ANALYSIS GLASS CAPACITY IN THE REGION IS UP, BUT WHO’S BUYING? N E W S • A N A LY S I S • I N T E L L I G E N C E • P R OJ E CT S • C O N T R ACT S • T E N D E R S
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DUBAI PEARL Ground work done, concrete poured and LEED Gold the aim: but can a ‘luxury’ project still sell?
What Egypt wants $25 billion in projects is just the start Page 22
Cultured building Santhosh Joseph on making a pearl Page 28
Select sustainable Experts pick best green buildings Page 38
COMMENT
CONTENTS JUNE 19-25, 2010 • ISSUE 326
38
Sustainability experts rank the Charles Hostler Center at the American University of Beirut among their favourite green buildings.
REGULARS
10 16 18 56
ONLINE EDITOR’S LETTER GUEST COLUMN FOREMAN
INTELLIGENCE
4
FIRST FOUR SEASONS TENDER FOR ENABLING WORKS DUE Q3 An enabling works tender for the Four Seasons Hotel Abu Dhabi is expected to be released in Q3 2010. FINANCE
8
ZAMIL’S FIGURES FOR 2010 Zamil witnessed the challenge of sustaining equity value despite being a huge supplier of materials. ROUND UP
12
JEDDAH SLUMS PROJECT IN KSA A massive redevelopment program targeting Jeddah’s slums was unveiled at Cityscape in Jeddah.
ANALYSIS
22
EGYPTIAN INFRASTRUCTURE Osama Saleh, chairman of the General Authority for Investment, reviews Egypt's infrastructure.
24
TOP OF THE GLASS CW investigates how market leading products and cutting edge technology have elevated GCC-sourced glass to the top of its game.
ON SITE
32
SUSTAINABILITY
38
FIVE GREEN BUILDINGS CW asked five sustainability experts to each nominate their favourite green building in the Middle East.
PROJECTS
44
GREATEST ENGINEERING FEATS OF THE LAST DECADE From Chinese dams to the world’s tallest building, CW takes a look at ingenious engineering.
SITE VISIT: DUBAI PEARL ng foundation work After meeting ast year, Dubai Pearl can milestones last forge ahead in 2010.
FACE TO FACE
28
THE PEARL IS HIS OYSTER Founder and CEO of the Dubai Pearl, Santhosh Joseph explains the evolution of the design, the progress made on the project so far and the future of the development. JUNE JU JUN JU UN NE 1 19-25, 9--2 9-2 9 -25 5,, 201 20 2 2010 01 0 10 CO CON C CONSTRUCTION ON O NST STR S T UC CT TIIO ION ON ON W WE WEEK EE EK K1
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ECONOMY OF SCALE SAUDI ARABIA’S ECONOMIC CITIES COULD CHANGE THE FACE OF THE INDUSTRY. CAN THEY SUCCEED?
Saeed Alabbar on the benefits of concurrent engineering in engineer sustainable sustainab ble design PAGE 18 8
ANALYSIS
What Abu Dhabi’s new HSE regulations mean for contractors PAGE 24
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Pre-cast and post tensioning works the Saudi Binladin way PAGE 35
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INTELLIGENCE
The Four Seasons Abu Dhabi will be built on Sowwah Island, where a number of sites are already under development by Mubadala.
Tenders of note First Four Seasons tender for enabling works due in Q3 of this year
A
n enabling works tender for the Four Seasons Hotel Abu Dhabi is expected to be released in Q3. Work will need to be carried out on Sowwah Island, which is undergoing phased development at the hands of Mubadala. The 200-room hotel is due for completion in 2013. The building is planned to be 32 storeys high and will also contain 125 residences. Mubadala’s Sowwah Square and the new Abu Dhabi Securities Exchange are the most advanced projects on the island and are adjacent to the plot for the hotel. Another hotel, the Rosewood Abu Dhabi, is already under construction nearby. 4 CONSTRUCTION WEEK JUNE 19-25, 2010
This will be the first Four Seasons branded hotel in the UAE, after the hotel group withdrew plans for a premises near Festival City’s Al Badia golf club last year, due to delays in starting construction. The 105-hectare Sowwah island is being billed as the UAE capital’s new central business district. Investment in the island’s infrastructure has already produced two of a projected 13 bridges linking it to the rest of the city and other islands. It also features a two-tier road network, designed to keep heavy traffic from surface-level streets, plus will also incorporate a light-rail mass transit system and metro. — By Stuart Matthews.
INTELLIGENCE For upto the minute tenders log in to constructionweekonline.com
Oman flags tenders for track roads
Kempinski Riyadh close to decision
Oman’s Ministry of Transport and Communication has released a series of small tenders for the annual maintenance of track roads. There are five tenders in total, covering roads in the Al Wusta Region, the Governate of Musandam, roads north and south of Al Sharqiyah, and finally in the Al Dakhliyah region. Each tender closes on 2nd August with tender fees ranging from OMR325 to OMR925 ($844 - $2530). The simple scope of works provides for the maintenance of the track roads in question. Further information can be found at www.tenderboard.gov.om. Meanwhile, the Ministry of Finance last week gave OMR7.34 million to Oman Cement Company to partly cover losses.
Burj Rafal Kempinski Hotel in Riyadh will soon announce the winner of the main contract for construction. With the hotel scheduled to open in December 2012, ground breaking and excavation work is due to start within the next few weeks. As part of the new Burj Rafal vertical community being developed by Rafal RealEstate Development Company, the hotel will be located at King Fahd Road near the King Abdullah Financial Center in KSA. It is one of two Kempinski hotels under construction in the Kingdom; the other is based in Jeddah and is also set for completion in 2012. International Project Management (IPM) is providing project management services for the overall Burj Rafal development.
Each category will require multiple subcontractors.
Dubai Pearl to award subcontracts in Q3 of 2010 The developer of Dubai Pearl will award subcontracts to MEP, façade and lift companies at the end of the third quarter. Pearl Dubai, a consortium of investors led by the UAE’s Al Fahim Group, will be employing more than six subcontractors in
each category, with a view to completing most of the project by 2012. Main contractor Al Habtoor Leighton will be heavily involved in the decision, choosing among firms who have already bid and pre-qualified for work on development, and who will
later be approved by the client. “The main categories where we still require subcontractors are MEP, façade and lifts,” said Dubai Pearl programme manager and senior vice president Syed Hussainy. “We will be taking on more than 5-6 contractors in each category, this being a 20 million ft2 integrated development and one of the most sophisticated projects Dubai has ever seen. “We will let companies know who have won the contracts around September, October time.” Cantilever is among the firms supplying to the project. — Elizabeth Broomhall.
TOP TENDERS Annual Maintenance of Track Roads in Al Dakhliyah Region Country: Oman Closes: Aug 2, 2010 Category: Infrastructure Issuer: Ministry of Transport and Communication Jaber Ahmed Al-Jaber Al-Sabah Bridge (Al Subiya Connection) Country: Kuwait Closes: Aug 8, 2010 Category: Infrastructure Issuer: Central Tenders Committee Construction of 380-kV Ras AlZour Substation Country: Saudi Arabia Closes: Aug 21, 2010 Category: Power and water Issuer: Saline Water Conversion Corporation Housing complex, Phase 2 Buildings Country: Saudi Arabia Closes: Jul 31, 2010 Category: Residential Building Issuer: Saline Water Conversion Corporation Housing Complex in Different Areas of Saudi Arabia - Phase 2 Country: Saudi Arabia Closes: Jul 31, 2010 Category: Buildings Issuer: Saline Water Conversion Corporation Construction of New Ahmadi Hospital & Residential Building Country: Kuwait Closes: Jul 27, 2010 Category: Industry Issuer: Kuwait Oil Company Refurbishment of Several Pumping Stations - Phase 8 Country: Qatar Closes: Jul 27, 2010 Category: Power & Water Issuer: Public Works Authority Construction of Royal Commission Public Housing Phase 4 Buildings Country: Saudi Arabia Closes: Jul 25, 2010 Category: Residential development Issuer: Royal Commission for Jubail & Yanbu Supervision Consultancy Services for an IWPP in Salalah Country: Oman Closes: Jul 19, 2010 Category: Power & Water Issuer: Oman Power &Water Procurement Company JUNE 19-25, 2010 CONSTRUCTION WEEK 5
INTELLIGENCE
AFP/Getty Images
For upto the minute tenders log in to constructionweekonline.com
TOP TENDERS Upgrading of Khuwair South Substation Country: Oman Closes: Jul 19, 2010 Category: Power & Water Issuer: Muscat Electricity Distribution Co. (SAOC) EPC for Upgrading Water Supply System at Kumzar Plant Country: Oman Closes: Jul 19, 2010 Category: Power & Water Issuer: Rural Areas Eletricity Company S.A.O.C Bridge and Intersections in Yanbu Industrial City Country: Saudi Arabia Closes: Jul 13, 2010 Category: Infrastructure Issuer: RCJY
The airport in Madina aims to increase passenger-handling capability by 10.5 million people by 2016.
KSA airport project sees eight groups prequalify
DecoVision wins Etihad Towers contract
Eight consortiums have pre-qualified to bid for work on the first phase of the expansion of Prince Mohammed Bin Abdulaziz Airport in Madina, KSA. The US$1.5 billion development, part of a wider $10.5 billion project to reform and liberalise Saudi Arabia’s airport sector, is being developed by the General Authority of Civil Aviation of the Kingdom of Saudi Arabia, or ‘GACA’. It aims to increase the airport’s passenger-handling annual capacity from 3.5 million to 14 million on completion, whcih is due sometime in 2016. The first phase will involve developing airside and landside facilities under a longterm concession. All interested parties will be invited to bid for work in September 2010, with an award expected by the end of November. The first phase is scheduled to start in the first quarter of next year.
