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Tel : 0086-0371-86172891
Saudi Arabia is accelerating the construction A516 Grade 65 steel of water infrastructure to meet the water demand brought about by population growth. Among them, a large-scale water pipeline project worth 8.5 billion Saudi riyals (approximately 2.3 billion US dollars) will not only enhance water supply capacity, but also bring new opportunities for domestic steel producers.
Saudi Water Cooperation A516 Grade 65 steel Company (SWPC) recently announced that the winning consortium for the Jubail Buraidah water pipeline project has been determined, including Aljomaih Energy and Water Company, Nesma Limited Company, and Buhur for Investment Company. These conglomerates stood out from 32 competitors, 14 of whom were Saudi companies. SWPC CEO Khaled Al Quraishi said, "This project will improve water delivery efficiency, reduce electricity consumption, and meet the growing demand for drinking water in the Eastern Province and Kassem region. In addition, by improving the localization level of enterprises and human resources, it will also help enhance the local industrial chain in Saudi Arabia
The Jubail Buraidah water pipeline has a total length of 587 kilometers and a designed water transmission capacity of 650000 cubic meters per day, which will further strengthen Saudi Arabia's water security. The project adopts a Build Own Operate Transfer (BOOT) model and is included in Saudi Arabia's 2030 National Water Strategy, aiming to increase the proportion of desalinated water in the country's urban water supply to 90% and reduce reliance on non renewable groundwater. The project is expected to enter commercial operation in the second quarter of 2029, with an operating period of up to 35 years.
This project is expected to generate large-scale steel demand, mainly supplied by local producers. An industry insider revealed that the 587 kilometers of spiral welded pipes required for the project are made of hot-rolled coils, and most specifications are within Hadeed's production range. This will help increase the market share of high value-added products for local steel companies. Against the backdrop of Saudi Arabia's A516 Grade 65 steel vigorous promotion of infrastructure construction and industrial localization, this project not only promotes the development of water conservancy projects, but also further consolidates the important position of the local steel industry in the supply chain.
