN'S FIRST RESIDENTIAL COMMUNITY IN RIYADH, IS UNVEILED ROSHN, the Public Investment Fund (PIF)-

Complete with kitchens, split unit ACs, water

to inspire a strong sense of community spirit

owned developer, has announced that its

heating systems, and LED lighting, SEDRA is

and genuine connection between residents.

first residential community in Riyadh will be

being designed in the Salmani architectural

“David Grover, ROSHN Group CEO, said:

named SEDRA and will consist of more than

style, which combines urban and traditional

"We are delighted to announce SEDRA as

30,000 homes, more than 4,500 of which will

design elements to emphasize Saudi culture

the name of our first community, which is a

be built in its first phase of construction.

and heritage. Through services and facilities

significant and exciting step in the delivery

such as mosques, schools, healthcare,

of ROSHN's mandate to raise the rate of

offer homes of various sizes and facades

pedestrian and bike paths, cafes, restaurants,

homeownership to 70% in the Kingdom.

to cater to all residents' requirements.

leisure and entertainment options, it aims

At ROSHN, we are deeply committed to

The modern, connected community will

developing communities of the future that meet current demands for high-quality, accessible housing. Our communities will represent a global exemplar in residential living. In addition, they will play a vital role in further advancing the nation's flourishing infrastructure and real estate

THE SAUDI SOVEREIGN FUND HAS ESTABLISHED 35 STRATEGIC COMPANIES SINCE 2018

sectors, which are crucial to the Kingdom's economic diversification and growth goals." The SEDRA community covers 20 million square metres and is strategically located north of Riyadh, south of King Khalid Airport, near Princess Nourah University, and behind Riyadh Front. SEDRA is named after an indigenous tree that grows widely in the community.

PIF BUYS A STAKE IN ITALIAN SUPERCAR MAKER PAGANI The Public Investment Fund has agreed to purchase a minority investment in Horacio Pagani SpA, the latest sign that the Kingdom is becoming more active in the automobile industry. The investment is part of a long-term strategic collaboration between the two organizations. PIF joins Italian minority shareholders, Nicola Volpi and Emilio Petrone, with the Pagani family retaining complete control of the company. Pagani, based near Modena in northern Italy, was founded by Italian-Argentine entrepreneur Horacio Pagani in 1992. The PIF, according to the CEO and chairman, is a "perfect partner" for advancing an iconic brand, as well as supporting its expansion strategy in the lifestyle segment.

A "PERFECT PARTNER" FOR ADVANCING AN ICONIC BRAND

27


28

Sustainability

SAUDI ARABIA SOLAR PHOTOVOLTAIC (PV) MARKET GROWTH FACTORS, OPPORTUNITIES, ONGOING TRENDS AND KEY PLAYERS 2026 For those unaware, solar photovoltaic (PV) is a technology that is used to develop electricity without employing any moving parts

However, the emergence of the Covid-19 pandemic and subsequent lockdowns has resulted in an economic slowdown and disruptions in supply chain processes, which may negatively impact the growth of Saudi Arabia's photovoltaic industry. As per type, the market is divided into polycrystalline, mono-crystalline, and thin-film segments. The report claims that the thin film segment accounted for the largest share in the Saudi Arabian photovoltaic market in 2019 and is expected to register significant growth throughout the forecast period. Thin-film photovoltaic cells are made using non-silicon materials and hence are also known as secondgeneration solar cells. It is quite flexible and can be used as rooftop tiles or shingles, thereby

According to a research report entitled 'Saudi Arabia Solar Photovoltaic (PV) Market Analysis, 2020', available with Market Study Report LLC, Saudi Arabia’s solar photovoltaic market is predicted to expand with a CAGR of 5% between 2020 and 2026. The introduction of supportive government regulations such as the Saudi Vision 2030, which aims to achieve economic diversification, is one of the key factors driving the growth of the Kingdom's solar photovoltaic market. For those unaware, solar photovoltaic (PV) is a technology that is used to develop electricity without employing any moving parts.

Saudi Arabia’s solar photovoltaic market is predicted to expand with a CAGR of 5% between 2020 and 2026.

Saudi Arabia has planned to deploy 27.3 GW of renewable energy by 2023, out of which 20 GW is slated to be produced through solar power

fueling the segmental size. The end-user scope of the Kingdom's photovoltaic industry consists of commercial and residential segments. In terms of the deployment model, the market is segmented into ground-mounted and rooftop. ACWA Power, JinkoSolar Holding Co. Ltd., SunPower Corporation, Gulf Batteries Co. Ltd., Vista Eco Solutions LLC, EGPHIL Solar Solutions, National Solar System LLC, Hanwha Q Cells Co. Ltd., Sharp Corporation, Gtek Solar, and First Solar Inc. are the key companies operating in Saudi Arabia solar photovoltaic industry.

As per credible reports, Saudi Arabia has planned to deploy 27.3 GW of renewable

prices of solar panels should have boosted the

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energy by 2023, out of which 20 GW is slated

demand for solar photovoltaic cells, thereby

OF THIS REPORT:

to be produced through solar power. Thus,

positively impacting the business dynamics in

a favorable regulatory outlook and deflating

Saudi Arabia.

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Project focus - 1500MW SUDAIR SOLAR PLANT

SUDAIR SOLAR PROJECT SUPPORTS SAUDI ARABIA'S ONGOING ENERGY TRANSITION AND DIVERSIFICATION

A

CWA POWER, A LEADING DEVELOPER, INVESTOR AND OPERATOR OF POWER GENERATION AND DESALINATED WATER PLANTS, HAS ANNOUNCED THE FINANCIAL CLOSE FOR THE 1500MW SUDAIR SOLAR PLANT, A KEY PROJECT UNDER THE PUBLIC INVESTMENT FUND (PIF) RENEWABLE ENERGY PROGRAM.


Project focus - 1500MW SUDAIR SOLAR PLANT

The launch of the Sudair Solar project was

A specialized Saudi technical team at the

announced at the inauguration of the Sakaka

Ministry of Energy selected the Sudair

PV project in April 2021, under the patronage

project site and carried out the engineering

of HRH Prince Mohammed bin Salman bin

requirements and preliminary studies of the

Abdulaziz, Crown Prince, Deputy Prime Minister,

project with the aim of achieving the highest

Chairman of the Supreme Committee for

levels of efficient energy production and

Energy Mix Affairs for Electricity Production and

contributing to shaping the circular carbon

Enabling Renewable Energy Sector, and in the

economy, which the Kingdom adopted during

presence of HRH Prince Abdulaziz bin Salman

its presidency of the G20 last year.

bin Abdulaziz Al Saud, Minister of Energy.

31

In line with Saudi Green Initiative, the project represents a key milestone towards PIF's commitment to develop 70% of Saudi Arabia's renewable energy by 2030.


32

Project focus - 1500MW SUDAIR SOLAR PLANT

With an investment value of SAR 3.4 billion,

of His Royal Highness Prince Abdulaziz bin

the Sudair Solar PV project, which is located

Salman, Minister of Energy, to accomplish this

Sudair Solar is a testament to the Kingdom's

at Sudair Industrial City, is set to become

ambitious vision.

continuous efforts to reduce emissions by the

one of the largest single-contracted Solar PV

energy sector. Additionally, the Ministry of

plants in the world and the largest of its kind

"The launch of Sudair Solar embodies a

Energy utilizes its Renewable Energy Program

in Saudi Arabia. A 25-year power purchase

pivotal foundation for diversifying the energy

and Local Content Development Program to

agreement for the plant was signed with the

mix and accelerating the energy transition in

enable the prosperity of this promising sector

Saudi Power Procurement Company, with

the Kingdom, as well as transferring ACWA

and its supply chains through various initiatives

the tariff being among the lowest for solar PV

Power's international expertise, knowledge

such as mobilizing private sector investments

projects globally. Using bi-facial modules with

and capabilities in the global renewable sector

and encouraging partnerships between

tracking technology, the plant is set to deliver

back to the Kingdom. Furthermore, the project

the public and private sectors to create a

highly efficient performance and be capable of

will encourage Saudi companies to participate

competitive national market for renewable

powering 185,000 homes while offsetting nearly

in the implementation of renewable energy

energy.

2.9 million tons of emissions per year.

projects and support local talent in cultivating

ACWA Power has also announced that SAPCO,

The financing for the project is based on the

thriving sector, which constitutes one of the

a wholly-owned company of Aramco, has

principles of limited recourse project financing,

Kingdom's key pillars for sustainable socio-

joined the consortium with ACWA Power and

with the senior debt structured as a soft

economic development.

Badeel, a wholly-owned company of PIF. The

mini-perm facility with a tenor of 28 years and

consortium, led by ACWA Power, embodies the

both conventional and Islamic tranches. The

strategic importance of the Sudair Solar PV

financing structure also features equity bridge

project, the first project under PIF's renewable

facilities provided by local and international

energy program. The program aims to support

banks supporting the sponsor group's equity

Saudi Arabia's ongoing energy transition

investment in the project.

the skills and competencies needed in this

and diversification and deliver 70% of the country's renewable energy under the National

The financing group includes Mizuho Bank,

Renewable Energy Program (NREP).

Ltd., Riyad Bank, Korea Development Bank, Arab Petroleum Investments Corporation

ACWA Power - in which PIF holds a 50% stake

(APICORP), Al Rajhi Banking & Investment

- and Badeel will each own 35% in the special

Corporation, and Standard Chartered Bank as

purpose vehicle 'Sudair One Renewable Energy

senior lenders and Mandated Lead Arrangers.

Company', which was incorporated for the

The equity bridge facilities are provided by

project; with SAPCO holding a 30% stake.

Bank Al Bilad, Saudi British Bank and SMBC International Plc.

The Renewables and Utilities sector is one of the 13 priority sectors that PIF identified

Mohammad Abunayyan, Chairman of ACWA

as a key focus area in its Strategy 2021-2025.

Power, said: "Underpinned by our ambition

The strategy focuses on unlocking the private

and determination to continue driving the

sector's capabilities and aims to increase local

transformation of the Kingdom's energy

content contribution to 60%, including PIF

sector, I would like to extend my sincere

and its portfolio companies, in addition to

gratitude and pride following the signing of

expanding opportunities for local companies to

agreements for the first project under the PIF

partake in the Fund's projects.

Renewable Energy Program. This milestone marks progress in achieving the goals of Vision

Aramco's investment in the Sudair Project is

2030 and the requirements of the National

its first participation with PIF in its renewable

Renewable Energy Program launched by the

energy program, reflecting the company's

Custodian of the Two Holy Mosques, King

efforts to advance sustainable energy solutions

Salman bin Abdulaziz Al Saud; guided by the

within its operations and Saudi Arabia, where

directives of His Royal Highness the Crown

various low-carbon energy solutions are being

Prince, Mohammed bin Salman bin Abdulaziz;

deployed.

and reinforced by the unparalleled support


Project focus - 1500MW SUDAIR SOLAR PLANT

The project is one of the world's largest single-contracted solar PV plants and the largest in Saudi Arabia

policies of Vision 2030. We are honored to work

and the broader region to protect the planet

hand-in-hand with the Kingdom's greatest

by clearly defining an ambitious roadmap

national champions, including PIF, Aramco

that rallies the region and will significantly

and leading local and international financial

contribute to achieving global targets in

institutions; to bring the largest solar PV plant

confronting climate change."

33

in Saudi Arabia to fruition." Mohammed Al Qahtani, Senior Vice President Yazeed Alhumied, Deputy Governor and Head

of Downstream, Aramco, commented: "Our

of MENA Investments, PIF, said: "This milestone

involvement in the Sudair Solar PV plant

demonstrates the potential for solar power

reflects our efforts to advance sustainable

in Saudi Arabia and the expertise that this

energy solutions, both within our own

consortium has to deliver it. The landmark

operations and the broader energy network.