DecoVision has won an interior solutions contract worth AED 150 million to fit out Etihad Towers. The 460,000m2 development will see five towers from 53 to 77 floors built on the Abu Dhabi Corniche opposite the Emirates Palace Hotel, and is due to be completed in 2011. Standing at more than 300 metres, the Towers will provide residential units, a Jumeirah hotel, a large multi-level podium and a four level underground carpark with 3,200 spaces. DecoVision’s work on the project, which is expected to start early next year, will include fit-outs, joinery work and laying out marble flooring and panels, as well as decoration works for 400 hotel guest suites, 182 serviced apartments and a host of public areas. The main contractor for the Towers is Arabian Construction Company.
Installation of Package Sewage Treatment Plant at Daqum Country: Oman Closes: Jul 12, 2010 Category: Infrastructure Issuer: Ministry of Regional Municipalities & Water Resource Construction of 24 Classrooms Al Ahnaf Bin Qais Country: Oman Closes: Jul 12, 2010 Category: Educational facilities Issuer: Ministry of Education Dev of General Cargo and Liquid Terminal at Port of Salalah Country: Oman Closes: Jul 12, 2010 Category: Marine Issuer: Ministry of Transport and Communication Sabah Al Salem Campus Country: Kuwait Closes: Jul 11, 2010 Category: Educational facilities Issuer: Kuwait University Construction of 6 Kindergartens Country: Kuwait Closes: Jul 6, 2010 Category: Educational facilities Issuer: Ministry of Social Affairs.
MATERIALS PRICE CHECK
$3.27 Aluminium profiles Per KG steady
$748.67
$3.81
$32.67
$4.36
$72.15
$98
$721.45
$14.97
$640
$10.88
Beech wood
Cement
FF plywood
Glass
MDF
Ready mix
Red meranti
Scfldi planks
Steel
Steel props
Per sheet
2
3
Per tonne steady
Per piece
Per metric t
Per piece
3
Per m Steady
Per bag steady
6 CONSTRUCTION WEEK JUNE 19-25, 2010
per m steady
Per m steady
3
Per m STEADY
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FINANCE STOCK MARKETS
Up and down year so far for Zamil Zamil Industrial Investment Company witnessed the challenge of sustaining equity value despite its wide status as one of the biggest suppliers of materials. The conglomerate had a big increase in its share price during the first quarter, followed by an equally steep fall, which sees it make no overall gain as the second quarter draws to a close. On 13th June shares of the materials giant – whose subsidiary Zamil Steel topped Construction Week’s list of top suppliers two months ago – were worth SR41.8, a touch off the SR41.75 at which it started the year, having witnessed a peak of SR54.25 by 14th April. Company control appears to be stable, however. In the first week of June it reelected its chairman Dr. Abdulrahman A. Al Zamil, along with appointing other members for the executive and audit committees among others.
Zamil Industrial, which includes its successful subsidiary Zamil Steel, was one of the big climbers during the first quarter.
One year price analysis The start of 2010 promised great growth. Share price in USD 2009
Share price in USD 2010
4.49
54.00
47.5
52.00 50.00
46
46.50
44.5
44.00
43
41.00
Jun
Jul
Aug
Sep
Oct
Nov
Sep
Jan31
Feb23
Mar31
Apr29
May31
Expert Views Saudi Electricity Company The company may have recently announced a deal to build a new power plant, but has it electrified the analysts?
8 CONSTRUCTION WEEK JUNE 19-25, 2010
Following news that it is to build a SR7.9 billion power plant in its home country, Saudi Electricity Company has seen its stock value and trading volume shoot up this week. Over the last six days it has risen to become the most-traded stock on the Tadawul, with an increase to its value from SR12.1 to SR13.40 during that time. This is part of wider plans for more power in the country. Analysts, however, did not rush to a bullish position this week. Abid Riaz at EPG Hermes maintained a neutral position soon after the announcement of the plant and set a target price of SR13.50 and a one-year return
of 22.22%. In Cairo, HSBC Securities (Egypt) was also neutral on 9th June, predicting an outperformance of -8.55%. But Ahmed Al Qahtani at NCB Capital was already overweight shortly before the news broke, forecasting a return of 22.54% and an outperformance of almost 14%. It has been one of the most volatile utilities stocks this year on the index, seeing a slump to SR10.5 on 25th May from a yearto-date high of SR12.6 almost exactly two months before. It is a year since it earmarked SR28 billion to add 13,000 MW to the country’s supply up to 2012.
THE VERDICT BUY: Despite a steep drop in the first week of April, the shares have enough positive signs and market liquidity, with potentially more power projects to come.
FINANCE
Emaar shares
TOP RISERS
Korea Electric Power Corp. shares
10.50 42000
10.00
38000
9.50
36000
9.00
32000
13/1
14/2
15/3
14/4
24/4
15/6
15/1
16/2 15/3
2010
15/4
14/5 15/6
2010
Emaar award may spur EcoCity stock
UAE bank governor links deals and GDP
The endorsement of Emaar Properties’ Economic City at Cityscape Jeddah last week may help to stem the recent dip in stock market performance for the real estate consortium. The share price has fallen from AED10.55 to AED8.6 in five months up to last week. “We are pleased and proud,” said by CEO Dia Malaeb to CW after winning the best built commercial and retail project for the King Abdullah Economic City, adding that Saudi Arabia was a key market for opportunities. He added that Emaar’s diversification had proved effective in minimising the effect of the global downturn. The main company’s share price has been one of the steadiest in the region among developers this year, closing at AED3.17 at deadline.
Upcoming infrastructure projects are likely to power the UAE economy to a 4% average growth for this year and next, the central bank governor said. “These projects are expected to add value and help expand other economic sectors,” Sultan Bin Nasser al-Suwaidi said last Monday in Singapore. The country’s power and rail-related projects include plans for a country-wide railway system and nuclear development. Union Railways Company won the contract for the railway system and plans to begin work in 2013, its CEO said last month. A consortium led by by Korea Electric Power Corp won an AED75 billion contract last year to build a nuclear power plant. In May the economy minister said the UAE may grow as much as 3.2% this year.
Specialities Gro: Fujairah Building: Gulf Cement Company: Makkah Construction & Development Co.: Arabian Cement Company: Mushrif Trading: Yamamamah Cement Co.: Saudi Arabian Am: Oman Cement Company: SIDC:
+11.97 +5.98 +4.21 +3.96 +3.93 +3.03 +3.01 +2.89 +2.29 +1.20
TOP FALLERS National Industry: -13.58 Kuwait Company for P: -12.90 Abu Dhabi National Company: -10.34 Arkan Building Materials: -8.97 Ras Al Khaimah Company: -7.79 Hilal Cement Company: -7.27 Salbookh Trading: -7.04 Sharjah Cement: -6.45 National Cement Company: -4.82 Kuwait Portland Cement Co.: -4.35
SECTOR INDICES Banking Insurance Fin & Inv Real Est & Constr Transportation Utilities Materials Consumer Staples Telecoms
+2.25 -0.08 -8.86 -28.75 -2.49 -14.43 0.00 0.00 0.00
.+0.25% 0.00% -0.48% -1.03% -0.55% -2.20% 0.00% 0.00% 0.00%
(Data accurate as of close 13 June 2010)
Update 10 latest mega project updates PROJECT TITLE
STATUS
VALUE / VALUE RANGE (US$)
PORT OF SALALAH - EXPANSION OF THE GENERAL CARGO TERMINAL
Tender
500,000,000
CONSTRUCTION OF DOHA EXPRESSWAY - PACKAGE 7
Under Construction
438,000,000
AL MAFRAQ HOSPITAL
Tender
871,000,000
EXPANSION: PRINCE MOHAMMED BIN ABDULAZIZ AIRPORT, MADINA
Tender
1,500,000,000
QATAR NATIONAL MUSEUM
Design
TBC
SALALAH POWER AND WATER DESALINATION PLANT
Under Construction
1,000,000,000
AL AIN CONVENTION CENTRE DISTRICT
Under Construction
1,000,000,000
AL BATEEN WHARF HOTEL
Tender
TBC
ADIC NEW HEADQUARTERS COMPLEX IN ABU DHABI
Under Construction
245,000,000
EXPANSION OF GRAND MOSQUE
Under construction
11,000,000,000
JUNE 19-25, 2010 CONSTRUCTION WEEK 9
ONLINE
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MOST POPULAR
1 2 3 4 5
New contractors liable for ghost building collapse Saudi Electricity to build SR7.9 bn power plant Saudi targets Jeddah city slums with huge project Saudi to adopt summer midday work ban in 2011 UK giant Laing O'Rourke denies ME withdrawal
IN PICTURES
GREEN POINT STADIUM CAPE TOWN: The 68,000 capacity stadium is one of the biggest stadiums built for the World Cup in 2010.
FM contract signed for World Cup
Emirates Airlines increase A380 jets
Facilities operations at the World Cup are being managed using software from Archibus, a global developer of infrastructure, real estate and FM solutions. In coalition with Southern African Investments and Stade de France, Archibus was awarded the maintenance contract for the 360,000m2, 56,000-seater Green Point Stadium in Cape Town. The software, which offers space planning management, move management, asset management, workplace services and environmental and risk management, has also been used at the Wimbledon Tennis Championships and the Melbourne Cricket Club. Archibus buildings and services manager John Cox said: “Using Archibus, we have a greater understanding of the complexity and number of assets across the various sites, helping to ensure that all of the plants are maintained to guarantee effectiveness. With the system we simplify the process, ensure cost-effectiveness through regular condition testing and can identify the locations of all key assets easily.”
Airport expansion projects have driven Dubai-based airline Emirates to up its orders.
SPOT POLL Do you think ghost buildings offer good opportunities for contractors?
42.9%
42.9%
14.3%
0.0%
Yes - if contractors take a stake in the property they are more likely to get paid.
Definitely not - they are dangerous and should all be pulled down.
