Neom's proposed freight rail link will connect port to Saudi rail network
Saudi
Arabia’s Neom has invited consultants
to express interest in designing a proposed freight railway that would connect
the Port of Neom at Oxagon with
the kingdom’s existing North-South
Railway network.
The
expression of interest (EoI), issued on 14 September, covers feasibility
studies, concept design and route alignment for the proposed rail connection.
Consultants have been given until 16 September to submit their responses.
The
proposed railway is expected to extend for more than 400 kilometres and connect
the Port of Neom with Saudi Arabia Railways’ (SAR) North-South Railway at the
Al-Baseeta junction in Al-Jawf province in northwestern Saudi Arabia.
Link to Saudi Arabia’s North-South Railway
The
North-South Railway is a 2,750-kilometre network primarily developed to
transport minerals from mines in northern Saudi Arabia to industrial and export
centres on the Gulf coast.
Its
main route connects the Al-Jalamid and Baitha phosphate and bauxite mines with
Ras Al-Khair, Jubail and Dammam. Branch lines also connect the network with
Riyadh and Al-Haditha on the Jordanian border.
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The
Al-Baseeta junction, where the proposed Oxagon connection would join the
network, is located in Al-Jawf. In addition to freight, the North-South Railway
supports passenger services between Riyadh and Qurayyat and has carried
commercial commodities including sulphur and phosphoric acid.
The
proposed rail link would provide the Port of Neom with a direct connection to
Saudi Arabia’s wider rail network. The port currently lacks a rail connection
to the kingdom’s interior, meaning cargo moving from Oxagon to destinations
such as Riyadh and the Gulf coast primarily relies on road transport or
additional maritime connections.
A
connection at Al-Baseeta could provide rail access to major industrial and
logistics centres, including Ras Al-Khair, Jubail and Dammam, as well as onward
connections to Jordan.
The
project could also create a new Red Sea gateway for the North-South Railway.
The existing network has largely been oriented towards export and industrial
facilities on Saudi Arabia’s Gulf coast. A connection to Oxagon would give
freight originating in northern Saudi Arabia the potential to reach markets and
maritime infrastructure on both coasts.
Neom’s evolving strategic focus
The
proposed rail connection comes after Saudi Arabia’s Public Investment Fund
(PIF) identified Neom as one of six strategic ecosystems in its 2026-30
strategy.
Neom’s
logistics ambitions are also developing alongside efforts to strengthen trade
connections between Saudi Arabia, Europe, Egypt and the Gulf. On 15 April, Neom
announced on its official X account a proposed Europe-Egypt-Neom-GCC corridor
aimed at providing a faster route for time-sensitive goods.
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The
planned rail connection could therefore support the development of Oxagon as a
wider logistics and industrial hub, while improving the movement of goods
between the Red Sea, Saudi Arabia’s interior and the Gulf.
Major projects advance at Oxagon
Several
major industrial and infrastructure projects are progressing at Oxagon.
Earlier
in September, Saudi artificial intelligence company Humain and data-centre
developer DataVolt began construction of an AI data centre at the development.
Construction
of the $8.5bn Neom Green Hydrogen project was completed last month, with the
facility now entering commissioning ahead of commercial operations targeted for
2027.
The
green hydrogen project is designed to produce up to 600 tonnes of green
hydrogen a day. The hydrogen will be converted into green ammonia for export,
with approximately 4GW of solar and wind generation capacity supporting
production through electrolysis.
Neom
has also awarded major contracts for port infrastructure. In 2024, it awarded
an estimated SR4bn ($1.1bn) contract to a joint venture between El-Seif
Engineering Contracting, Hassan Allam Construction and China Harbour
Engineering Company for Terminal 1.
Read More Saudi
Arabia renames Duba Port as ‘Port of NEOM’
Expansion
of the Duba port has progressed in two phases, with contracts awarded to the
Boskalis, Besix and Modern Building Leaders consortium and, subsequently, to
Deme and Archirodon.
The
port has been operational since 2022 and currently handles approximately 250,000
twenty-foot equivalent units (TEUs). Capacity is planned to increase to 1.5
million TEUs by 2030.
The
proposed freight railway would add a critical inland transport connection to
this expanding port and industrial infrastructure, potentially strengthening
Oxagon’s role as a logistics gateway linking Saudi Arabia’s Red Sea coast with
its national rail network.
Source:
Meed
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