“The Sudair Solar project is also a testament

renewable energy project is a significant step

While hydrocarbons will continue to be a vital

to the leadership and foresight shown by PIF

and key part of PIF's commitment to develop

part of the energy mix for decades to come,

in bringing together various stakeholders

70% of Saudi Arabia's renewable energy

renewables like solar have an important role

to create tangible impact in the renewables

capacity outlined in the Saudi Vision 2030.

to play in helping achieve the world's climate

sector by integrating robust public-private

"It also helps fulfill the aims of the Saudi

goals. Sudair will support Saudi Arabia's

partnerships (PPP), one of the cornerstone

Green Initiative to chart a path for Saudi Arabia

ambition to generate part of the nation's power needs from renewable energy by 2030, and is one of several low-carbon energy options being deployed by Aramco." The EPC agreement for the construction of the Sudair Solar PV was signed with Larsen & Toubro in April 2021. The project's first phase is expected to begin producing electricity during the second half of 2022, contributing towards the Saudi Green Initiative.

The Saudi Aramco Power Company (SAPCO) joins the consortium led by ACWA Power and the Water & Electricity Holding Company (Badeel) ACWA POWER  +966 11 2835555 Facebook @ACWAPower Instagram @acwapower Linkedin @ACWA Power Twitter @ACWAPower Youtube @ACWA Power www.acwapower.com


GETTING TO KNOW WALEED ALKHAYYAT

34

GOING BEYOND EXPECTATIONS

gets two aspects right: It builds market-leading solutions to succeed in the markets it serves, and it makes sure to announce that success to its current and future clients. To position LogiPoint as the market leader in the Middle East is to ensure that we communicate to our markets how the LogiPoint value resonates with the world’s leading organizations every day and how committed we are to our customers by being an enabler of their supply chain. On the one hand, it requires us to keep our clients informed on what new products and solutions we are rolling out or how our existing solutions are evolving with the market needs. But, on the other hand, we need to be seen and heard in the spaces where our prospective new clients are looking for solutions for their Middle East logistics. In a rapidly digitalizing world, this has meant a quick transition from traditional marketing activities to a hybrid model which leverages

W ALEED ALKHAYYAT HEAD OF MARKETING & COMMUNICATIONS, LOGIPOINT

digital marketing and social media for direct to customer marketing as much as traditional

L

OGIPOINT, A LOGISTICS SERVICE PROVIDER WITH A HISTORY OF LANDMARK PROJECTS ACROSS ALL THE MAJOR INDUSTRY SEGMENTS, HAS THE DISTINCT ADVANTAGE OF BEING ABLE TO PROVIDE LOGISTICS SUPPORT AT EVERY STAGE OF THE SUPPLY CHAIN. SAUDI PROJECTS SPEAKS TO WALEED KHAYYAT, HEAD OF MARKETING & COMMUNICATIONS, ABOUT HIS ROLE AT LOGIPOINT AND HOW THE COMPANY IS GEARING UP TO EXPAND ITS FOOTPRINT ACROSS THE KINGDOM, WITH SOME EXCITING NEW PROJECTS IN THE PIPELINE.

tools. We apply the latest technologies in marketing data analysis to ensure that we optimize our channels and communicate our message to the right customer at the right time. SP: As a marketer, what were some of the key lessons you learned from the Covid-19 pandemic, and how have you been able to adapt in 2021? WK: I think the key lesson for all of us has been that market conditions can change overnight for a number of reasons; and while

Saudi Projects: Tell us briefly about your role

a clear and concise message that all our

we can have all kinds of contingency plans in

in LogiPoint?

stakeholders readily understand. This starts

place, there can always be a situation when we

Waleed Khayyat: We are a logistics real

with our internal stakeholders, our employees

need to come up with a new plan on the go and

estate company acting as an enabling logistics

and our teams, because first and foremost,

execute it immediately. We have all learnt the

hub and value creation platform for our clients

we need to get a buy-in on our vision and

value of adaptability, resilience and elasticity.

across a wide range of segments. We evolve

action plans from the very people who will

with the markets we serve. We anticipate the

help deliver that vision. It then extends to the

meetings and roadshows became redundant

needs of our customers and create innovative

external stakeholders – our clients, partners,

overnight. We needed to devise, learn and

new solutions that make their supply chains

vendors and even competition; and two, once

practice new ways of engaging with our

resilient and elastic. And we do it all while

that message is clearly chalked out, to set the

markets. We adapted by investing in upskilling

adapting and adhering to the requirements of

communications channels, whether digital or

digital marketing knowledge and skills in our

the regulatory bodies and other stakeholders.

print, conventional or cutting edge, alive with

team. The digital space operates at warp speed

In a phrase, we go the extra mile and then a

that message.

when compared with traditional marketing

step further to ensure that our clients have the best solutions at their disposal. My role is two-fold: One is to translate our company’s vision, plans, and solutions into

SP: Tell us how you are positioning

For us marketers, events, conferences,

space – an event can be planned, lined up, and

LogiPoint to be a market leader in the Middle

executed successfully in a much shorter period

East?

than a traditional event or a roadshow. So, we

WK: In essence, a market-leading organization

needed to adapt and adapt lightning fast.


GETTING TO KNOW WALEED ALKHAYYAT

We anticipate the needs of our customers and create innovative new solutions that make their supply chains resilient and elastic In a world where we were all confined to lockdowns, the importance of effective networking in the real and the virtual world was also brought home to us. We learnt that

35

most bang for our marketing buck. Another

The pandemic has brought the role of the

challenge can be the time it takes between

shipping and logistics industry into sharp focus.

rolling out a marketing campaign and seeing

The container shipping industry is experiencing

its impact reflected in real numbers. In both

an unprecedented windfall. Equipment

cases, it means that marketers, who live for the

shortages at export origins are creating all

spotlight pretty much literally, have to create

kinds of challenges for industries from foodstuff

their own new excitement every day. That can

to automotive to construction, and changing

be pretty exciting itself when done right.

consumption patterns have already forced

SP: What opportunities do you foresee inside and outside the KSA for LogiPoint? WK: Saudi Vision 2030 envisages KSA as a

many industries to adapt quickly. And it looks like everyone will need to continue to adapt until we can put the Covid-19 genie back in the

the relationships we had been nurturing for

leading global logistics hub enabling trade and

bottle. Meanwhile, resilient supply chains will

months and years stood us in good stead when

value creation. As a pioneering logistics hub

come out tops, and such resilience will only

we needed our partners to go the extra mile

in the Kingdom, we like to see ourselves as

come if there is elasticity built into those supply

for us, just as we went the extra mile for our

the pilot project transforming that vision into

chains. It’s hard to see how this will all pan out

partners.

reality. Having proven our value to our clients

in the short term or the long term, but what

The decision to adapt quickly helped us

through our Bonded and Re-Export Zone and

we do know is there isn’t going to be a dull

connect with our clients. With lockdowns

our Logistics Parks in Jeddah, we are gearing to

moment in this industry for a long time. What

and working from home becoming the norm,

expand our footprint across the Kingdom with

else can a marketer ask for?

our customers increased their browsing

some exciting new projects in the pipeline. We

time during the pandemic, which created an

know that we can leverage our experience as an

opportunity for us to plug into this audience

internationally recognized logistics real estate

WK: The goal is always perfect alignment.

and deepen our engagement with our market.

company and a multi-award-winning logistics

You cannot create an effective communication

The fact that despite the lockdown and the

and supply chain hub in Jeddah to build the

strategy or a marketing campaign without first

slowing business activity, we have increased

logistics infrastructure of tomorrow across the

aligning perfectly with the goals and objectives

our revenue by 25%, expanded our teams

Kingdom. We see a great opportunity to attract

of an organization. LogiPoint’s goal is to prove

across the board, and announced new projects

foreign investment to the Kingdom’s logistics

itself as an enabling logistics platform that

like Warehouse Cluster 5 bears testimony to

landscape through our initiatives.

creates value for its clients through eliminating

how well we have adapted to the new norm. SP: Do you have any marketing tips that

LogiPoint’s success at home creates

SP: How is your vision aligned with LogiPoint goals and objectives?

waste and delivering efficient solutions

opportunities abroad for collaborations,

consistently. That is our vision as marketing as

helped you become a leading marketing

partnerships, and joint ventures, especially as

well – lock, stock and barrel.

professional in your industry?

we grow into the Kingdom’s flagship logistics

WK: Be authentic. Dare to be creative. Live outside the comfort zone. Learn something new

real estate company. Indeed, we are sailing into some exciting times ahead.

SP: How important is teamwork for you? WK: It’s a cliché, but it rings true every day. Teamwork is everything. Especially so

every day. Listen intently. Adapt constantly.

when we have had to adapt so quickly to so

And most of all, care! Care for the company you

much, making the transition from a largely

market, care for the client and their business, care for your team, and always care for the message you deliver and how you deliver it. It really is that simple. SP: What are some of the challenges you

Despite the lockdown and the slowing business activity, we have increased our revenue by 25%

face as a marketer in the logistics industry? WK: It’s a fascinating industry – one which literally makes the world go round by keeping the wheels of the global economy turning.

conventional marketing team to one that thrives on the cutting edge of digital marketing. I am thrilled and grateful at the same time that we proved to be a team that could make this transition smoothly and seamlessly – and have loads of fun, too, while we were at it.

SP: What are the key trends you see happening in 2021 in the logistics industry? WK: The key trends in the logistics industry

But it isn’t as glamorous as some of the other

during this pandemic have been adaptability,

LOGIPOINT

industries, and so perhaps that can prove to

resilience and elasticity in supply chains, and

 +966 12 648 8144

be a challenge for marketers sometimes. We

LogiPoint as an enabling logistics platform

 info@LogiPoint.sa

don’t work with nearly as interesting budgets

creating value for its clients will have a

Linkedin @LogiPoint

as many of our clients do, which means

significant role to play in catering to these

Youtube @LogiPoint

we have to go ‘one step further’ to get the

trends.

www.logipoint.sa


Unimac

36

 MUZAHMIEH AL RAYN HIGHWAY

CONSISTENT QUALITY, EXCEPTIONAL SERVICE S

INCE 1979, COLLABORATION AND INNOVATION HAVE BEEN IN UNIMAC'S DNA. IT'S WHY IT HAS BEEN IN BUSINESS FOR OVER 40 YEARS, WITH THE COMPANY BELIEVING THAT THESE VALUES ARE THE CORNERSTONE CHARACTERISTICS TO A GREAT PROJECT AND A SUCCESSFUL RELATIONSHIP WITH ITS CLIENTS.

attention to detail. Its total product lifecycle approach lets clients rest easy knowing that they've got it covered. Having all divisions and activities under one roof has become central to the company's success. THE FIVE M'S

Initially established as a road contracting business, UNIMAC has continually expanded

specifications to the more complex PMA

UNIMAC's general business philosophy is based

used for racetracks

on the five M's of construction: Manpower,

its operations to become the fully vertically

 In-house engineering design department

Machinery, Materials, Management, and Money.

integrated company it is today, with a broad

 In-house laboratories to ensure that

The importance of this philosophy is reflected

range of operations and facilities that include:  Three rock aggregate crusher locations with six operational crusher assemblies

projects meet specifications and adhere to

in the large letter M of UNIMAC's logo. Any

UNIMAX's strict quality standards

construction project's success will hinge on

 A transportation division with a fleet of more than 150 medium to heavy vehicles

 Six asphalt plants

the efficient and effective application of all five M's simultaneously. If any of the five M's are neglected, the project's performance will

 Over 700 pieces of equipment

The company's construction division is among

suffer, potentially resulting in project delays,

 A full-time staff of more than 900 personnel

the best in the Kingdom in terms of quality

poor quality, and financial losses. While some

 Experienced material engineers capable

and workmanship. And from project design

companies regard Method to be the sixth M,

of developing various asphalt mix

to completion, UNIMAC engineering and

UNIMAC considers it one of the components of

designs, ranging from standard Marshal

contracting teams provide full support and

management.