Maybe - they give old contractors a chance to finish what they started.
No - the risks are too high.
10 CONSTRUCTION WEEK JUNE 19-25, 2010
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ROUND UP
REDEVELOPMENT
Saudi targets Jeddah city slums with huge project A massive redevelopment program targeting Jeddah’s slums was unveiled at Cityscape Jeddah. The scheme – spearheaded by the government-backed Jeddah Development and Urban Regeneration Company (JDURC) – will see hundreds of thousands of residents of the city’s socalled ‘unplanned settlements’ relocated while buildings are torn down. The JDURC will seek public private partnerships (PPPs) with a number of developers in Saudi Arabia to redevelop over 50 sites, comprising 22 hectares of land that has one million inhabitants. In many of the sites, the JDURC hopes to maintain the pattern and framework of the current houses but redevelop the properties, many of which lack amenities, sewage systems and even electricity. The plan will also include methods to compensate legal residents currently living in the settlements, and provide loans for them to purchase property once the projects are complet-
ed. Mohammed Munshi, a development engineer with the JDURC told Construction Week at Cityscape Jeddah the redevelopment "will improve Jeddah, a city which plans to be part of the first world,” he said. The 54 unplanned settlements have been grouped into four categories, ranked according to their attractiveness to private developers. Those believed to be the most attractive will be redeveloped first, while some category four sites will be developed by Jeddah’s municipality itself. The first areas to be redeveloped will be Khozan and Al Ruwais, both close to Jeddah’s historical district and home to some 200,000 people. Munshi said the historical streetscape of the area would have to be acknowledged by architects. Many of Jeddah’s unplanned settlements have been classified slums by the United Nations (UN), and were the areas most badly hit by last year’s floods, which killed hundreds of people.
In Quotes “Something is going to be injected into the project. The partners are coming to a slightly different arrangement to make sure there is funding coming into the project.” WAEL AL LAWATI, CEO of Omran, on restarting the stalled Salam Yiti project. 12 CONSTRUCTION WEEK JUNE 19-25, 2010
“The Russian market has great potential for marine development and we are pleased to be working with Sochi Grand rand Marina.” ” MICHAEL HORRIGAN, RRIGAN, CEO of Mourjan an Marinas IGY, on the company’ss deal to build a 300-yacht marina in Russia.
“These projects are expected to add value and help expand other economic sectors.” UAE CENTRAL BANK GOVERNOR SULTAN BIN NASSER AL-SUWAIDI on news that the economy will grow 4%, fuelled by power and rail projects.
Omar Salem/AFP/Getty Images
ROUND UP
Around the GCC 5 2
ROBERT WILLET, new Al-Futtaim Group CEO.
4 3
1. ABU DHABI, UAE
4. DUBAI, UAE
World's largest solar power plant
More truck test time at Tasjeel
Masdar has appointed Total and Abengoa Solar to own, build and operate Shams 1, the world’s largest concentrated solar power (CSP) plant, and the first of its kind in the Middle East. One of Masdar’s flagship projects, Shams 1 will be the largest CSP plant in the world, extending over an area of 2.5 km2, with a capacity of about 100 MW and a solar field consisting of 768 parabolic trough collectors, to be supplied by Abengoa Solar. Construction is set to begin during Q3 2010, and is expected to take about two years. Masdar CEO Sultan Al-Jaber said the launch of Shams 1 represents a “very important milestone”.
“It has the pedigree, people and products to grow significantly across the region. Most importantly it has a stable of brands that any simple shopkeeper like me would die for.”
1
Heavy vehicle operators in the Al Warsan industrial area won’t need to take their vehicles off the road for testing and servicing as the local depot ‘Tasjeel’ has now extended from 7am to midnight. Its general manager said it will significantly add to customer convenience.
2. QATAR
3. OMAN
5. KUWAIT
Hospitals for workers planned
US$1.7bn power deal awarded
Kuwait faces power cuts
Three new hospitals and two primary health centres are currently on the drawing board to cater exclusively to the needs of labourers. The facilities, which are expected to be completed in up to four years, aim to ease the pressure on existing hospitals, particularly the Hamad Hospital’s Emergency Department. An increase in the population in the region, particularly in the labour force, has meant hospitals and health centres are busy.
A US$1.7 billion contract for two new independent power projects (IPPs) in Oman has been awarded to a consortium of five companies. The consortium is comprised of Kahrabel GDF Suez, Bahwan Engineering, the Public Authority for Social Insurance (PASI) in Oman and Shikoku Electric and Sojitz Corporation of Japan. Together the combined power and desalination plants represent an installed capacity of 1,921 MW and a water production of 268,000m3 a day.
The Kuwaiti government could be forced to introduce mandatory power cuts in Kuwait as electricity consumption threatens to outstrip generation. Recently power consumption peaked at 10,823 MW, dangerously close to the maximum capacity of 11,200 MW, according to the electricity and water ministry's website. Early summer temperatures in Kuwait have already hit 49.5 degrees Celsius, the highest so far this year, according to the state-run met office.
JUNE 19-25, 2010 CONSTRUCTION WEEK 13
ROUND UP
Sharjah reveals AED1b projects
FREDERIC J BROWN/ AFP / Getty Images
PICTURE PERFECT
Sharjah’s Hamriyah Free Zone Authority (HFZA) yesterday announced that it has completed five mega projects totaling AED800m, has another AED200m worth of projects in progress and will be ready to announce two more mega projects within the next month.
BEIJING, CHINA Visitors to Beijing's Urban Planning Exhibition Centre look at a scaled models of the Chinese capital's urban development on June 10, 2010. Property prices in China slowed in May, suggesting measures aimed at cooling the red-hot real estate market were working.
Dr Rashid Al Leem, director general of the HFZA told a gathering of key contractors, consultants and financiers that Sharjah’s government had been aggressive in its development plans over the past two years. Speaking on the sidelines of the meeting, Dr Rashid said that two more projects would be announced “in the next month”. He wouldn’t elaborate, but said all initial had been completed. “I expect work to begin on them by the end of the year.”
CONTRACT
Nexans wins $90m HV cable contract Nexans is to supply and instal 210 km of 132 kV XLPE cable for a turnkey project to upgrade the power infrastructure in Abu Dhabi City Nexans has been awarded a 72.7 million euros contract by the Abu Dhabi Transmission and Despatch Company (TRANSCO) for a turnkey project to upgrade the high voltage underground power cable infrastructure in Abu Dhabi City, UAE. The project for TRANSCO, a subsidiary of ADWEA (Abu Dhabi Water & Electricity
Authority), will involve the design, manufacture, supply, installation and commissioning of approximately 210 km of 132 kV XLPE (cross linked polyethylene) underground power cables. Single-phase cables will have copper cross-sections of 800, 1000 and 1200mm2. “This latest contract for TRANSCO reinforces Nexans’ position as a key supplier for high voltage power infrastructure projects in the Gulf region” says Dirk Steinbrink, Managing Director of Nexans Land High Voltage Business Group. “Our presence in Abu Dhabi goes back to the 70s, and we have
recently completed two major projects for ADWEA including a 400 kV underground link and a 132 kV submarine link to Delma Island”. REAL ESTATE
2.5 milllion riyal price tag on Mecca flats Luxury flats with a view of the Kabaa in the almost-finished Mecca Clock Tower will be sold for upwards of SAR2.5m. Developer Emaar is fitting out 648 units in the 662-metre tall building, set to become the second tallest tower in the world, which the company plans to sell on 25 year leases.
In Numbers
425
The amount, in millions of GBP, Mace's winning bid for the London Shard totalled.
14 CONSTRUCTION WEEK JUNE 19-25, 2010
4m
Number of UAE workers affected by the midday work ban which started this week.
1.7
Value, in billions, of the soon to be restarted Salam Yiti project near Muscat.
ROUND UP
Emaar Middle East CEO Dia Malaeb said that the cheapest apartments, studios with a partial view of the Grand Mosque, will start at between SAR2.5m and SAR3m rials, but was tightlipped about the cost of those at the high end. The development will include three bedroom flats with a full view of the Kabaa and the Grand Mosque. SUPPLY
Jotun hikes powder coating prices Dubai-based paint and powdercoatings specialist Jotun says an increase in the price of raw materials has pushed up the price of its powder coatings in the Middle East, Asia and Europe. The company claims that a rise of 25% in recent months for materials has forced it to make price changes. Jotun's divisional marketing director Claudio Lurilli said in a statement: “The market circumstances have forced us to make these changes in prices.” CONTRACTORS
Biggest firms are the best, says ACC exec Upcoming mega projects in Saudi Arabia will be another chance for the top players to get ahead, says a top executive at Al Arrab Trading & Contracting. Samer Arafa, executive vice president at the construction giant, said that the Kingdom’s big projects need the players with the capacity and resources to meet the government’s vision.
7
Percentage of rise in Oman Cement's share price after $19m government payout.
importance of construction in enhancing economic growth in the build up to Mr Osborne’s Emergency Budget statement. CONTRACTS
Aldar seeks Yas water park contractors “I think this has been a very wise decision by the government to be developing the infrastructure; the time is right in terms of income, revenues and the growing population, along with the growing stress on roads, or water, and communication.” “So you can draw a logical conclusion: the mega-size projects need the mega contractors who have core competence, massive resources and be able to deal with complications,” he said.
