By Martin Morris
State rail firm and Abu Dhabi oil co discussing transport of 7m tonnes of granulated sulphur annually to Ruwais.
UAE's Union Railway confirmed on Monday it is in advanced talks with Abu Dhabi National Oil Company (ADNOC) to explore transporting, via rail, over seven million tons of granulated sulphur annually from the Shah and Habshan oil and gas fields to Ruwais.Hussain Al Nowais, Union Railway Chairman, speaking at MEED's Middle East Rail Projects Conference, gave a detailed update on the project, including issues related to potential partnership, WAM reported.
"We are very excited to have the opportunity to work with ADNOC," he said.
"This important strategic initiative will fulfil several strategic objectives. Firstly, it will support ADNOC's ongoing investment programme in the Shah and Habshan oil and gas fields. It will also contribute to the development of the oil, gas and petrochemical industries in the country. ''Finally, it will help to accelerate the development of the Western Region, in line with Vision 2030. This section of the railway will be fast-tracked to meet ADNOC's schedule and requirements," he added.
Al-Nowais, who described the partnership between Union Railway and ADNOC as "strategic", put the estimated initial cost of the project at between AED25-30 billion.
He said the rail line will be 1,100 kms long and will link the Al-Ghuwaifat border post at the UAE-Saudi Arabian border to the West and the UAE-Oman border to the East, adding that the project will last between five and seven years.For all the latest transport news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Great news from Union Railways - that I wish to see extend across GCC region. Then the potential cost of transportation will fall drastically making all countries leaders in movement of fertilizers and other types of cargo based on petroleum www.translogistique.blogspot.com
Such projects will surely give cost-advantage to th Sub-Continental countries in terms of imports and also the Hormuz Strait can be avoided by effecting exports through the Oman coast!
Chen Sridhar New York USA
Great move and if this rail connection conncted all the arab states which will improve trade and commerce.