Unimac

37

 ASPHALT SHUTTLE BUGGY FEEDING LATEST HIGH-TECH PAVER

WHERE QUALITY WORKMANSHIP IS A RACING CERTAINTY UNIMAC is currently active on the Jeddah Corniche Circuit project. Its scope of works as the main contractor includes the full transformation of the roadway into a hightech racetrack capable of hosting the most prestigious motorsport races in the world. Achieving this required the complete demolition of the existing corniche, excavation of and replacement of unsuitable material, levelling and stabilization of the soil, asphalting the track, building retaining walls, installing a high-tech storm drainage system as well as sewage, potable water, and firefighting networks. The company's most recent contract award is for the construction of the low voltage and medium voltage electrical network. Also, at present, UNIMAC is working on several other important and prestigious projects, including the Riyadh Metro corridors, the KKIA airport's security roads, and the construction and upgrading of East Riyadh's road network.

Having all divisions and activities under one roof has become central to the company's success

As part of the East Riyadh Rehabilitation,

This code includes sustainability and the environment. UNIMAC's Environmental Division oversees compliance monitoring in accordance with the National Center for Environmental Compliance-Minister of Environment, Water, and Agriculture (NCEC-MEWA) regulations to

UNIMAC has built and upgraded more than 250

UNIMAC was also one of the main contractors

ensure that construction activities are carried

roads. It expects to finalize this project in Q3

of the Ad Diriyah Formula E circuit, one of its

out following all NCEC-MEWA regulations.

2021.

proudest accomplishments. This was the first

A TRADITION OF EXCELLENCE

professional racetrack to be built in Saudi

UNIMAC'S ENVIRONMENTAL DIVISION

Arabia.

responsibilities include inspecting machinery

UNIMAC is genuinely proud of every project it

and vehicle exhaust emissions, monitoring

has worked on. However, if there is one project

UNIMAC was proudly contracted for the project

noise pollution and vibration, such as relevant

that stands out from the rest, it is the Al Rayn

construction and subsequent upgrade two

locations for human sensitive receptors,

- Bisha Highway (Muzahmia section). This

years in a row for the 2018 and 2019 races. This

and assessing and quantifying potential

consisted of moving 16 million cubic meters

project sparked the formation of UNIMAC's

environmental hazards due to construction

of sand to build a highway in the middle of the

Special Projects Division, which is led by a

activities.

desert, in addition to building a bridge across

highly qualified team of men and women who

one of the busiest highways in the country – the

specialize in building complex high-level rush

The company's current project, for instance, the

Riyadh-Mecca Highway.

projects that must be finished to a tight timeline

Jeddah Corniche Circuit (JCC), runs along the

and in challenging environments.

shores of the Red Sea and one Corniche lagoon.

However, it is admittedly challenging to single

To ensure water preservation and safety,

out specific projects, with UNIMAC successfully

CARING FOR THE ENVIRONMENT

UNIMAC has commenced water sampling as

completing so many, including a number of

The vertically integrated structure of UNIMAC

aligned with SACO standards. Additionally, the

airports and airbase infrastructure projects.

and its highly motivated and talented workforce

Environmental Division closely inspects soil and

These range from the King Khalid International

of men and women set it apart from its

groundwater, including monitoring for evidence

Airport to the PSAB in Al Kharj. The company

competitors. The company's team has never

of chemical spillage and acidic soils and

has been building airfields for several decades,

compromised on quality and will never do so,

overseeing sewage containment. UNIMAC also

and UNIMAC's previous logo consisted of a

managing each project individually in line with

aim to implement permanent protections to

runway.

a robust code of ethics.

preserve the Red Sea shoreline along the JCC.


38

Unimac

 ASPHALTING WITH HIGH-TECH PAVERS

UNIMAC's general business philosophy is based on the five M's of construction: Manpower, Machinery, Materials, Management, and Money Finally, UNIMAC will prioritize monitoring all described activities to verify and confirm that full compliance with environmental regulations and standards is achieved and, in the event that any violations are observed, these are immediately addressed. WOMEN IN CONSTRUCTION UNIMAC is proud to be at the forefront of the 'women in construction' movement in Saudi Arabia and recognize the value of hiring a dedicated and talented workforce, regardless of gender. As a result, female employees currently make up an essential and valuable component of all UNIMAC departments.To best support its female mployees, the company strives to createa supportive workforce that allows all employees to reach their highest potential. This has proven to be a huge success due to the incredible passion, effort, and performance of these women.

P HOTO TAKEN IN UNIMAC'S ON-SITE LABORATORY, ALWAYS ENSURING THE HIGHEST QUALITY MATERIALS

T HE NEWEST STEEL & TIRE ROLLERS COMPACTING THE ASPHALT BASE COURSE

Moreover, the company plan to conduct environmental awareness training with all staff. Required training will cover fuel storage, waste management, air emissions management, noise and traffic management, and management of wildlife habitats within the site. All site staff, workers (including subcontractors), and site visitors will receive training. UNIMAC will not allow these parties to perform duties on site until they have complete training.


Unimac

39

FOR SAFETY'S SAKE

 DIRIYAH, FORMULA E

Protecting its workforce and subcontractors from the Covid-19 infection is of the highest priority during this unprecedented pandemic. That is why UNIMAC conducts PCR tests on all employees three times a week and enforce masks in the office and on-site. The company has also ensured that all employees are vaccinated, from administrative staff to construction workers and laborers. Due to constant outdoor construction work, construction workers and management are organized into smaller groups to limit the potential transmission of the virus. In accordance with the Ministry of Health, UNIMAC's health and safety staff oversee and ensure that staff comply with all Covid-19 safety

As part of the East Riyadh Rehabilitation, UNIMAC has built and upgraded more than 250 roads

measures. A BRIGHT AND BUSY FUTURE! The next 5 to 10 years will be very busy and exciting, as Vision 2030 continues to be

FRESH CONCEPTS, NEW DIVISIONS

construction impacts the environment and

implemented within the Kingdom. UNIMAC is

More than a construction company, UNIMAC

analyses ways to enhance the environment

committed to the construction of infrastructure

is in the business of servicing its clients to

both during and after construction. To

under the planning stage by the Kingdom

ensure they receive a unique and exceptional

ensure the division's success, the company

to accommodate a very fast-growing young

experience. It excels, for example, at

is collaborating closely with government

population. Its strategy is not to only build

communicating effectively with clients to

agencies.

high-quality infrastructure but also to provide

address the issues they confront daily, such as cost and result optimization, schedule modifications, variation orders, and so on. UNIMAC has the ability to execute projects at an expedited schedule while still delivering quality results.

UNIMAC has also enhanced its flexibility to transfer resources on-demand to keep up with the industry's rapid expansion

UNIMAC has also enhanced its flexibility to

Moreover, Saudi Arabia is committed to

transfer resources on-demand to keep up with

improving road safety, which provides an

the industry's rapid expansion. This allows it

opportunity for private sector participation.

to adapt its engineering and design services

With this in mind, UNIMAC is establishing a

to match clients' needs while maintaining

Road Safety division to assist this program and

uninterrupted subcontractor workflows.

will be working closely with the government to

This enlightened approach to business has

maintenance costs throughout the years using the newest technologies and techniques. This will provide a significant opportunity to UNIMAC's Special Projects Division and foster growth in other newly formed divisions within UNIMAC.

discover solutions and improve safety on the

UNITED MAINTENANCE

Kingdom's network of roads and highways.

AND CONTRACTING COMPANY  +966 11 477 4307

ensured that there is plenty of opportunity for growth.

solutions that result in low operating and

The company is also interested in expanding

 info@unimaccompany.com

its activities related to motorsports. Not only

facebook @unimaccompany

Saudi Arabia is putting a strong emphasis on

would it like to grow its portfolio of racetracks,

instagram @Unimac_SA

environmental improvement. As a result of this

but it is also interested in getting into the

Linkedin @unimaccompany

demand, UNIMAC has recently established an

Operations and Maintenance of motorsport

twitter @Unimac_SA

Environmental Division, which assesses how

facilities.

www.unimaccompany.com


40

THE RED SEA DEVELOPMENT COMPANY - NEWS

THE FIRST MIDDLE EASTERN DEVELOPERS TO ACHIEVE CERTIFICATION FOR QUALITY MANAGEMENT TRSDC’S QUALITY MANAGEMENT SYSTEMS HAVE BEEN UNDER DEVELOPMENT SINCE THE INCEPTION OF THE COMPANY IN 2018

The first company’s in the Middle East to achieve the ISO 9001:2015 certification for quality management for design and construction of assets. Bureau Veritas, the world-leading testing, inspection and certification company, conducted an audit on TRSDC’s approach to design and construction. It awarded TRSDC the ISO 9001: 2015 certification in recognition of its excellent quality management systems, which enable the company to deliver robust projects to the highest international standards. “Developing a quality management system quickly has been critical as we deliver a multibillion-dollar giga project from the foundations up. Building a robust delivery system is a journey, and we believe we are on the right path, demonstrated by this remarkable achievement in becoming one of the first companies in the region to be awarded this certification,” said John Pagano, CEO of TRSDC.

600-YEAR-OLD CORAL COLONY FOUND AT AL WAJH LAGOON

COASTAL VILLAGE CONTRACT AWARED FOR FACILITIES MANAGEMENT

A team of marine scientists have

measuring the size and number of

uncovered a 10-meter-high coral

rings on it, as well as the existence

El Seif Group, based in

El Seif Group was selected due

colony that is thought to be

of submerged redwood trees.

the Middle East, will be

to its alignment with TRSDC's

responsible for delivering

environmental and social

facilities management

principles and will provide

services to 18 residential

sustainable living for all

over 600 years old. The discovery was made by scientists and

Scientists working on the project will now use the colony to

environmentalists

learn more about

buildings, 200 villas

Coastal Village residents. Both

working for

how the region's

and townhouses, and

companies will collaborate to

The Red Sea

coral reefs have

the management office

develop, tailor and enhance

Development

evolved through

at the Coastal Village,

the quality of living for all.

Company. According to the research team, it's the first of its type in the Red Sea. They determined the colony's age by

time. They'll also be able to see how the temperature of the ocean has altered.

where 14,000 employees who will eventually operate the destination will live and work.


THE RED SEA DEVELOPMENT COMPANY - NEWS

BASI BIM PROJECT KITEMARK AWARDED FOR DIGITAL PROJECT DELIVERY The Red Sea Development Company (TRSDC) has

VOCATIONAL TRAINING AGREEMENT

MASTER RESEARCH AGREEMENT WITH KAUST A MASTER RESEARCH AGREEMENT

become the first asset

Partnering with the Human

(MRA) WITH KING ABDULLAH

owner in the world to

Resources Development Fund

UNIVERSITY OF SCIENCE AN

achieve the prestigious

(HRDF) to deliver high-quality

TECHNOLOGY (KAUST).

BIM Project Kitemark

vocational training programs.