Aldar Properties PJSC is still seeking main contractors for its planned water park on Yas Island, its major leisure and entertainment destination, due to begin construction next month. The property developer has also received the conceptual planning approval from the Abu Dhabi Urban Planning Council and has appointed UK-based
CONSTRUCTION
UK urged not to cut construction spend Industry leaders in the UK are urging the government to consider the construction industry before making spending cuts which could affect projects in the Middle East. The Construction Products Association (CPA) has written to the Chancellor George Osborne urging him to focus public spending in construction to boost economic recovery, which in turn could impact on firms with offices in the GCC. Anticipating difficult conditions ahead and another drop in construction output this year, the CPA highlighted the
28
Atkins as lead designer for the project, which will be complete in 2012. The 16.4 hectares water park will have more than 40 rides and will join attractions such as Ferrari World Abu Dhabi, the world’s first Ferrari theme park which opens on 28th October and Yas Marina Circuit, host venue for the Formula 1 Etihad Airways Abu Dhabi Grand Prix.
increase its production and distribution network in the GCC to capitalise on the surge in demand for rubber and chemical materials, according to the company chairman. “The worldwide surge in the prices of raw materials we use for the production of ‘GulfO-Flex’ has driven us further into undertaking an aggressive expansion initiative,” said Abu Baker Shaikhani. CONSTRUCTION
Waste destroys Bahrain's coral reef Illegal dumping of waste has destroyed much of Bahrain’s marine life, environmentalists have said. Building materials, truck tyres and fishing nets are among the items that have been thrown into the sea and threatening the survival of coral reef off the coast of the Gulf state. “There are bricks and broken concrete blocks on and around the reef and because of this [parts of the reef are] no longer blue and orange and different colours but they are grey and dying,” Bahrain-based environmentalist Ben van Hoogan. Van Hoogen is organising clean-up drives to remove the rubbish from the sea bed.
INDUSTRY
Rubber industry on rebound Rubber World Industries, maker of building insulation ‘Gulf-O-Flex’, is to aggressively
Amount in US billions of debt maturing throughout the GCC in 2012.
22
Percentage drop in Dubai rental prices over since April 2010.
JUNE 19-25, 2010 CONSTRUCTION WEEK 15
COMMENT
STUART MATTHEWS
Fight gets dirty
T
HE ONGOING COURT BATTLE OVER THE
Chelsea Barracks project in London has got dirty. The Emir of Qatar’s name was first dragged into the legal dispute in May, over his alleged involvement in the decision of developer Qatari Diar to pull plans, for what would be the UK’s most expensive housing project. Qatari Diar, a partner in the Chelsea Barracks project, is being sued by CPC Group for breach of contract. CPC was founded by Christian Candy, one half of the successful British developer Candy & Candy. The basis of the suit is Christian Candy’s belief that the Prince of Wales persuaded Sheikh Hamad bin Khalifa al-Thani to block the plans, in a letter written in March last year. Candy claims a meeting between the two men sealed the opposition to the 650-apartment modernist project, with the Emir contacting the developer soon after to express his displeasure at the project. “It was only the intervention of His Royal Highness the Prince of Wales that put the planning application in any conceivable doubt,” said Candy in his testimony. More recently, accusations of lying have been heard in court and an active public relations machine is now in action, spinning the CPC side of the story to international media. According to reports in the British press, Anthony Grabiner QC, representing Christian Candy, said in court that executives at Qatari Diar knew that the Emir had influenced the decision, but had given evidence that the decision to pull the planning application had other causes.
16 CONSTRUCTION WEEK JUNE 19-25, 2010
Grabiner went on to be very direct, as reported by the BBC: “All those witnesses lied to your Lordship [the judge] when they gave evidence.” With great immediacy the PR firm representing CPC, London-based Brown Lloyd James Financial, sent round the BBC story to the international media. Also included was a skeleton outline of CPC’s written submission to the court. Apart from the efforts of Qatari Diar’s lawyer, Joe Smouha QC, to refute the accusations in court – describing them as ‘totally unjustified’ – the firm has remained silent in response. This is unlikely to deter CPC from a publicity drive to justify its court action. The company bought the Chelsea Barracks plot in February 2009, paying the British Ministry of Defence an estimated £959 million (US $1.4 billion), with help from the Qatari government. It is now suing Qatari Diar for £80 million ($118 million), despite the project's construction value being estimated at £30 million ($44 million). Correspondents to constructionweekonline.com have noted that, under the circumstances, this seems churlish. “It's a bit much to be suing Qatari Diar for £80 million when the project (the actual construction and plotting) is an estimated £30 million,” said one. “How can you sue someone for breach of contract on a project you were somewhat forced to halt by the Prince of Wales?” It seems Qatari Diar has two choices. It can remain justifiably silent, since the issue is still before the courts and the company will likely seek to avoid a publicity street-fight in the British press. Or it can take the gloves off and fight back.
SHAUN CURRY/AFP/Getty Images
Qatari Diar faces trial by both the media and the UK court system, as CPC starts publicity battle over Chelsea Barracks
London’s Chelsea Barracks is the development under dispute.
More recently, accusations of lying have been heard in court and an active public relations machine is now in action.
COMMENT
GERHARD HOPE
In hot water Why are we wasting so much electricity on water heating when solar is the way to go?
T
HE NEWEST SUPERLATIVE FOR THE
MENA region is Abu Dhabi’s announcement it is building the world’s largest concentrated solar power (CSP) plant. The figures are suitably impressive: a total investment cost of AED 2.2 billion, and a 2.5 km2 solar field of 768 parabolic trough collectors in the desert at Madinat Zayed. Yet at the end of the day, one has to bear in mind that Abu Dhabi has set a relatively modest target of generating 7% of its total electricity needs via renewables by 2020. Not to mention that the cost of producing electricity from Shams 1 will be three to five times the average cost of producing electricity from natural gas. It seems that Shams 1, which will take two years to construct, is one of those ‘iconic’ projects so beloved by the region. These ‘statement’ projects are the last word on a particular topic, the construction industry’s equivalent of a ‘shock-and-awe’ tactic. Shams 1 is ten times the size of the PV array at Masdar, lauded at its launch as the largest in the MENA region. However, the significance of the project was overshadowed when tests revealed that the dusty climate reduced the efficiency of the panels considerably. Clearly one of the aims of Shams 1 is to restore some of Masdar’s tarnished glory as the region’s leader in renewable energy. 18 CONSTRUCTION WEEK JUNE 19-25, 2010
While Shams 1 is impressive and cuttingedge, it is nevertheless a long-term project, as is the region’s nuclear ambitions. Of more immediate concern – and, indeed, excitement – is what is happening in the solar energy sector in the UAE as a whole, which offers tremendous opportunities to the MEP industry, in turn. It is estimated that there are anything from 30 to 50 companies offering various ‘solutions’ at present. Most of these companies are new entrants, having appeared on the scene within a few brief years. (One is reminded of the old Wild West frontier of the US, where gold-rush towns found themselves besieged by prospectors. Except now the new gold seems to be sunshine.) Unfortunately, the bright potential of the solar energy market has been somewhat dimmed by cheaply-imported, inferiorquality products that seem to break down as often as the sun shines. This has made it difficult for reputable suppliers to make inroads with more expensive, but far better quality, systems. Another serious problem is a lack of integration expertise and installation certification – these are both areas where the MEP industry can make a significant contribution. Of particular interest to the solar thermal sector is the news that Dubai’s new ‘green’ building regulations will stipulate that solar
water heating systems must be installed to provide 75% of domestic hot water requirements. Not many people realise that water heating is one of the major consumers of electricity in the region. If you look at large users like hotels and industry, the costs are even more significant. A solar thermal collector can exploit up to 70% of the sun’s energy, whereas the average sunlight-to-electricity conversion rate of a PV collector is only about 12%. Not only are the space requirements far less, but solar thermal collectors are also about five times cheaper than PV panels. Thus this niche renewables sector has a bright future, and also stands to make a contribution to energy savings and resource efficiency. To those who question why we need hot water in the desert – well, there is a lack of awareness about solar water heating in general. Everyone expects piping hot water, even in winter, and gives little thought to the energy wastage of electric heaters. (One major MEP consultant said he believed hot water should be designed out of public restrooms, as it is a an utter waste). So while major projects like Shams 1 get all the attention, more immediate energy savings will be through individual actions and choices. Which is food for thought the next time you have a hot shower. Gerhard Hope is editor of MEP Middle East.
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LETTERS guidelines, it just depends on whether or not the individual projects implement all of the precautionary measures addressed by the LEED rating guidelines. ARCH AHMAD, VIA EMAIL
RE: Corporate manslaughter to take effect in the UAE
RE: Saudi to adopt summer midday work ban in 2011 Saudi Arabia is a big country with variable climates; it should specify the names of the cities where the new law should be applied. There are cities where even three hours rest will not be enough; say from 12 noon to 3pm, because the sun's heat extends even up to 5 pm and the real heat starts from 10 am. Whatever the worker will save by this new law it will not make much difference; after all, he still has to work eight hours daily. What about in Kuwait? The summer heat jumps up to 60 degrees centigrade in the shade, not to mention the sand storm almost every day. STEVE ARZOUMANIAN, VIA EMAIL
RE: Sustainable by design The onus is not only with the designers and builders complying to LEED and sustainability demands, equal contribution from the manufacturers in terms of research to come up with products that can meet the energy efficiency, sustainability and environment friendly criteria is also the need of the hour. SHARATH G, VIA EMAIL
RE: Saudi diversification vital for Emaar says chief Saudi Arabia is in no need of luxury apartments and 100 storey towers. Emaar should 20 CONSTRUCTION WEEK JUNE 19-25, 2010
stick to the Economic City while its tail is still between its legs. Saudi Arabia is taking care of its people and Emaar seeks to profit. For a company that laid off most of its Saudi staff last year, it couldn't care less except to make money. As for its high quality of construction and standards; those standards are quite lacking from what I've seen so far in Saudi Arabia. HUSSAIN, VIA EMAIL
RE: LEED buildings are 'unhealthy', says report LEED ratings has a specific category for Indoor Air Quality
under the Indoor Environmental Quality which controls and sees all the contaminants/ Pollutants that affects human health indoor and outdoor. They don't allow compounds like the Volatile Organic Compounds, which are usually used in sealants, paints, aerosol, wood and other materials, to exceed the required minimum requirements. Sustainable design prioritises from pre-construction to post construction the healthy environment intended for the workers and the future tenants. You can read it all in the LEED
Well, good for the workforce if the regulation comes in force and enforced by the authorities. However, please be reminded of the logic and comment from a very senior official (with powers) that "if there is some malpractice with accounts in any company, the person who will be questioned is the accountant. Similarly if there is some safety problem, the person who should be questioned is 'the safety officer' and that's why he has been hired!" The change should come from top and then cascade down. But that doesn't mean that we should wait for these guidelines to become a legal obligation. CEOs should not forget their moral responsibility to protect the workforce by providing a safe workplace. JK, VIA EMAIL
RE: Saudi to adopt summer midday work ban in 2011 Why delay it a year? What do companies have to do to prepare? It's quite simple. Down tools for an hour. What they are actually saying is, this is needed to provide a safe working environment. So for the next year, it will not be safe. DHARIK, VIA EMAIL
To submit a letter, write to editor@ constructionweekonline.com or by post: Construction Week, PO Box 500024, Dubai, UAE. Please provide your full name and address. Letters may be edited for space and style. Submission constitutes permission to use. You can also log in to www. ConstructionWeekOnline.com to join the conversation.
ANALYSIS
Infrastructure and the Egyptian investment environment Osama Saleh, chairman of Egypt’s General Authority for Investment (GAFI), reviews his country’s investment in infrastructure
W
HY IS INFRASTRUCTURE SO
important? This question is frequently asked ahead of any significant decision to invest. From GAFI’s point of view this question can be easily answered. Basic physical infrastructure such as roads, railways, ports and water treatment stations enable our economies to function and attract further new investments. With the need to build sustainable, knowledge-based economies, infrastructure has taken on a wider social context creating jobs and new potential for business growth. Consequently, infrastructure projects relate to the development of large centers for medical advancement, IT clusters and Technology Industry Centers, in addition to modern business centers for future global business leaders. These modern industries grow as a result of a strong infrastructure and help drive economies forward. In Egypt, we believe that infrastructure is a crucial component of a successful modern economy and therefore we have placed infrastructural improvements at the center of it. Infrastructure provides the arteries which sustain modern economies – helping them grow and encouraging outside investments. Upgrades and improvements to transport links between the main centers of commerce in any country lay a sound platform for the blossoming of human 22 CONSTRUCTION WEEK JUNE 19–25, 2010
Strong infrastructure helps drive economies forward, says Osama Saleh, chairman of GAFI.
talent, our greatest natural resource. Accordingly, in addition to new roads, railways and water stations, our focus is on building new special economic zones (SEZones), such as the North West Suez Canal SEZone and giving human capital the opportunity to flourish in and around the Upper Egypt-Red Sea Road. Current infrastructure projects in Egypt cross many economic sectors and offer unique investment opportunities based on attractive public-private partnerships. This model, hugely successful in the past, enables private investors to become active participants in the country’s largest and most important projects. Our road-building initiatives exemplify the opportunities on offer, and aim to accommodate more vehicles and also make the whole country more connected, providing vital transport
links between different regions. One major infrastructure project is the Upper Egypt-Red Sea Road, which will run 414 kilometres from Sohag to Safaga Port and will link central Egypt to the coast. To date, some US $764 million has been invested in diversified investment projects along the route, which will cut travel time from Upper Egypt to the Red Sea to just three hours by car. Major investment opportunities exist all along the route and include centers for mining, cement and metal industries as well as for environmental tourism, the building of an industrial-agricultural complex and three dry ports. To provide housing and accommodation for the growing population of Upper Egypt, a new urban communities project will result in the construction of 11 urban areas.
ANALYSIS
KHALED DESOUKI/AFP/Getty Images
For upto the minute analysis log in to constructionweekonline.com
Egypt's project opportunities In total, there are 47 projects in the public utilities and infrastructure sectors in Egypt worth $25 billion, which provide ample scope for foreign investors to work in the country, sharing their expertise and knowledge on sustainable long-term projects. Investment opportunities abound in the active projects and include work in sectors as diverse as: • Roads • Special Economic Zone – North West Suez Zone • Railroads • Sewage Plants • Developing Technological Industries • Medical Cities • Completed Development Projects in Southern Egypt and the Red Sea • Integrated Civil and Commercial Centers • Ports • Water Plants • Tourism Development
These urban areas will provide sustainable housing, improve the standard of living and provide good healthcare and educational facilities. Put together, the Upper Egypt-Red Sea Road and the investment projects along its route will allow the region to retain key workers and create thousands of new jobs. The Upper Egypt-Red Sea Road complements other road-building schemes in Egypt. In and around Cairo, the 34 km Rod El Farag-6 October Highway connects the Rod El Farag District of Cairo with the Cairo-Alexandria desert road. With an investment cost of $1.09 billion, the road will ease congestion and provide quicker transport links from the capital to Egypt’s second largest city, Alexandria. A regional ring road is also being constructed to connect east Cairo with the west of the city. These road projects show that the
government is committed to improving local infrastructure. It is important to note that GAFI, as the inward investment authority of the Egyptian government, works in partnership with private investors who bring capital, expertise, quality assurance as well as enormous experience in managing large-scale logistical projects. Without them, it would have been almost impossible for Egypt to have attained such consistent growth in the past five years. Importantly, by strengthening the Public Private Partnership ‘PPP’ model in 2006 we created the legislative and institutional framework to facilitate major PPP infrastructure projects and the contribution of the private sector has diversified into other construction projects such as schools and roads as well as water and wastewater operations. The development of the North
West Suez Canal Special Economic Zone (SEZ) underlines our ambitions to become a key hub for international markets. The North West Suez Canal aims to capitalize on the trade opportunities provided by the Gulf of Suez in an area of 6.8 km² around Sokhna Port. Investors have been invited to manage, operate and maintain the infrastructure and utilities of the zone where total investment will reach $ 1.45 billion, with Chinese company TIDA already contracted for developing Phase One of the project. Improved infrastructure will leave Egypt better placed to compete in the global market for FDI and will create a strong legacy of success. Both GAFI and Egypt are committed to providing support and the best environment possible to potential investors in infrastructure. JUNE 19–25, 2010 CONSTRUCTION WEEK 23
ANALYSIS
Top of the glass Market leading products and cutting edge technology has elevated GCC-sourced glass to the top of its game. Carlin Gerbich reports
OST BUILDING COMPONENTS
M
are designed to do their job and never be seen. Plumbing, wiring, steel reinforcement and even concrete itself is usually buried beneath layers of plaster, rendering, carpet and tiles, and is only seen again when the building is refitted or torn down. But there’s another major component that most people see every day and that they never give a second thought to. Without glass, however, modern high-rise living simply wouldn’t be possible; stunning vistas from height would only exist in nature and we’d all be living and working in rather dark, uninviting buildings that offered little natural light. Glass has transformed the way in which the world builds and lives. Without glass, 24 CONSTRUCTION WEEK JUNE 19–25, 2010
skyscrapers would be imposing, bricked in monoliths. Glass has made it possible to achieve the impossible. Huge glass curtain-walled facades dominate every major city skyline around the world, monuments to architectural excellence and huge advancements in engineering and manufacturing capabilities during the latter half of the 20th century. Glass has not only made it possible to reach unimaginable heights, but it has given us the chance to enjoy the view while we’re there. With so much construction going on the in the GCC, glass is also big business in the region. In the UAE alone, Glass LLC – the corporate arm of Dubai Investments PJSC – runs four wholly owned subsidiaries that represent a combined capital of AED 400m and investments of AED 1.1bn. Each company, Emirates Float Glass, Emirates
Glass, Lumiglass Industries and the Saudi American Glass Company, supply to the construction industry, and each report positive growth throughout 2010, which has surpassed expectations. “Dubai Investments formed Glass LLC as a holding company of the Glass entities to leverage synergy from its many glass business initiatives to deliver the best of products and services to the customers in the region,” said Khalid Kalban, managing director and CEO, DI. “Ambitious investments in the range of AED 2 billion are planned for the next four to five years under the aegis of Glass LLC to realise the envisioned growth,” he added In fact, just this past week, Dubai-based Lumiglass Industries announced that it had nearly doubled its production capacity of laminated glass with the installation
ANALYSIS For upto the minute analysis log in to constructionweekonline.com
Glass constituents In a region surrounded by deserts, the GCC's supply of quartz sand (silica), the main raw material for commercial glass production, is plentiful.