The agreement, which

for its digital project

The two-and-a-half-year diploma

delivery and adoption

programs will initially prepare

of Building Information

500 young Saudis for careers that

Modeling (BIM) aligned to ISO19650, awarded by the British Standards Institution (BSI). ISO 19650 is the series of international standards for the effective management of information throughout the

is open for renewal after five years, follows extensive

support the growth of the most

collaboration

promising tourism destination.

between the two

The programs are focused on the

organizations on

following disciplines: Hospitality,

flora and fauna

delivery and operational phase of construction. TRSDC

Airport Services, Mechanical

assessments, marine

was awarded the BIM Project Kitemark for its excellence

Engineering, Electrical Engineering

spatial planning, and

in information management, which enables the company to embed best practice throughout its organization.

and Renewable Energy Services. In addition, HRDF and

“This certification is a remarkable achievement and demonstrates how serious we are about setting new standards throughout the design, construction and operations of our destinations. This way of working is an increasingly important part of the global design and construction marketplace, and

41

an international competition called the Brains-for-Brine Challenge.

TRSDC signed a Memorandum

The MRA cements the legal framework

of Understanding (MoU) to

for mutually beneficial research projects

cooperate on future initiatives to support the development of the local human capital.

on topics that include sustainability of marine environments, waste management systems, sustainable

we look forward to sharing our knowledge with other projects

food production, energy conservation,

around the world,” said John Pagano, CEO of TRSDC.

and carbon sequestration.

PARTNERSHIP WITH KACST TO PROVIDE SATELLITE DATA OF DEVELOPMENT SITES Partnering with The King Abdulaziz City for Science and Technology (KACST) to provide high-resolution satellite data of key locations at The Red Sea Project. The satellite imagery improves TRSDC’s ability to monitor The Red Sea Project, which covers around 28,000km2, allowing it to track construction progress while at the same time closely monitoring the environment for any unexpected changes in order to respond appropriately if needed. KACST will use the National Center of Remote Technology (NCRST) to capture high-resolution data of The Red Sea Project’s development sites every month. The imagery will be colorbalanced, georeferenced, orthorectified, with (NCRST) using satellites GeoEye-1, Worldview and Pleiades to capture images.

THE DATA WILL ALSO BE USED TO IDENTIFY OPTIMAL ROUTES/SITES FOR CONSTRUCTION ACTIVITIES IN ADDITION TO BECOMING AN INVALUABLE ADDITION TO MONTHLY PROGRESS REPORTS.


42

THE RED SEA DEVELOPMENT COMPANY - NEWS

PARTNERSHIP WITH ACWA POWER SUPPORTS THE RED SEA DEVELOPMENT COMPANY'S EFFORTS TO LEAD ENERGY TRANSITION By

ROBA Aljohani

T

HE RED SEA DEVELOPMENT COMPANY HAS AWARDED A CONTRACT TO A CONSORTIUM LED BY ACWA POWER TO HANDLE ITS UTILITIES INFRASTRUCTURE, A MOVE WHICH STRENGTHENS ITS GROUNDBREAKING APPROACH TO SUSTAINABILITY AND ENVIRONMENTAL STEWARDSHIP.

The Kingdom has stated that it is committed to carbon neutrality and that it wants to derive 50% of its electricity from renewables by 2030 As the world seeks to satisfy the rising demand

The commendable strategy will power TRSP's

for reliable and affordable power and water,

utility services with clean, renewable energy

The Red Sea Development Company (TRSDC)

sources. Importantly, the strategy includes the

remains committed to being at the forefront of

early adoption of emerging energy solutions, a

the global energy transition.

prominent example being biofuels.

In a move which reaffirmed this commitment,

Transportation is one of the main challenges

TRSDC awarded its highest-value contract

the world is facing in the transition to

to date to a consortium led by ACWA Power,

sustainable development. In order to overcome

a leading Saudi developer, investor and

this hurdle, in May 2021, ACWA Power

operator of power generation and desalinated

signed a Memorandum of Understanding

water plants, to design, build, operate and

(MoU) with Neutral Fuels, the GCC's largest

transfer The Red Sea Project's (TRSP) utilities'

biofuel producer, to supply TRSP's entire

infrastructure.

transportation network with its Net Zero Biofuel.

The contract, TRSDC's first public-private partnership (PPP), focuses exclusively on

Neutral Fuels has pioneered 100% pure

environmentally responsible renewable energy,

compliant biofuel for use in all types of diesel

water production, wastewater treatment and

engines, cutting the damaging greenhouse

district cooling.

gas emissions that cause climate change. No engine modifications are necessary, so

When the agreement was awarded in

any transportation fleet can make the switch

November 2020, John Pagano, CEO of TRSDC,

overnight.

said that the contract was a significant move forward for the project. "This contract signifies a noteworthy step change for us as the consortium brings foreign investment to the project, demonstrating international support and confidence for the vision that is becoming a reality along the Red Sea coast. At the same time, we are delighted to partner with a consortium leader that has its roots in the Kingdom and shares our ambition to accelerate the energy transition locally," said Mr Pagano.

TRSP is projected to prevent an estimated 500,000 tons of CO2 emissions each year


THE RED SEA DEVELOPMENT COMPANY - NEWS

43

Neutral Fuels has pioneered 100% pure compliant biofuel for use in all types of diesel engines, cutting the damaging greenhouse gas emissions that cause climate change A tourism project of TRSP's size, powered solely

The resulting figures provided the Capital

TRSDC is not investing any of its own capital

by renewable energy, has never been achieved

Expenditures (CapEx) and Operating Expenses

and is instead committing to purchase its

on such a scale anywhere in the world. The

(OpEx), determining infrastructure needs,

utilities from the ACWA Power consortium for

sustainable and regenerative ambitions of the

charging stations and power requirements.

the next 25 years. The collaboration bolsters

impressive project mirror the commitment

Mott Macdonald's recommendations for the

TRSDC's dedication to setting new standards

that the Kingdom of Saudi Arabia is making to

first phase of the development were that

in sustainable development by keeping

renewable energy. Saudi Vision 2030 is working

battery electric vehicles should replace land

regeneration as a key priority. TRSDC's strong

towards a vibrant society, a thriving economy,

vehicles and marine vessels and aim for hybrid

investment in renewables is helping to set new

and an ambitious nation. To achieve this, it

application - with some being battery or

global standards in regenerative tourism.

has made sustainability key on the agenda.

electric operated over short distances.

The Kingdom has stated that it is committed to carbon neutrality and that it wants to derive 50% of its electricity from renewables by 2030. Thus, the Kingdom is not just minimizing harm; it is actively reducing its dependence on fossil oil and enhancing the environment as it contributes to sustaining and regenerating it for years to come. TRSP is projected to prevent an estimated 500,000 tons of CO2 emissions each year. Opting for clean, green renewable fuel is an enormous support towards this aim as it immediately reduces transport carbon emissions to zero. A sustainability fleet modelling project by global consulting firm, Mott Macdonald, determined TRSP's transport requirements. The consultants conducted a Demand Modelling

THE RED SEA DEVELOPMENT COMPANY

project based on data that included the journey

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Twitter @twitter.com/theredseaSA

time, capacities, demands, frequencies, and

Instagram @theredseadevelopmentcompany

Youtube @The Red Sea Development Company

operational hours of TRSP's fleet.

Linkedin @The Red Sea Development Company

www.theredsea.sa/en


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The Red Sea Development Company - Desert Rock Resort

THE RED SEA DEVELOPMENT COMPANY

UNVEILS SPECTACULAR DESERT ROCK MOUNTAIN RESORT


The Red Sea Development Company - Desert Rock Resort

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HE RED SEA DEVELOPMENT COMPANY (TRSDC), THE DEVELOPER BEHIND THE WORLD'S MOST AMBITIOUS REGENERATIVE TOURISM PROJECT, THE RED SEA PROJECT (TRSP), HAS REVEALED DESIGN PLANS FOR ITS NEW MOUNTAIN RESORT NAMED DESERT ROCK IN THE BEAUTIFUL WADI VISTAS IN THE WEST OF THE COUNTRY.

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Created by the world-class architectural design firm Oppenheim Architecture, Desert Rock is designed to protect and preserve the environment and will allow guests to connect with the nature and local culture of the region. "We wanted to create a destination that allows guests to experience Saudi Arabia's untouched beauty. Desert Rock will provide guests with uninterrupted spectacular views while preserving the natural landscape for future generations to enjoy," said John Pagano, CEO at TRSDC.


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The Red Sea Development Company - Desert Rock Resort

Created by the world-class architectural design firm Oppenheim Architecture, Desert Rock is designed to protect and preserve the environment and will allow guests to connect with the nature and local culture of the region. "We wanted to create a destination that allows guests to experience Saudi Arabia's untouched beauty. Desert Rock will provide guests with uninterrupted spectacular views while preserving the natural landscape for future generations to enjoy," said John Pagano, CEO at TRSDC. UNIQUE RESORT EXPERIENCE

As part of TRSDC's commitment to regenerative

He added: "We have drawn inspiration from

The resort will feature state-of-the-art facilities,

tourism, Desert Rock will be designed to

the surrounding environment while providing

including a world-class spa and fitness centre,

achieve the highest Leadership in Energy and

unparalleled luxury, allowing guests to

remote destination dining areas as well as a

Environmental Design (LEED) certification level.

connect with nature and create memorable

feature lagoon oasis. In addition, guests will be

The architecture has been designed to reduce

experiences."

able to hike, use dune buggies, and stargaze as

energy consumption and regenerate native

part of the site-wide activities program.

flora. Water retention and distribution systems

INTEGRATING ARCHITECTURE WITH NATURE

The project also aims to maintain the ancient

will be used throughout the site, with harvested

Guests will enter the resort through a hidden

history of the site by hiring members of the

rainwater used to create a more green,

valley nestled between the mountains. From

local community to act as stewards of the land

flourishing Wadi.

there, they will find 48 villas and 12 hotel

and provide educational tours for visitors about

rooms within the mountain, a total of 60 keys,

the area's local history.

located amongst the vista, with architecture

SUSTAINABLY CONSTRUCTED

fully integrated into the rock to preserve its striking silhouette, a tribute to Oppenheim Architecture's philosophy to build with the land, not on the land. A range of accommodation will be available, from ground level dwellings to crevice hotel suites midway up the mountain, and a select number of excavated rooms within the rock massif itself. To provide undisrupted views across the landscape, most roads leading into the resort will be pushed to the edge of the main wadi and hidden behind landscape mounds. This will also minimize sound and light pollution, allowing guests to fully absorb the dramatic desert landscape.


The Red Sea Development Company - Desert Rock Resort

47

There will be 48 villas and 12 hotel rooms within the mountain, a total of 60 keys

BREAKING NEW GROUND

Alongside this, materials excavated from the site will be used to create the infrastructure. For example, stone will be used for interior and exterior walls and floors, while ground stone and existing sand will be used for concrete aggregate, which is the main building material for all the architecture. Chad Oppenheim, Founder of Oppenheim Architecture, said: "Desert Rock is one of the most dramatic desert landscapes in the world, which is why we wanted to use the architecture as a way to honor and respect it. By utilizing natural materials and integrating the resort into the rock, guests can connect physically with the destination and experience Saudi Arabia's stunning, natural beauty."

Desert Rock will integrate architecture with nature as hotel and facilities will be built into the stunning Saudi mountain landscape

Site preparation works have commenced, and construction began in July 2021. The Red Sea Project has already passed significant milestones on the destination, and work is on track to welcome the first guests by the end of 2022 when the first hotels will open. Phase One, which includes 16 hotels in total, will complete by 2023. Upon completion in 2030, the destination will comprise 50 resorts, offering up to 8,000 hotel rooms and more than 1,000 residential properties across 22 islands and six inland sites. The destination will also include luxury marinas, golf courses, entertainment, leisure facilities and an international airport.


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THE RED SEA DEVELOPMENT COMPANY - MELISSA MESSMER

M ELISSA MESSMER DIRECTOR OF ARCHITECTURE AND DESIGN

BAREFOOT LUXURY, PROVIDING ALL THE BENEFITS OF THE NATURAL ENVIRONMENT


THE RED SEA DEVELOPMENT COMPANY - MELISSA MESSMER

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N

OT TOO MANY OF US GET TO LIVE THE DREAM. BUT IF YOU'RE AN INTERIOR DESIGNER AND YOU GET TO WORK ON THE RED SEA PROJECT, IT'S SAFE TO SAY THAT YOU ARE WELL AND TRULY IN THE ARMS OF MORPHEUS. MELISSA MESSMER, DIRECTOR OF ARCHITECTURE AND DESIGN AT THE RED SEA DEVELOPMENT COMPANY, CERTAINLY FEELS THIS WAY, PROCLAIMING: "IT'S ABSOLUTELY BEEN THE JOB OF MY LIFETIME!" TO FIND OUT WHY, WE ASKED MELISSA ABOUT THE BRIEF, THE INSPIRATION AND THE CHALLENGES SHE FACES ON SUCH AN IMPORTANT AND PRESTIGIOUS GIGA-PROJECT.

Saudi Projects (SP): Was has been your biggest challenge? Melissa: One of the things is that we've taken an enormous challenge of producing hotels through the LEAN Design process; instead of doing a very linear design process, everyone isdesigning everything simultaneously. And that's through our BIM modelling and checking all of that weekly. It's been challenging, but at the same time, you can't help but sit back and think, okay, this is the future. This is how design will be for many projects coming up because it builds in so much efficiency; it identifies risks and identifies challenges that we can tackle sooner rather than later. It's been a good

I would say the main part of the brief came from His Royal Highness, and that was to try and create something that has never been seen before

SP: How does the design respond to the sea and the natural environment? Melissa: Well, I'm sure you're very familiar with Coral Bloom, on our Shurayrah Island. I always tell people we're not a destination at The Red Sea - we are a destination immersed in The Red Sea. So, we want people to feel like they're really having a local experience. Our finishes are not super-refined - obviously nothing is super-polished - which feel genuinely local and natural, like we've just carved it up out of the environment and put it into the design. That's something that's really, really important to us.

challenge in that sense. of Saudi heritage. For ours, we tried to make

SP: Lots of natural materials?

Other challenges include making sure that we

our mandate about The Red Sea, not so much

Melissa: Absolutely. Yes, lots of natural

are capturing a vision for Saudi Arabia that,

about traditional Saudi Arabia, although we

materials, and we have a strong sustainability

again, really looks forward into the future

do bring in flavors and touches of the cultures.

mandate, so we've got to meet LEED

of regenerative travel. There's a tendency

We try to focus on the service element –

requirements, which obviously requires

when we try to design within a local context

celebrating Arabian hospitality, the beautiful

us to use natural materials from the local

to look at the past, to look at tradition. While

ritual they have here, while keeping the design

environment. But it's also very challenging

that's all very beautiful, there are many other

fresh and forward-looking, and really more

when working in an environment with very few

projects going on that are celebrating that part

about the environment.

trees and very few natural resources.


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THE RED SEA DEVELOPMENT COMPANY - MELISSA MESSMER


THE RED SEA DEVELOPMENT COMPANY - MELISSA MESSMER

We needed to create something that people can relate to in terms of connecting to nature, connecting to the sea and connecting to the environment So, things like coral stone have become very popular in our project. The islands provide a lot of coral stone, and we're looking at ways of recycling and upcycling a lot of this material too. SP: How important is it to get connections to the environment on this project, to feel that connection when you're there? Melissa: Everything, it's everything we are about. One of the biggest struggles, and this is a good struggle, is to make everything natural and close to nature but in a luxury context. At the same time, we understand that we're in an environment where we've got to make people feel comfortable and welcome living on islands that reach average summer time temperatures of 42 degrees. It's finding a way to design that indoor/outdoor connection. We don't want people to feel that we're just fitting them into a box and letting them 'look' at the environment; we want them to be immersed in the environment and at one with nature. SP: How many people are in the team? Melissa: Right now, we have eight people in our interior design team and up to 12 different design consultants. We're the only discipline in the whole development where every hotel has a different design consultant. We want every hotel and every asset, including our golf club, to have a unique statement. SP: Finally, how would you sum up working within TRSDC? Melissa: I've worked at some amazing companies in my career. But this is the best and the most satisfying challenge that I've ever come across. It's a dream job.

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THE RED SEA DEVELOPMENT COMPANY - PATRICIA LOPEZ

P ATRICIA LOPEZ LIGHTING DIRECTOR

THE GRACE AND MAJESTY OF ENVIRONMENTALLY INFORMED LIGHTING


THE RED SEA DEVELOPMENT COMPANY - PATRICIA LOPEZ

B

ORN AND RAISED IN QUITO, ECUADOR, MYRIAM PATRICIA LOPEZ YANEZ, AN ARCHITECT AND LIGHTING DESIGNER, LEARNED TO APPRECIATE HISTORY, NATURE AND ARCHITECTURE FROM A VERY YOUNG AGE, ALL ASPECTS VITAL TO THE RED SEA PROJECT. SHE HAS TAKEN THE OPPORTUNITY TO NURTURE HER PASSIONS, TOO, INCLUDING WORKING FOR THE UNITED NATIONS WFP ON CONTINGENCY HOUSING PROJECTS IN THE AMAZON. HAVING WORKED ON VARIOUS PRESTIGIOUS PROJECTS IN LOCATIONS AS DIVERSE AS THE UAE, EGYPT AND SERBIA, PATRICIA IS NOW LIGHTING DIRECTOR ON THE RED SEA PROJECT. HERE, SHE TALKS TO SAUDI PROJECTS ABOUT CREATIVITY, SUSTAINABILITY, AND TACKLING THE SHEER SIZE AND SCOPE OF ONE OF THE WORLD’S MOST FORWARD-LOOKING AND IMAGINATIVE DEVELOPMENTS.

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I think the most creative projects come from restrictions, and it is my day-to-day task to speak to our lighting designer/consultants and, for example, say no, we cannot use these effects, but let’s challenge ourselves. Let’s come up with new approaches to lighting. So, I don’t see the masterplan as a restriction. I see it as the source of creativity. SP: How many lighting designers do you have working on The Red Sea Project? Patricia: We have around 12 lighting designers; they are multi-national, which has been very interesting, seeing the different ways they approach the project. We have lighting designers from the States, from the UK,

Saudi Projects (SP): Lighting is a pretty

SP: So, this is a very different kind of project

and more local, like the UAE. So, we have a

broad discipline, so what exactly is your

for everyone involved?

very international expertise, and it’s really

brief on The Red Sea Project?

Patricia: It’s the first project I’ve had the

remarkable how we all come together with just

Patricia: The brief revolves around

opportunity to work on with such breadth

the one vision in mind.

architectural lighting, a discipline that focuses

and such high expectations. I only joined The

on creating moods with lighting. It’s a relatively

Red Sea Project less than a year ago, but the

new specialisation, and it covers everything

company has been working for this certification

from both interior and exterior perspectives,

since the conception of the masterplan.

including landscape lighting and the overall masterplan vision. Sometimes, we imagine

SP: You spoke of creating a mood with light,

special effects when we think of lighting, but

but where do you get your inspiration from?

this is more architectural lighting.

Patricia: The Red Sea Project is a sustainabilitydriven development, so our inspiration is

Not only do we use lighting to enhance buildings; we also think about its effects on humans, on the sky, and the endangered species that call The Red Sea their home

SP: For a lighting designer, The Red Sea

the turtle and all of the animals and marine

Project must sometimes seem like you’ve

life. The inspiration came from caring for

landed in Disney World – for it does seem

the environment. It’s not only about making

to be shaping up as something of a magic

a statement for the building; yes, it’s about

kingdom?

creating a really good mood, but at the same

SP: How long have you been working on the

Patricia: Yes, it is very special because of

time balancing it with environmental needs,

project, and how long do you think you will

how The Red Sea Development Company

including the sky, which is so special in Arabic

be employed on it?

has decided to approach the lighting. It is a

culture. When I’ve spoken to people in Saudi,

Patricia: I have been working on it personally

unique slant inspired by the principles of the

or where I used to live before in the UAE, they

for around a year, and the team has been

International Dark-Sky Association (IDA), which

always tell me that their ancestors used the

working on it since the conception of the

dictates that we use lighting in a very conscious

North Star for guidance. Nowadays, in big cities

masterplan in 2018. But what I can say is that

way. Not only do we use lighting to enhance

like London, New York and Dubai, you cannot

the role of the lighting designers started at

buildings; we also think about its effects on

see the stars, as they are flooded with light.

the very beginning. Then our core team took

humans, on the sky, and the endangered

charge in order to review the design process.

species that call the Red Sea their home. So

SP: How much of a free hand are you being

After that, we have to make sure it’s not only

it is a very unusual project and not how we

given on this project in a creative sense?

a beautiful design but that it’s implemented

would usually approach lighting. It is a learning

Patricia: The Red Sea Project has a clear vision

correctly, so we have to work closely with the

process for me and all of the consultants

of what it wants, and we make sure that all of

operators that will manage each hotel. We have

because it’s a very sustainable and delicate

our designers understand that vision. We are

sophisticated smart systems that will make sure

approach to lighting.

very detailed in the way we view the project,

that the vision and all of the parameters set out

but we are also given space for creativity.

in the design process are carried through in the operations of the hotels.


54

THE RED SEA DEVELOPMENT COMPANY - PATRICIA LOPEZ


THE RED SEA DEVELOPMENT COMPANY - PATRICIA LOPEZ

SP: What would you say your biggest challenge is with this project? Patricia: I would say it is pushing the boundaries in terms of creativity. I’ve had a few instances of designers saying that they cannot use their typical approach to lighting a hospitality project. The trees and other features cannot be illuminated in specific ways, and

The Red Sea Project is a sustainability-driven development, so our inspiration is the turtle and all of the animals and marine life

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But thinking outside of the box and taking on board what’s happening in the world - taking care of our planet and both our own and other species - is the right thing to do. Dark Sky Lighting is not a topic much discussed nowadays, although it is a subject that is becoming more ‘trendy’, but the awareness needs to grow because it’s getting out of

what I tell them is to look outside of the box

control with the development of leading-edge

and find other ways to light the environment.

technologies. We used light when we needed it

It is a challenge, but I’m so proud that the lighting designers have come up with beautiful schemes that actually work. But we’ve had to have workshops and ask, for example, how we can make everything work if we cannot use our typical up-lighting in the trees, so it’s been a fascinating and challenging process.

Nowadays, in big cities like London, New York and Dubai, you cannot see the stars, as they are flooded with light

in the past, but now with LEDs, we can produce colour-changing and dynamic effects, and sometimes it all becomes too much. SP: So, it’s been educational too? Patricia: It’s been a great experience for the entire team, as we’re all learning day by day about vital aspects such as Dark Sky principles.

SP: What is it like working with The Red Sea

And we are all so proud to be working on such

Development Company?

an extraordinary and environmentally-led

Patricia: Oh, I love it! It is such a good learning

project.

experience because my background was commercially driven. I think some projects need to be lit very brightly.


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THE RED SEA DEVELOPMENT COMPANY - GLOBAL ESG BENCHMARK (GRESB)

THE RED SEA DEVELOPMENT COMPANY ANNOUNCES EXCEPTIONAL RESULTS IN ESG ASSESSMENT


THE RED SEA DEVELOPMENT COMPANY - GLOBAL ESG BENCHMARK (GRESB)

57

T

HE RED SEA DEVELOPMENT COMPANY (TRSDC) HAS ACHIEVED AN OVERALL SCORE OF 84 OUT OF 100 IN ITS FIRST EVER ESG-ASSESSMENT AND BENCHMARK EXERCISE BY GLOBAL REAL ESTATE SUSTAINABILITY BENCHMARK (GRESB).