Silicon dioxide 73% Sodium Oxide 13% Calcium Oxide 8% Magnesium Oxide 4% Others 2%
Silica producers Statistics show just how much silica is produced annually. 30 Thousand metric tonnes
25
20
15
Spain
USA
France
India
5
Germany
10
Egypt
upgrade of equipment and facilities, allows us to produce and supply a wide selection of high-performance laminated glass to customers around the region,” he added. Lumiglass also recently announced that it had tripled its bullet resistant glass (BRG) capacity by adding two new automated glass bending furnaces. Lumiglass says the demand for BRG had risen as a result of the company had rapidly expanding its client base – and that the glass was ideal for both architectural and automotive uses. Emirates Float Glass, another subsidiary of Dubai Investments PJSC, last year opened its new, state-of-the-art $200m 320,000m2 factory in Abu Dhabi – and has plans for a second one in the city over the next few months. The plant was built with technological assistance from US-based PPG Industries, and produces 190,000 tons
Australia
of a state-of-the-art pre-laminating unit from Benteler AG, the Germany-based global automotive supplier. The machine is the largest of its type in the region and now means Lumiglass can produce up to 35,000m2 of laminated glass per month. “In adding this state-of the-art machine to our equipment line-up, Lumiglass increases its laminated glass capacity by almost 100% at a stroke,” said Sultan Al Zarif, general manager of Lumiglass Industries. “The new machine will help us meet the rising demand for laminated glass, and allow us to boost our competitiveness by delivering superior quality, low-emission laminated glass products.” “At Lumiglass, we always seek to be at the leading edge of glass development in the Middle East. Our strong focus on innovation, coupled with our constant
0
JUNE 19–25, 2010 CONSTRUCTION WEEK 25
ANALYSIS
of glass for construction and the automotive industry annually, exporting products to more than 35 countries throughout the GCC, South America, Europe, Australia, Far East Asia and Africa. The second plant will double EFG’s output to 1200 tons per day, making the company the region’s largest single-location float glass manufacturing facility. Float glass, or Pilkington glass, is made by pouring molten glass in to a bed of molten metal, usually tin or other low melting point alloys, which produces exceptionally uniform sheets that have tremendous strength. Once laminated, float glass is able to resist extreme weather, human impact, burglary and forced-entry, firearm attack and explosions, and has a remarkable ability to stay intact, and to continue its protective role, even when broken, making it perfect for curtain wall construction and automotive uses. Emirates Glass, another subsidiary of Glass LLC, was established in Dubai’s Al Quoz area in 1998 to market its EmiCool range of high performance, energy saving, reflective coated glass products. Since then, the company has poured more than AED100m in to the expansion of its coating facilities, increasing capacity to more than 3.7 million m2 of flat glass annually. The company’s main focus is glass coating, which is designed to reflect light and cut down on the heat entering glassfronted buildings. To do this, Emirates Glass uses a combination of silver, tin, zinc, chromium, titanium and stainless steel and applies it in ultra-thin layers to change the colour and reflectivity of the glass. Emirates Glass says this provides tremendous solar control and thermal insulation (when used in double glazing) to minimise heat gain in buildings, and helps to reduce energy costs in summer. The company’s range of products includes 11 different colour substrates and 11 different coatings with light transmission ranging from 3% to 40% for solar control glass and 20% to 73% for low emissivity coating. Its products have been used throughout the UAE and GCC, most notably on the Index Tower, an 80-storey mixed-use residential and retail tower complex developed by Union Properties at the Dubai 26 CONSTRUCTION WEEK JUNE 19–25, 2010
3.7
Amount, in million square metres, of coated laminated glass that Emirates Glass can produce annually.
40,000 85m
Square metres of glazing used in the Dubai International Financial Centre.
Amount, in Saudi riyals, of sales anticipated for Saudi American Glass in 2010, up from SAR65m in 2009.
1.1bn
Amount of investments represented by Glass LLC's four constituents.
International Financial Centre (DIFC). The project required 40,000m2 of SoLite Neutral 52/29 high performance glass. Emirates Glass also supplied 10,000 m2 of its EmicoolSun NN35 green glass for the Emirates Telecommunications Corporation – Etisalat Tower project in Dubai. Saudi American Glass project sales manager Nizar El Saadi said business in the Kingdom was also encouraging. With several key contracts secured in Riyadh – including the two tower projects in the city, plus the supply of coated glazing to the King Abdullah Financial District and the King Abdullah University, Saadi said his order books were looking up for the year. “We normally sell about SAR65m every year, but I think this year we are looking at more like SAR80-85m, which is very good,” he said. “There are a lot of projects going on in Saudi at the moment, a lot of contracts are being awarded and a lot of big projects that need our products. It’s good to have a lot of work on,” Saadi added. Saudi American Glass is the fourth of Glass LLC’s current collection of specialist companies. Its production plant in Riyadh’s industrial area buys in its float glass stock from sister company Emirates Float Glass, and completes the coatings to local specifications. “We’re the biggest company of our type in Saudi and the only glass coating operation in the Kingdom – so we’re aware that we need to remain ahead of the game. It’s a competitive market, and there is always pressure from outside the region to come in and take over.” “I think that has changed with Dubai going through the tough times. We were looking at markets in the UAE too, but I think it’s best we stay focused on our own area. There is a lot going on and a lot coming up that we want to be involved with,” he said. Saadi’s self-advice seems salient, but with the glass industry in both the UAE and Saudi Arabia looking buoyant for Glass LLC’s four companies, and with additional company expansion expected over the coming years, it seems prospects for the future of the glass industry in the Gulf look bright.
FACE TO FACE
THE PEARL IS HIS OYSTER As more milestones are met for the construction of Dubai Pearl, the company’s founder and CEO explains the evolution of the design and the future in which the project will take its place By Ben Roberts
D
UBAI
PEARL
HAS
UNDERGONE
MORE
CHANGES
reviews than perhaps any other big project in the region, at the same time riding the wave of fluctuations in the wider industry. A partial building, a demolition, an overhaul in design, two contractors, an ambitious grid system and a prime location make for one of the most interesting tales in the global construction industry. Big alterations in projects have occasionally signaled difficulties financially, or with investors – and with the latter of these there have been some notable issues. But by June 2010 the site has reached its most striking chapter by staying on track and thriving as the industry regains a stable footing. After reaching successful milestones in the foundation work last year, both developer and contractor are buoyant. The maroon signs on Sheikh Zayed Road indicating Dubai Pearl are a kind of herald to AND
28 CONSTRUCTION WEEK JUNE 19–25, 2010
the future presence of the site, and the company is keen to emphasise its prime spot. Its first selling point is that the Palm Jumeirah can be seen by residents, which is known not to be the case for those who actually live on the man-made archipelago. Indeed, even residents on the ground floor of the four towers in the centre of the project will have a good view of its striking outline, being in fact on the sixth floor above five floors of parking. The issue of parking was central to the redesign, explained Santhosh Joseph, CEO and founder of the Dubai Pearl company, and indeed to a degree became representative of the changing priorities of the project. “The original design was nine towers with a shopping mall in the middle, each was built from the ground, it was not a grid or on a car park up to level five, so the number of available car park spaces was a lot less.
FACE TO FACE
JUNE 19–25, 2010 CONSTRUCTION WEEK 29
FACE TO FACE
"Everyone is now sticking to core objectives, things are shifting back to core values and strengths" “In the redesign Tecom demanded car parks, as it is a mixed use development, commercial space, retail space. We needed to provide 12,000 spaces as per regulations – we provided an additional 20%.” The current project will see 15,500 spaces. A need for a “grand arrival”, too, for all motor based visitors, created the five-stories-from-ground-level concept. “You don’t want to be driving into a car park when you enter Dubai Pearl and then have to find your way to a first level. That is not a premium development, so in the redesign it is set on a grid system.” Now, cars will be able to pass through the middle of the circular complex, but the residential and entertainment hemispheres either side will be totally pedestrianised – a distinctive element of the project. “One of the big challenges in Dubai is finding a place to park your car. The beauty is that it will be 100% pedestrianised, there are no vehicles allowed across the podium level.” Residential space had sold up quickly during the boom years, and of the 1,445 homes in the 73-story towers, 95% were sold. But at the beginning of this month it was revealed that some investors were given a 40% cut to the price of apartments bought at the height of the market, at the same time changing the split between office and residential space. Joseph explains that the ability to offer the reduction came about based on a repricing of the construction cost of the project following renegotiations with the contractor. He has earlier been quoted as saying this was a reduction from nearly AED9 billion down to AED7.4 billion. “What we’ve done is renegotiated with contractors and the money from the saving we passed on to the customers who bought at the peak to bring them more in line with those who bought before the peak. “This was achieved on done on a pro rate basis. We repriced the project to get to a me30 CONSTRUCTION WEEK JUNE 19–25, 2010
Tower1. Even residents on what will be the ground floor above the parking will have a good view of Palm Jumeirah.
dian across the customers. What we didn’t want is a situation where someone’s paid 1,000 per square foot and someone who’s paid 1,500 per square foot. We took the savings achieved from the contractors and applied that across the board so everyone is almost at the same level.” The project is now split as follows: retail takes up 15%, hotels 19%, and residential and offices taking up 42% and 24%, respectively, a shift from the 33% each type of occupancy had before. The changing percentage of office space and residential space, based on a changing market, provokes a deeper line of thought for the two executives on supply and demand, and Dubai Pearl’s place within it. Joseph points out that Dubai last year saw an influx of 168,000 residents, around 9% of the population. “If you look at the total number of units being supplied in the next four years it will be less than that,” he says.
45% 2003
percentage of the project that will be landscaped
year that the project was launched; ten years later it is scheduled to be finished
6 million 47,000 the sales value of the project in $US
the number of jobs that will be created in the project's creation: 12,000 in construction, 35,000 for other services
FACE TO FACE
THE LOWDOWN The project that would survive the crash
Work continues apace on site. The percentage of office and residential space has changed in line with market conditions.
“What happened in 2008 was that there was a huge shortage of homes and rentals, and the offices rents were very high. Today the demand is not the same as 2007, it couldn’t last. Maybe by 2014 the supply will have been absorbed, because for 2014 to 2017 there are no supplies planned. “What happened in 2007 or 2008 could not be sustained for very long. It’s not just a real estate issue, it was economic. A couple of years ago the focus on development shifted to just one sector of real estate. I’m sure in the coming years it will come back. If you look at the business parks and free zones and the latest things coming up in Dubai, it’s unmatched in the world [especially] if you look at Media City, Silicon Oasis, Studio City, Internet City, Healthcare city – there is a huge amount planned.” He adds that developers who might have moved further into real estate during the boom years, or real estate developers that
accrued many non-core assets, were now reexamining their business models. “Everyone is now sticking to core objectives, things are shifting back and focusing on core values.” Dubai Pearl nevertheless offers a breadth of services and opportunities. “Dubai Pearl is a real estate venture development... whether you talk about office space, retail, hotels, entertainment. It is in a true sense mixed use, completely integrated.” Joseph adds that there will be a tram system that will link to the Metro. A big question mark for Dubai Pearl concerns the AED100 million island it bought in 2008 that formed part of the Siberia section of Nakheel’s infamous The World project. Joseph says management has yet to decide on the future of the island, known as ‘Archangel’. “We’re not decided as to the plans for that,” he says. “We’re looking to create that as the beach access for Dubai Pearl. [Now] the plan is to complete Dubai Pearl.”