GRESB assessed The Red Sea Project against standardized targets for Environmental, Social and Governance. It awarded a high score to recognize TRSDC's strong environmental governance structure and measures introduced to integrate environmental protection and enhancement.

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GRESB awarded TRSDC an outstanding 49 out of 51 in the Environmental category as part of the overall score. This greatly exceeds GRESB's average score of 34 out of 51 and recognizes the robust measures in place to improve the integration of environmental considerations at TRSDC. The developer was also awarded a Green Star for achieving a score higher than 50% in both the evaluation's Management and Development components. "Since the project's conception, sustainability

GRESB awarded TRSDC an outstanding 49 out of 51 in the Environmental category

has been our guiding principle for design and development, informing every single decision that is made. This award is a real testament to

These scores recognize some of the pioneering

all our hard work and unwavering commitment

techniques TRSDC has adopted to offset the

to become the world's first truly regenerative

environmental impact of the destination. Within

tourism project," said John Pagano, CEO of

specific sub-categories, the project scored

TRSDC.

top marks (100 out of 100) for areas including Materials, Water Use and Waste Management

GRESB Assessments are guided by the material

due to the innovative solutions TRSDC

issues in the sustainability performance of

has put in place to minimize the potential

real asset investments, and are aligned with

environmental impacts.

multi-level assessments from third-parties like GRESB. Critical evaluation of the construction and delivery of the project holds us to account at every step and ensures we are going above and beyond to not only protect the environment but enhance it for generations to come."

Within specific subcategories, the project scored top marks (100 out of 100) for areas including Materials, Water Use and Waste Management "This achievement is particularly important

international reporting frameworks, such as The Paris Climate Agreement. Its mission is

Raed Albasseet, Head of Corporate Environment

to us because it underpins our steadfast

to assess and benchmark the Environmental,

and Sustainability at TRSDC, said: "We strive to

commitment to the environment and

Social and Governance (ESG) and other

be completely transparent about the measures

recognizes the enormous steps we have already

related performance of real assets, providing

we are taking to really integrate environmental

taken in our quest to set new standards in

standardized and validated data to the capital

protection and enhancement measures, and

sustainability," added Pagano.

markets.

therefore we welcome


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THE RED SEA DEVELOPMENT COMPANY - CEO JOHN PAGANO

“Eventually The Red Sea Project and AMAALA will employ around 60,000 people directly, as well as creating a further 60,000 induced and indirect jobs”


THE RED SEA DEVELOPMENT COMPANY - CEO JOHN PAGANO

59

TOURISM’S RECOVERY NEEDS TO WORK FOR PEOPLE AND PLANET C

OVID-19 BROUGHT TOURISM TO A COMPLETE STANDSTILL. YET THE SECTOR IS IDEALLY POSITIONED TO LEAD THE WORLD TOWARD RECOVERY, WITH THE UNITED NATIONS WORKING CLOSELY WITH INTERNATIONAL ORGANIZATIONS, GOVERNMENTS AND THE PRIVATE SECTOR TO SUPPORT THE RESPONSIBLE AND TIMELY RECOVERY OF THE INDUSTRY, WHICH MILLIONS OF SMALL BUSINESSES AND JOBS DEPEND. AT THE RECENT UNITED NATIONS WORLD TOURISM ORGANIZATION’S TOURISM RECOVERY SUMMIT, JOHN PAGANO, CHIEF EXECUTIVE OFFICER FOR BOTH THE RED SEA DEVELOPMENT COMPANY AND AMAALA, SPOKE ABOUT HIS HOPES FOR THE FUTURE AND HOW THE TOURISM SECTOR NEEDS TO CARE NOT ONLY FOR PEOPLE, BUT FOR THE ENVIRONMENT.

Addressing the Summit, Pagano began: “The

environment; we should enhance biodiversity;

and improving livelihoods for the long

Red Sea Project and AMAALA are two of the

we should encourage the flourishing of habitats

term. He then gave three reasons why the

flagship Vision 2030 projects, delivering Saudi

and wildlife; this in turn will lift up surrounding

tourism sector should care and why everyone

Arabia’s ambition for a diversified economy,

communities and grow local economies.

should stand together on this issue.

and creating a new tourism industry. As the CEO of these two projects, how we as

“Today I want to call on the industry to do

an industry respond to global challenges is

better by aiming for regenerative tourism,”

a subject that is very close to my heart.

Pagano continued. “After decades of exploiting

1

Because pre-pandemic, our sector contributed more than 5% of global

greenhouse gas emissions. Unless we

our ecosystems for commercial gain, our

act, by 2030 our emissions will have

“Tourism has been one of the sectors that

environment is depleted in both abundance

grown 25% compared with 2016 levels.

has suffered the most from the pandemic.

and in health. Conserving environments

But as we recover, the Great Reset offers us

that are already in this weakened state

an opportunity to make different decisions

is no longer an option, for any of us.

2

Traveler expectations are changing. The 2020s will be a transformative

decade, with the impact of Covid-19,

centred on our natural capital. Today I am here to share how responsible tourism can

“Yet, all too often, we see tourism destinations

technological advancements and

be a central part of our sector’s recovery. If

developed or operated that don’t take account

the rise of sustainable tourism

you’ll allow me, I’d like to read out an element

of the fragile environment and which fail

shifting what people want when

of the UNWTO’s definition of sustainable

to recognise the relationship this has with

they travel. More than half (53%) of

tourism: Make optimal use of environmental

society and the economy. While this may

global holidaymakers already say

resources that constitute a key element in

be profitable in the short-term, ultimately,

they want to travel more sustainably

tourism development, maintaining essential

in the long term, it is a failing strategy. The

– and this demand will only grow.

ecological processes and helping to conserve

environment is our most important and

natural heritage and biodiversity. However, I

valuable asset and we must do everything

think we can, and must, do better than this.”

to protect it. We must do things differently.

He went onto explaining how this means

Pagano makes clear how regenerative tourism

more than ‘making optimal use’ of resources

is a raising of the industry’s ambitions. It is

or ‘maintaining’ or ‘conserving’ the status

the goal of restoring ecosystems, and along

quo. Instead, we should give back to the

with it generating economic development

3

The reason the tourism sector needs to stand up on this issue,

is because it is the right thing to do.


60

THE RED SEA DEVELOPMENT COMPANY - CEO JOHN PAGANO

“I believe that The Red Sea Project is the most ambitious regenerative tourism project in the world today,” he continued. “Being developed over 28,000 km2 of pristine lands and waters along Saudi Arabia’s west coast, it includes a vast archipelago of more

“Happily, I can report that over 70% of the total combined value of contracts awarded to date, on both the Red Sea and AMAALA projects, have been awarded to Saudi companies”

than 90 pristine islands with thriving coral reefs, as well as sweeping desert dunes, mountains and canyons, dormant volcanoes, and ancient cultural and heritage sites. “When I first visited the Red Sea coast, I was truly taken by its breathtaking beauty. Developing in this pristine and untouched environment is a serious responsibility. That is why we aim to protect and enhance this region through both the construction phase and when in operation. That ambition is a founding principle of The Red Sea Development Company and is central to who we are, and what we do.” Indeed, during the early planning stages, a lot of time was spent researching the carefully balanced ecosystems. “We carried out the most comprehensive marine spatial planning simulation ever undertaken. This allowed us to identify the ecological ceiling for the destination including the number of guests our destination could safely accommodate without damaging the environment. As a result, we will implement a cap of no more than one million visitors each year. “We also made the decision early on to leave 75% of the destination’s 90-plus islands untouched. This includes one of my favourite islands Al Waqadi, which would have made a perfect resort location. But when our assessment revealed it was a favourite nesting ground for the critically endangered Hawksbill turtle, there was no question that it had to be protected. So despite the commercial attractiveness of the island we chose not to develop it, putting the Hawksbill sea turtle ahead of profit. In total, less than 1% of the entire area will be developed. This is not the most profitable approach, but it is the right choice for the three reasons I outlined a moment ago,” Pagano said.

More than half (53%) of global holidaymakers already say they want to travel more sustainably – and this demand will only grow.


THE RED SEA DEVELOPMENT COMPANY - CEO JOHN PAGANO

61

Going beyond initial planning work, every decision taken at The Red Sea and AMAALA is grounded in sustainability. From choosing innovative construction methods and materials to implementing smart destination technology, everything is done in the service of delivering a 30% net conservation benefit by 2040. “Regeneration is not just for the planet, but for people too. The environment and economy are interdependent in a virtuous circle. I subscribe to the belief that if we enhance one, we improve the other. We protect the ecosystem for the long term, and in turn we grow the economy and create lasting jobs. To ensure we build

“From choosing innovative construction methods and materials to implementing smart destination technology, everything is done in the service of delivering a 30% net conservation benefit by 2040”

these unique destinations to the highest standards and deliver on our sustainability commitments, it is vital we bring in the best talent, both from within Saudi Arabia and further afield,” Pagano clarified.

India and East Asia on one side, and Byzantium and the Mediterranean on the other. Destinations like Al

“However, this is coupled with a long-term view of

Ula and Diriyah Gate are unique around the world

enabling knowledge transfer within the nation. We

– they are untouched samples of ancient history

are focused on training and developing local talent.

that contribute to the Saudi national identity.”

I’m proud to say over 50% of our employees are Saudi. This is more than double the national average.

The Red Sea and AMAALA will be gateways for visitors to

Eventually The Red Sea Project and AMAALA will

discover these wonderful examples of ancient history,

employ around 60,000 people directly, as well as

as well as the country’s breathtaking landscapes,

creating a further 60,000 induced and indirect jobs.

year-long summer temperatures and wider cultural wealth. “They are also a key part of Saudi Arabia’s own

“It is important to us that the jobs we create contribute

transformation, reducing the Kingdom’s reliance on oil

to the country’s economic fortunes. Happily, I can report

and setting the framework for a diversified economy;

that over 70% of the total combined value of contracts

creating new industries, and new opportunities.

awarded to date, on both the Red Sea and AMAALA projects, have been awarded to Saudi companies.

“This year’s Earth Day highlighted the need for change

We are bringing opportunities to local

under the theme ‘Restore Our Earth’. It called for society

businesses and to the Saudi people. This is key

to not only reduce its impact, but to repair the damage

to creating a strong and viable economy.”

we’ve done. Tourism should be part of this ambition.

Pagano points out, though, that the progress being made

“That’s why I’m proud to be leading the global transition

is far more than just numbers and statistics: “Our mission

towards regenerative tourism, and why I’m honoured

is to become a world-leading tourist destination that

to be speaking to you here at the Tourism Recovery

delivers growth for the Saudi economy and for the Saudi

Summit today. As our sector rebuilds, we have an

people, while also instilling pride in the Kingdom. It is

opportunity to show how responsible tourism can uplift

also to lead the global transition towards regenerative

communities and drive economies, while enhancing

development, leading by example and setting new

the environment and celebrating local cultures.

standards that we genuinely hope others will follow. “By creating a world-leading destination that “Saudi Arabia’s rich heritage and traditions are a

allows people to satisfy their thirst for travel, while

valuable asset for the Kingdom’s proposition to

also allowing them to have a positive impact,

international tourists. Saudi culture has been influenced

I believe we offer a tantalizing proposition for

and enriched by Bedouin traditions and Islamic

today’s travelers: a commitment to do better

heritage. It has been shaped by its historical role as the

than maintain and conserve – to seek to improve,

crossroads of the world, serving as a vital link between

enhance and regenerate,” Pagano concluded.


62

THE RED SEA DEVELOPMENT COMPANY - JOURNEY TO DATE

FOCUSING ON THE JOURNEY W

ORK IS WELL ON TRACK AT THE RED SEA PROJECT, WITH THE FIRST GUESTS EXPECTED TO ARRIVE BY THE END OF 2022. THE FIRST PHASE, WHICH WILL INCLUDE 16 HOTELS IN TOTAL, WILL BE COMPLETED IN 2023, AND BY 2030, THE RED SEA PROJECT WILL INCLUDE 50 RESORTS, OFFERING UP TO 8,000 HOTEL ROOMS AND MORE THAN 1,000 RESIDENTIAL PROPERTIES SPREAD ACROSS 22 ISLANDS AND SIX INLAND SITES. THE RED SEA PROJECT, A SIGNIFICANT CONTRIBUTOR TO THE REALIZATION OF SAUDI ARABIA'S VISION 2030, BRINGS TOGETHER LUXURY, CULTURE, AND SUSTAINABILITY – A DESTINATION TO MEET THE NEEDS OF A NEW GENERATION OF TRAVELLERS. IT'S AN ASTONISHING JOURNEY!


THE RED SEA DEVELOPMENT COMPANY - JOURNEY TO DATE

63


64

THE RED SEA DEVELOPMENT COMPANY - COASTAL VILLAGE

THE RED SEA DEVELOPMENT COMPANY APPOINTS SAUDI JOINT VENTURE TO BUILD COASTAL VILLAGE COMMUNITY CENTER Following TRSDC’s vision and utilizing our passion for design and innovation, we believe that this project will introduce a new inspiring visual, physical and lifestyle experience.” Sara A. Batterjee, Founder and General Manager of FB Salso, commented on the award: “This project is very special to us as it falls in the western region along the Red Sea Coast where our head office is located. We feel proud to be part of the development happening in this part of Saudi, where we have a deep understanding of the culture and the hidden treasures located there."

T

HE RED SEA DEVELOPMENT COMPANY (TRSDC), THE DEVELOPER BEHIND THE WORLD’S MOST AMBITIOUS REGENERATIVE TOURISM PROJECT, HAS AWARDED A CONTRACT FOR THE CONSTRUCTION OF THE RED SEA PROJECT (TRSP)’S COASTAL VILLAGE COMMUNITY CENTER TO A JOINT VENTURE SAUDI ARABIAN TEAM.

The contract was awarded to Saudi firms

members and visitors,” said John Pagano,

Talal Kurdi Consultants (TKC) and Focal

CEO of TRSDC. “We were impressed by the

Building Solutions (FBS), showcasing

high quality of the offered tender, which

TRSDC’s commitment to supporting local

showed a profound understanding of the

businesses and strengthening the Saudi

local culture and met TRSDC’s exacting

economy.

standards, particularly in the area of

“We were impressed by the high quality of the offered tender, which showed a profound understanding of the local culture and met TRSDC’s exacting standards, particularly in the area of sustainability”

sustainability,” he added. “We are very pleased to collaborate with

The contract was awarded after a

TKC and FBS on this venture. The Coastal

Executive Director of TKC, Tarek Talal

competitive tendering process, which saw

Village is a central hub for employees to live,

Kurdi, explained: “TRSDC’s high standards

five other Saudi boutique architectural

work and relax and the community center

encouraged and motivated us to showcase

firms, including Clear Studios, M3N Design

will be an integral part of providing a vibrant

the advanced abilities that we as a Saudi firm

+ Architecture, and M. Suqer & M. Albahkali

neighbourhood for residents, their family

possess.

Engineering Consulting Co. on the shortlist,


THE RED SEA DEVELOPMENT COMPANY - COASTAL VILLAGE

65

The contract showcases TRSDC’s commitment to supporting local businesses and strengthening the Saudi economy demonstrating the strong interest from the

brightest architecture students to submit

TRSDC has awarded to date more than 500

Saudi private sector to be a part of key Vision

designs for the center. The Ecotecture Design

contracts to international and local firms.

2030 projects.

Competition received over 600 entries.

Collectively worth around SAR 17 billion

The state-of-the-art community center was

“Creating opportunities and fostering a

designed by Naif Alghanamm from King

culture of high performance for younger

Saud University, the winner of TRSDC’s

Saudis is an important pillar for us and

Ecotecture Design Competition. As part

underpins our commitment to supporting

of its efforts to engage young talent from

Saudi Arabia’s Vision 2030”, added Pagano.

($4.5billion), over 70% of these contracts

within the Kingdom, TRSDC invited Saudi‘s

were awarded to Saudi companies.


66

Giga Projects - AMAALA

Z AC AYACHE EXECUTIVE DESIGN DIRECTOR, AMAALA

At AMAALA, we are setting out to inspire a fundamental shift towards a culture of holistic well-being


Giga Projects - AMAALA

67

DESIGN THAT UTILIZES THE LANGUAGE OF NATURE R

ECOGNITION THAT WE NEED TO LIVE IN A MORE ECOLOGICALLY SUSTAINABLE WAY HAS UNDERPINNED THE CALL BY MANY DESIGN PROFESSIONALS FOR A NEW AESTHETIC - ONE THAT REFLECTS PREVAILING ENVIRONMENTAL CONCERNS. WE SPEAK TO ZAC AYACHE, EXECUTIVE DESIGN DIRECTOR FOR AMAALA, ABOUT THIS WELCOME TREND AND HOW, AT AMAALA, THEY ARE TURNING THE CONCEPT INTO REALITY.

and sleek furnishings are key elements we are exploring at AMAALA. Room layouts, furniture placement, storage solutions, and color schemes are crucial for us to ensure our spaces feel open and airy. Communal spaces are being designed with maximum comfort and function in mind, while paying close attention to fundamental features

Saudi Projects (SP): Biophilia, the idea that

SP: Clutter can trigger stress and anxiety

such as large windows to provide ample natural

humans possess an innate tendency to

in many of us, so how will AMAALA ensure a

light. Minimalistic décor and accessories

seek connections with nature, is becoming

feeling of openness and space?

will keep the space uncluttered, and smooth

increasingly important in interior design.

Zac: The ‘less is more’ approach of

Of course, this is at the heart of the AMAALA

contemporary design is what adds to the

design ethic, but what is your starting point

spaciousness of the interior environment and

or inspiration?

creates a feeling of openness. Clean, modern

Zac: At AMAALA, we are setting out to inspire

surfaces will reflect light and make the space feel more expansive.

design, aesthetically proportioned spaces

a fundamental shift towards a culture of holistic well-being. This begins with an inside-out approach, starting with the design. Through concepts like biophilia, we are exploring natural design principles to bring the outside world in whilst positively influencing guests’ well-being. The breathtaking natural wonders that surround the AMAALA site have been our greatest inspiration to ensure our guests can truly reconnect with nature. Soaring mountains, sparkling sea, a coastline dotted with unique coves and hidden beaches have guided our thinking in shaping transformational experiences that encourage mindfulness and enlightenment amidst captivating natural settings. In parallel, we want our interiors to evoke the same sense of tranquility – with green and open spaces combining form and function to optimize positive health impacts.

We are committed to embedding inclusive design and accessible architecture at the heart of every guest experience


68

Giga Projects - AMAALA

SP: How important is inclusivity to the design so that everyone feels welcome wherever they are? How are you going about this?

 AMAALA, AN EXQUISITE LUXURY RESORT DESTINATION, IS SET TO CURATE TRANSFORMATIVE PERSONAL JOURNEYS INSPIRED BY ARTS, WELLNESS, AND THE PURITY OF THE RED SEA.

Zac: As we set out to establish the world’s first truly integrated wellness community at AMAALA, we recognize that inclusivity plays a key role in this vision. We are committed to embedding inclusive design and accessible architecture at the heart of every guest experience – from the selection of colors to the arrangement of rooms. When designing any space within the destination, we ensure that the central principles of universal design are explored. This includes delivering flexibility and allowing adaptability to the users’ space; ensuring consistency with user expectations and intuition while eliminating complexities; communicating necessary information regardless of user abilities; minimizing repetition and sustained physical effort; and allocating appropriate size and space for use. SP: A popular focus for well-being design consultants is the physical elements of health and well-being. How are you approaching this at AMAALA? Zac: AMAALA’s health ecosystem is centered on the individual. We want to provide a holistic experience for all guests as they aspire to become the best versions of themselves, so it’s extremely crucial that our spaces are motivating and uplifting. Our rich ensemble of colors, textures, temperature variations and space configuration, as well as concepts such as thermal delight and acoustics, will harmonize to help stimulate healthy mental and physical activity and ensure visitors feel more energized and focused. Connection with nature is key in that respect, and this is highlighted in every brief across our assets. Our architects and designers are carving out seamless transitional experiences between the indoors and outdoors to foster a stronger connection with nature and its elements. To further encourage our guests to harness the restorative properties of nature, we are mapping out a unique, multipurpose wellness trail throughout AMAALA’s Triple Bay masterplan. This will connect all our assets to encourage guests to actively explore the destination via

Our architects and designers are carving out seamless transitional experiences between the indoors and outdoors to foster a stronger connection with nature and its elements

important elements in interior design. Will you be utilizing spaces designed around natural light sources, smart lighting systems to better match our natural rhythm, and artificial light that mimics daylight? Zac: Natural daylight is one of the most important elements in green building interiors. It not only provides a tremendous health and wellness boost but also influences mood, comfort, the perception of colors and much more. Circadian lighting, in particular, is crucial to healing, regulating wakefulness and sleep. We are also focused on incorporating passive and smart lighting systems through interior patios,

walking, running, cycling or even horse riding.

skylights, clear doors and lighting shelves.

SP: Light is undoubtedly one of the most

SP: Choosing the right colors can offer


Giga Projects - AMAALA

numerous psychological benefits, but

Other factors that influence the choice of

colour is a very subjective thing. How do you

colors are regional influences, weather, brand

approach this?

identity, sustainability motives and our attempt

Zac: Throughout the destination, we are

to create a sense of place within the design.

implementing a harmonious palette of textures,

By the use of such objective fundamental

colors and patterns. The functionality of spaces

principles, we are able to make widely accepted

is a key factor that impacts how we apply color

choices for color in interior design.

theory – i.e., active spaces will receive more

Throughout the destination, we are implementing a harmonious palette of textures, colors and patterns

energizing colors (warmer tones), whereas passive spaces will receive calming tones. For example, when designing our kids club, we will infuse brighter colors to encourage excitement, optimism, and creativity. In contrast, our wellness spaces will incorporate hues of green – considered the most restful color for the eye – to encourage relaxation and mimic nature.

AMAALA Instagram @amaala_sa

Twitter @AMAALA

Linkedin @AMAALA

Youtube @AMAALA

www.amaala.com

69


70

Giga Projects - Neom

SET FOR BOLLYWOOD PARTNERSHIPS T

O LURE INDIAN FILMMAKERS, NEOM, THE KINGDOM'S FUTURISTIC CITY, SEEKS TO BUILD A WORLD-CLASS MEDIA CENTRE. Bollywood has long had a close relationship with the Arabian Gulf, having shot several films there. With this in mind, NEOM, the new smart city being built in the northwest of the country as part of the Vision 2030 initiative, is establishing the region's first truly integrated media hub. With diverse locations, many of which have never been used before, as well as production services support, the initiative offers an

When asked about his plans for NEOM's media

The first of NEOM's four sound stages is

intriguing prospect for Indian producers.

hub, Borg stated: "There is a tremendous

expected to be operational by the end of 2021,

To encourage Indian filmmakers, NEOM is

opportunity to build the region's first fully

with additional facilities following in 2022.

proposing lucrative production incentive rebate

integrated and legacy-free media hub powered

Production on television and film has already

programs to kick-start the development of the

by the most technologically advanced place

begun, with the largest-budget Hollywood

media ecosystem.

in the world. Pockets of the media industry

picture to be shot in the region currently in pre-

exist in the region, but efforts remain largely

production.