Dubai Pearl is seven years in the making, conceived in 2003 when the emirate’s property market was on its world-beating ascent. The project was launched by Qatar-based Omnix Group, with the Technology, e-Commerce and Media Free Zone (Tecom) in the heart of the Tecom area as a ‘self-contained community’ at an initial cost of AED3 billion. The original nine towers contracted to Arabtec were a statement of intent to providing the best view of the Gulf in a central location. Since, investors of almost 40 nationalities flocked to the site, tempted by views of the ethereal Palm Jumeira development. Delays to the project caused master developer to Tecom to turn the whole project on its head, halting what work had been started, selling the project to the Al Fahim Group in Abu Dhabi, and re-examining what exactly could make the 6.096 million m2 area unique – and sustainable, in every sense. By October 2007 Pearl Dubai FZ LLC, a company owned by the Al Fahim Group, was in charge of the project, swung a wrecking ball at the few floors that had been built and set about making the redesign a reality. In November 2008 Al Habtoor Leighton Group was confirmed as the new contractors, beginning construction in the following February. 2009 saw the consecutive completion of the raft pouring for all four of the towers. Dubai Pearl was designed by German architect Professor Peter Schweger of Schweger Associated Architects. The pioneering columnfree design will create 20% more useable space than the standard in the region, the company says. Al Habtoor Leighton Group recently announced that it had opened its doors for tenders for the mechanical, electrical and plumbing (MEP); aluminium and glazing (façade) work on the project. The process is scheduled to be finalized by 16th September 2010. JUNE 19–25, 2010 CONSTRUCTION WEEK 31
ON SITE
HOURS ON THE TOWERS The four rectangular towers are just a floor or two apart in terms of construction progress.
32 CONSTRUCTION WEEK JUNE 19–25, 2010
ON SITE
Grand ideas After meeting foundation work milestones last year, Dubai Pearl can forge ahead in 2010, with several building innovations along the way By Ben Roberts
D
UBAI PEARL IS WELL SIGNPOSTED
for about half a mile around the site along Sheikh Zayed Road and the ringroads and has been for some time, something amounting to a visible anticipation for the extraordinary mixed-use project. Reaching the site is still something of a challenge for the uninitiated, as each maroon sign on the side of the road eventually leads to a road block. But from above what is striking about the 6.096 million m2 site is the variety of development: a residential tower that has reached four floors, a square plot with freshly finished piling work, and lanes of winding roads in wide enough for vehicles to pass each other side by side. The project is encircled by a main road that will be equal in height to five floors. The centerpiece for Dubai Pearl is the four 73-storey towers that will be joined by a single roof top, known as Sky Palace. But unlike the average tower along the Financial District, each tower is rectangular, with the long sides of the outside towers 1 and 4 at a right angle to the coast line, and the inner towers parallel.
Residents will look out onto Palm Jumeirah and, to the left and right, Dubai Marina and the Dubai downtown skyline. To the north of the towers (closest to the Palm Jumeirah) will be four hotel and residential complexes, including one that will be branded by legendary French crystal manufacturer Baccarat. The latest incarnation by Las Vegas hotel Bellagio will also feature in the end project. The south will be the majority of the entertainment-based podium buildings, which will eventually include a 1,800seater opera house, retail outlets, a sports centre and another Las Vegas hotel, MGM Grand, and the Skylofts apartments. The project is nestled in between Dubai’s Media City and Knowledge Village, which gives the dual benefit of giving the eventual residents access to innumerable companies and entertainment venues, as well as acting as a demonstration for all those involved with the building what mega projects can achieve in the emirate. 2009 saw the completion of the piling and between August and November the raft pour for the four towers was completed, along with their necessary waterproofing. JUNE 19–25, 2010 CONSTRUCTION WEEK 33
ON SITE
“In the past one could only have a strata for a building in a vertical sense, so from the ground floor to top was one stratum. What we’ve now managed to achieve is to have different strata components within a building.” With the ground work complete the four towers are at a similar stage, though Tower 1 is ahead by two floors, closely followed by Tower 3. Syed Irfanullah Hussainy, senior vice president of programme management at Dubai Pearl, stands beside Tower 1 and explains that after earlier completing the shoring process for the perimeter of the site, the raft pour took as long as 30-36 hours straight. “That was a huge process,” he says, “with 2,500 tonnes of reinforcement.” The raft for Tower 1 was 3.5 metres in total, most of it below ground level. At the edge of the raft are the columns for the building, with a ‘core’ wall a few metres in to take the majority of the weight of the building. That the columns are on the outside will be important for the interiors of each space, particularly those designated for office use. “With the columns on outside of the building you have a beautiful apartment or office,” says Wayne Holder, executive vice president for sales, marketing and client relations at Dubai Pearl. “It in some ways makes it easier if you’re putting in flooring, as you don’t have to stop and start every time you have a column and you need to cut the tiles accordingly. It would suit tenants such as drafting companies, he adds, who may require a lot of natural light. Further, a company can rearrange their entire interior layout easily without columns in the way. To build the walls and pour the concrete into them the company uses jump form, a jacking system allows the entire assembly 34 CONSTRUCTION WEEK JUNE 19–25, 2010
to be raised to the next floor level using one operator to elevate the entire system. The wall form is thus ‘jumped’ from one lift to the other. The system is supported by the lower lift of concrete and forms are released and stripped after the concrete has cured. Embeds are provided in the concrete to receive the form system when it is jumped up to the next floor. This is opposed to slip form, where concrete is placed continuously in side form which moves at a set rate and forms are not removed but slip over the concrete which can support itself by the time it is out of the form. This core wall will take 1,400 tonnes of weight, says Husseiny, and the jump form technique optimises time. “We will pour on the 14th and 16th of June,” he says. The outer casing of columns have ‘nibs’ running across the top, upon which the precast slabs that run between the outer wall and the core wall will rest. “In some areas we have used in situ casting, in other areas the pre cast. For the sink slab – needed for the building’s drainage among other things – you will need casting in situ. The mechanical work will be particularly important. The buildings will have an optimised façade, with glass that will meet the requirement of green building standard.” At Tower 3, adjacent to Tower 1 and the closest, Husseiny explains that their work on the core wall is just a little below that of Tower 1, which is the most advanced. “We are progressing from towers 1, 3, 2 and 4, in that order, but we have electricity in all of them already.” Health and safety signs and
ON SITE
GOING UP IN THE WORLD The contrete pour for the inner wall is aided by jump form.
related equipment is abundant at the site, and all along the towers and along the roads in which vehicles can pass there are walkways marked with dark green netting along with concise information: ‘Accidents do not just happen, they are caused’ says one. “Accident awareness is forming a greater part of HSE,” says Husseiny, “and the company is very particular about things like that.” At Tower 2 the concrete is poured, and Tower 4 is at an even lower level than the rest but nevertheless has the jump form system clinging to the core wall. Husseiny explains that, as the towers are identical as individual buildings, the 600-strong workforce can be moved around to the different towers when needed. This is opposed, he adds, to the oneoff towers elsewhere in Dubai, whose structures twist and lean. In every sense, he is looking up. “The beauty of this project is going to be its joint roof, the Sky Palace, and you can visualise what it will look like as a single platform. On the top there is space enough for a football stadium! The roof will be fabricated at podium level and then will be lifted up by different companies who will be contracted to do the job.” He adds that the main lifting company at the moment is VSL, “though we are not restricted to this company”. The project is aiming for Gold LEED certification, and the company had planned certain elements of recycling and sustainability early. Wayne Holder says that they have been working on an intricate strata system since 2008 to marry the diversity of the project’s contents with a sensible system of monitoring energy and material usage. JUNE 19–25,, 2010 CONSTRUCTION WEEK 35
ON SITE
TIME OF THE SIGNS The site has numerous HSE signs (left); there is a decent amount of space between towers (centre); the gap between the towers' columns and their 'core' wall.
“From an environmental point of view, what is really important for us is that we’re not going to be building Dubai Pearl and then disappear into the sunset,” he says. “The company will be attached to this project forever. We have asset in the project we’ll retain from an investment point of view and management in the building for the strata system. “In the past one could only have a strata for a building in a vertical sense, so from the ground floor to top was one stratum. What we’ve now managed to achieve is to have different strata components within a building. So you can have a residential space and office space that are two separate strata communities.” He adds that this is the same for buildings which contain both residences and hotels, as the two will have very different levels of energy and material consumption. “It would be very unfair to couple the hotel and the 36 CONSTRUCTION WEEK JUNE 19–25, 2010
residences, as the hotel will have higher usage of water and electricity, for example. “So we were able to put the hotel within its own stratum. When you design a building if you don’t incorporate these things early it becomes a disaster.” Holder explains that plans for the building’s facilities management had been drawn up at an early stage – and with the ground work of the towers done one suspects the practical application will begin. Regarding LEED, he explains that there is a degree of a company’s own initiative beyond the standard’s prescriptive targets for Gold certification. “There are certain elements in our programme – such as standards for the quality of the air in the buildings – which are not necessarily taken into account in the LEED programme. So while Dubai Pearl is Gold status there are a lot of things we will be including which are ahead of the pack for things such as air conditioners, which to us are re-
ally important – you need the right filter and extractor, and make sure the air is properly recycled. So these things we worked on to make sure that while it is Gold standard, it is Gold plus a number of other things.” Separately, Abdul Majeed Ismail Al Fahim, chairman of Dubai Pearl, tells Construction Week, that although the world’s best new destinations typically go through challenging market cycles during the initial stages of their evolution, “history has shown that the best-designed, highest-quality developments are the ones that ultimately succeed.” “In general, investor interest in Dubai is on the rise and confidence is expected to return in the real estate sector,” he adds. “International investors will a play an important role in Dubai’s resurgence and the emirate’s status as a sought-after business and leisure destination will continue to ensure the long term sustainability of Dubai and the developments within it.”