Wayne Borg is leading the project. He has over

fragmented. We aim to change that and create

20 years of experience in leadership roles in

the world-class media hub the region deserves,

the media and creative industries and has

and that allows it to compete with and be part

been tasked with developing NEOM's Media

of the global industry."

Hub. Borg was president and general manager of Fox Studios, the first complete facility built specifically for the production of motion

NEOM

pictures back in 1928, in Los Angeles before

Facebook @discoverneom

Twitter @NEOM

joining NEOM.

Instagram @discoverneom

Youtube @NEOM

Linkedin @discoverneom

www.neom.com


Giga Projects - Neom

"There is a tremendous opportunity to build the region's first fully integrated and legacy-free media hub"

To encourage Indian filmmakers, NEOM is proposing lucrative production incentive rebate programs

71


72

Giga Projects - Qiddiya


Giga Projects - Qiddiya

PROVIDING ALL THE BENEFITS OF MOTHER NATURE T

HE SAUDI HERITAGE COMMISSION AND THE QIDDIYA INVESTMENT COMPANY HAVE SIGNED A MEMORANDUM OF UNDERSTANDING (MOU) TO PROTECT THE ARCHAEOLOGICAL AND HERITAGE AND CULTURE OF THE QIDDIYA PROJECT SITE, LOCATED WEST OF RIYADH.

Dubbed the Kingdom's 'capital of entertainment', Qiddiya will cover more than 334 square kilometres and will be home to more than 300 recreational and educational facilities centred around five major themes: parks and attractions, sports and wellness, nature and environment, arts and culture, and motion and mobility.

Qiddiya is conscious of the impact its project will have on the spectacular site, its natural inhabitants and ecosystems

Qiddiya is nestled in the heart of the Tuwaiq The aims and objectives of the MoU

Escarpment Environmental Reserve,

can be summarized as follows:

surrounded by the beauty, strength, and

 Protect and preserve

fragility of Mother Nature. As a result, Qiddiya

archaeological and heritage sites

is conscious of the impact its project will have

in Qiddiya

on the spectacular site, its natural inhabitants

 Conduct research, surveys and

and ecosystems, and how its current actions

archaeological excavations at the

will affect the future. The MoU signed with

Qiddiya site

the Saudi Heritage Commission will go a long

 Preserve urban heritage sites

way to ensuring that the whole development

QIDDIYA

 Reconstruct historical mosques

encompasses the time-honored traditions and

Instagram @qiddiya

 Develop handicraft workshops to

culture of the local people, thus helping to

Linkedin @qiddiya

promote the use of and facilitate

create a historically relevant, sustainable and

Twitter @qiddiya

the sale of traditional crafts

environmentally friendly destination.

Youtube @qiddiya www.qiddiya.com

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74

Giga Projects - ALUla

ALULA JOINS TEAM BIKE EXCHANGE AS OFFICIAL PARTNER G

REENEDGE CYCLING, KNOWN AS TEAM BIKEEXCHANGE, FOR THE 2021 MEN AND WOMEN CYCLING WORLD TOUR SEASON, HAS RECENTLY ANNOUNCED THE ROYAL COMMISSION FOR ALULA (RCU) AS THE NEW OFFICIAL PARTNER STARTING FROM TOUR DE FRANCE 2021. THE PARTNERSHIP WILL RUN FROM JULY 2021 TO DECEMBER 2023.

AlUla has chosen to partner with GreenEdge

The partnership will include mutually beneficial

Cycling to introduce the stunning landscape of

opportunities for GreenEdge Cycling and

ancient civilisations to millions of cycling and

AlUla, which is set to include a cycling camp in

sports fans worldwide. The region’s connection

AlUla, encouraging the local community to be

with sport has already been established, having

engaged with the sport.

hosted multiple sports events from running and eco-trails to motorsports and polo.

Gerry Ryan, Team Owner and Chairman, Team BikeExchange: “I am extremely delighted

Home to Hegra, the first UNESCO World

to announce this new partnership between

Heritage site in the Kingdom, as well as the

GreenEdge Cycling and AlUla, a luxury travel

ancient Kingdom of Dadan, the open-air library

destination which we are honored to promote

of rock inscriptions in Jabal Ikmah, and AlUla

on our team assets. We haven’t been there

Old Town, AlUla’s history goes back more than

physically, but in the last few weeks, we have

200,000 years. Today the region is opening

met many people working to promote the

up as a year-round destination for heritage,

region, and we have seen so many breathless

arts, nature, and adventure. From railway bike

images and videos. I can’t wait for our first

trails to functional road bike paths and scenic

opportunity to visit AlUla and discover more

mountain biking, two-wheeled transport and

about it. We will do our best to support their

recreation are a big part of AlUla’s Journey

growth.”

Through Time 15 year masterplan, launched in April 2021.

AlUla has chosen to partner with GreenEdge Cycling to introduce the stunning landscape of ancient civilisations to millions of cycling and sports fans around the world


Giga Projects - ALUla

ALULA facebook @ExperienceAlUla Instagram @experiencealula Twitter @ExperienceAlUla Youtube @Experience AlUla www.experiencealula.com

75


76

Giga Projects - Al Diriyah Gate

DEAL SIGNED TO EMPOWER THE DIRIYAH COMMUNITY

T

HE DIRIYAH GATE DEVELOPMENT AUTHORITY (DGDA) AND THE SOCIAL DEVELOPMENT BANK (SDB) HAVE SIGNED A MEMORANDUM OF UNDERSTANDING TO ACHIEVE SOCIAL DEVELOPMENT AND COMMUNITY SERVICES FOR THE RESIDENTS OF DIRIYAH. THIS AGREEMENT COVERS SEVERAL INITIATIVES THAT THE SDB WILL CARRY OUT, THE KINGDOM'S PRINCIPAL AUTHORITY FOR FACILITATING SOCIAL DEVELOPMENT.

establish a community through an integrated ecosystem of environmental, economic, and social activities that encourage long-term sustainability. The SDB also wants to create long-term projects to help local communities grow and support non-profit organizations. It has launched 12 incubator programs to help

Date souqs, hospitality programs, scouts and

the agreement will encourage sharing,

entrepreneurs and small businesses in a variety

community ambassadors, plus two markets

exchanging, and cooperating in research to

of industries.

for Diriyah farmers and the greater community,

achieve common goals. In addition, he stated

are among the initiatives. The agreement also

that the SDB is attempting to assist Diriyah

ancient city's legacy and history, including its

includes training initiatives to help Saudi youth

entrepreneurs through a variety of initiatives,

architecture, culture, and art.

grow their enterprises.

programs, and projects.

According to SDB CEO Ibrahim Al-Rashid,

The agreement is part of the DGDA's plan to

The Diriyah community aims to promote the


Giga Projects - Al Diriyah Gate

It has launched 12 incubator programs to help entrepreneurs and small businesses

The agreement will encourage sharing, exchanging, and cooperating in research to achieve common goals

DIRIYAH GATE DEVELOPMENT AUTHORITY  +92 000 26 22

linkedin @ Diriyah Gate Development Authority

 info@dgda.gov.sa

Twitter @DGDA_SA

Instagram @dgda_sa

Youtube @ Diriyah Gate Development Authority

www.dgda.gov.sa

77


78

RETAIL

YOUNG SAUDI ARABIA CONSUMERS BRING SPENDING BACK, 88% READY TO EMBRACE PRE-PANDEMIC

SITECORE®, THE GLOBAL DIGITAL EXPERIENCE MANAGEMENT SOFTWARE LEADER, RELEASED ITS HOLIDAY SHOPPING TRENDS 2021 REPORT EXPLORING HOW SAUDI ARABIAN CONSUMERS WERE LOOKING TO CELEBRATE THE NATIONAL HOLIDAY.

S

About four-fifths (79%) of Saudi Arabia

are very clearly ready to move on from

consumers surveyed plan to make bigger

the pandemic, they are looking at Holiday

and more mindful holiday purchases this

2021 as the beginning of the rest of their

year, fueled in part by the fact that 76% of

lives," said Mohammed Alkhotani, Area Vice

consumers say they have more savings set

President – Middle East and Africa, Sitecore.

aside this year compared to last year.

"Our research shows pent-up demand

Sitecore's Holiday Shopping Trends 2021

and more savings than usual will result in

report features insights from consumers

younger consumers splurging on self-care

around holiday shopping, gift-giving,

and big-ticket items at the register, which

spending, and sentiment. The data arms

is great news for those in retail, travel, and

audi Arabia's residents are eager to

marketers in categories like retail, travel,

hospitality. It's also heartening to see that

resume their normal lives and make

automotive, and others with the intelligence

69% of Saudi Arabia consumers want to

up for last year's Covid-controlled holiday,

they need to deliver winning experiences

support their local community, including

with 88% of those aged 25-34 saying they are

that satisfy consumers' evolving tastes and

locally-owned businesses. The industry will

ready to embrace pre-pandemic shopping,

demands.

need to respond with more offerings from

travel, and holiday experiences.

“As 88% of consumers in Saudi Arabia

these businesses."


RETAIL

Saudi Arabia's Shift in Perspective:  73% of consumers would prefer experience gifts to 'more stuff'  85% of consumers are now planning 'the trip of a lifetime'  73% of consumers under the age of 44

79

In the first half of this year, 28,000m2 and 57,000m2 of new retail space were delivered in Riyadh and Makkah

said they are now more spontaneous, more social, and enjoying life more Young Saudi Arabia consumers bringing spending back:  87% of those under the age of 44 stated that following their experiences during the pandemic, they now value travel and appreciate other cultures more Saudi retailers could support more locally-owned businesses:  95% of consumers believe it is essential that retailers offer more products from locally-owned businesses, but only 66% report seeing more locally-owned products when shopping Buying local and being mindful with purchases is a priority for Saudi Arabia:  69% of consumers are willing to pay more for locally made gifts  59% of consumers are annoyed when they find a purchase was made in China when they thought it was a local purchase  93% of consumers stated that the pandemic has made them think more

NEW RETAIL SUPPLY

So, while according to a new survey, Saudi

carefully about how they spend their

However, there are still challenges in the

Arabia's retail sector has experienced a

money

marketplace. In the first half of this year,

revival in sales at physical stores, landlords

28,000m and 57,000m of new retail space

are still under pressure as rents dip amid

In Saudi Arabia, self-care now includes

were delivered in Riyadh and Makkah,

new space coming onto the market, despite

self-gifting:

respectively. Jeddah and the Dammam

the increased footfall.

 46% of those buying a gift for

Metropolitan Area saw an extra 53,000m2

2

2

"The point-of-sale transactions have

themselves cite 'therapy' as the main

and 12,000m added. The additional supply

been increasing over the past few weeks

reason

has put downward pressure on rental levels,

and almost doubled compared to the same

with average year-on-year rates for super

period last year," said the report from real

malls in Riyadh falling by 8% and smaller

estate consultancy firm JLL, based on data

regional malls falling by 2%. Makkah was the

from the Saudi Central Bank. "This indicates

hardest hit, with rental levels in large malls

that, despite the change in consumer

plummeting 24% year-on-year.

behaviors and the shift to e-commerce, many

Sitecore's Holiday Shopping Trends 2021 report shows 79% of Saudi Arabia consumers buying bigger gifts and 85% planning trips of a lifetime

2

Looking ahead, the retail property market is likely to continue to favour tenants as new retail supply enters the market, such as Riyadh Avenue and Mall of Saudi in Riyadh.

customers prefer the 'physical experience.”


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