ON SITE
500m 6.096 1,400 500
Pearl Investment sum for 10 new hotels in the Gulf and India
The number of million metres square of the whole site (20 million sq ft)
Weight in tonnes supported by the 'core' walls
The number of residences pre-sold.
Regarding the balance of supply and demand within which the building of Dubai Pearl exists, he says that although there will be an oversupply at the lower end of the market, there are very few luxury products being developed at present. “By the time Dubai Pearl nears completion, we believe that we will have entered a market on the upturn.” The stabilisation of prices at residential areas such as Palm Jumeirah and Jumeirah Islands, he adds, is also encouraging. “Dubai has seen sustained interest in high-end developments from domestic and overseas buyers and we are aware that international buyer appetite for prime real estate opportunities is increasing. “To date we have pre-sold more than 500 residences to high net worth individuals from over 40 different countries around the world, from Asia and the Middle East to Europe and North America. This accounts for 95% of the
stock released so far at Dubai Pearl, confirming that there is strong global demand for the best international developments.” He reminds Construction Week of the strength of the group regarding the continued success and appeal of the project. “Dubai Pearl is backed by one of the UAE’s most successful family businesses, Abu Dhabi’s Al Fahim Group,” he said. “The consortium of investors has a 50year track record that includes the delivery of major real estate, hotel and hospitality projects, so Dubai Pearl has very experienced backers. “Dubai’s future as a lifestyle, leisure and business destination will continue to rest on its provision of top quality property, world class amenities and high-end brands. Dubai Pearl will set a new standard for development in Dubai and will deliver a sustainable and enduring location where people will live work and play for generations.” JUNE 19–25, 2010 CONSTRUCTION WEEK 37
GREEN BUILDINGS
Green buildings CW asked five green building experts to nominate their favorite green building in the Middle East
S
a buzzword in recent years, and, to the uninitiated, the myriad ranking systems and acronyms can distract from the true purpose of green design – creating buildings that do not do more harm than good. Construction Week asked the people who spend their lives encouraging other to build green – the consultants, designers and experts – to pick a favorite. The result? Five fascinating local projects that, bar one, many of us will have never heard of. USTAINABILITY HAS BECOME A BIT OF
38 CONSTRUCTION WEEK JUNE 19–25, 2010
GREEN BUILDINGS
King Abdullah University of Science and Technology (KAUST)
20% Recycled materials during construction
Date of completion: 2010 Location: Jeddah, KSA In terms of green projects, KAUST is the latest darling of the architecture world. The development, designed by HOK architects, makes use of solar power, water saving measures and shading to achieve a LEED platinum ranking, the first of its kind in Saudi Arabia.
FAN ARCHITECT SULTAN FADEN, founder of the Saudi Green Building Council, Saudi Arabia.
WHY? “Despite Saudi Arabia’s extreme climate KAUST has been able to achieve a LEED Platinum ranking. “Not only will sustainable initiatives have an effect once the building has been finished, but also during the construction phase, with developers using 38% locallysourced and 20% recycled materials. It’s basically a great project, and one that paves the
way for many more in this part of the world – the fact that it has been built in Saudi Arabia is fantastic.” THE BEST BIT “The best bit for me is the chilled beam HVAC (heating, ventilation and airconditioning) system, which is the first of its kind in Saudi Arabia. A chilled beam HVAC is a system which uses cold water to remove heat from a
room, requiring significantly less energy than conventional air-conditioning. The plugs for electric cars in the car park are also a nice touch.” THE BIG PICTURE “KAUST has proved what architects here can do if they truly want to make a building sustainable. Its platinum rating creates a benchmark for up and coming LEED registered projects in the region.” JUNE 19–25, 2010 CONSTRUCTION WEEK 39
GREEN BUILDINGS
Charles Hostler Student Center (American University of Beirut) Date of completion: 2008 Location: Beirut, Lebanon AUB’s new student center, the Hostler Center is another example of universities taking the lead in green building initiatives and actions. Designed by VJAA, from Minneapolis, Minnesota led a team of local and international designers to create something that is going to be a part of campus life in Beirut for years to come.
FAN SAMUEL KEEHN, Environmental and Sustainability Manager at Energy Management Services, Int. (EMS), an energy efficiency and green building consulting firm located in Dubai, UAE and Amman, Jordan.
40 CONSTRUCTION WEEK JUNE 19–25, 2010
WHY? “The American University of Beirut is sited on an iconic location in one of the region’s most beautiful cities. The campus’s position, on the hill above the Mediterranean, has inspired both the students and the faculty alike for a matter of decades. “The project benefits from a number of the traditional green design features, including energy efficiency, water savings and water reuse, storm water infrastructure, displacement cooling, green materials and high levels of indoor environment quality.”
a comfortable temperature throughout the year.
THE BEST BIT “One of the most interesting aspects is the different strategies used to condition the building. Natural ventilation, using a well to the ocean as a heat sink, radiant heating and cooling, chilled slabs, and the use of excess steam all play a part in keeping the building
THE BIG PICTURE “With the Hostler Center, AUB has been able to create a user oriented and environmentally friendly project that will impact the thousands of students and facility who will use the space during its lifetime. “By creating something that people enjoy being in, the Hostler Center demonstrates to its users and operators that being green also means making sure that users are comfortable and happy, and thus continue to use the facility.”
GREEN BUILDINGS
Waagner Biro Labour Camp Date of completion: 2007 Location: Dubai, UAE The Waagner Biro camp has pioneered the use of engineered wetlands that are sustainable. These wetlands process sanitary effluent from staff as well as waste water from a car washing operations generating clean water suitable for reuse in applications such as garden irrigation, fresh water to fish ponds, PV panel wash-down, and car wash operations.
FAN CHRIS PAL, Director of Engineering Services, NORR Group Consultants International.
WHY? “The reason I would cite WBLC as our favorite example of a green project is because they continuously improve upon the initiatives that they have implemented. “They are completely off grid and potable water must be brought in at substantial expense. Their sustainability initiatives are successful examples of enlightened self interest where operating costs are reduced and quality of life for the facility occupants is improved. This is grass roots sustainability at its best and should be a lesson to us all in
garden combine to create a sense of peace and nature that is all too often missing from our urban lives.”
that actions speak louder than words. We should spend less time ticking boxes on checklists and more effort in achieving real and meaningful results.” THE BEST BIT “The best bit for me is the fish
pond that surrounds the main complex with the lushness of the greenery and diversity of life that is present there. Dragonflies and interesting insects, bird species not usually spotted in the city and a pleasant shaded vegetable
THE BIG PICTURE “When we think of the global issues that face us all, the problems seem insurmountable. “The WBLC is an example of the success that can be achieved when people think about what good can be accomplished within the local sphere of their personal influence. If we all act locally, we will be able to make a difference globally.” JUNE 19–25, 2010 CONSTRUCTION WEEK 41
GREEN BUILDINGS
FAN NICHOLAS LANDER, Senior Associate at Inhabit, an Asian engineering consultancy.
King Hussein Mosque Date of completion: 2009 Location: Amman, Jordan The King Hussain Mosque, designed by Dr Khaled Azzam, incorporates traditional architectural features found in Jordan and uses local materials, with the exception of carpets and chandeliers. It also used local craftsmanship, training Jordanians in various artisan skills to complete the construction.
42 CONSTRUCTION WEEK JUNE 19–25, 2010
WHY? “The great thing about it, I think, is the architecture itself. I understand Dr Khaled Azzam spent a lot of time touring Jordan to understand the dominant architectural styles, and applied those to this design, rather than dropping generic Islamic features in. This makes the building really fit and makes it a Jordanian mosque, instead of a mosque in Jordan. “That means it will last. And this is critical, and more important in a way than fancy bits of 'green kit', because if a building isn’t loved by its users it will get ripped down. Environmentally, the design is inherently efficient. “Thin and deep courtyards on each side of the prayer hall create a layer of cool air which is drawn through to high level openings in the vaults of the hall, naturally ventilating what is a rather deep space. Radiant heating is then used in winter to warm the congregation without warming the entire volume and local materials are used throughout.”
THE BEST BIT “The reason I think this building is such a great example of sustainability is not just the craftsmanship, but the fact that the artisans used for the project were trained locally and specifically for the project by Balqa Applied University’s Islamic Arts Faculty. “In this way local Jordanians gained valuable skills in a country where (official) unemployment is over
13%, and Amman gained a magnificent mosque.” THE BIG PICTURE “Sustainability is about more than just reduced useage of energy and water. It is also about buildings that endure and that give something back to society. The King Hussain Mosque is a beautiful building and addresses the social and cultural pillars of sustainability.”
GREEN BUILDINGS
FAN THOMAS BOHLEN, Chief Technical Officer at the Middle East Centre for Sustainable Development (MECSD) in Dubai.
ESAB Middle East Office and Warehouse Date of completion: 2010 Location:: Jebel Ali Free Zone- South, Dubai, UAE Designed by Pax-Kent International, constructed by Fars Al Mazroori Contracting, the new ESAB Middle East Office and Warehouse Facility in JAFZA and sports numerous sustainable technologies and systems, including a solar thermal cooling system, that will earn the project a LEED Platinum rating upon completion this month.
WHY? “The new ESAB building shows that even simple office warehouses can be designed and built sustainably, reducing their carbon footprint by reaching high levels of energy and water efficiency. “A solar thermal system, along with sustainable lighting techniques, result in a total energy reduction approximately 70% better than a conventionally designed office warehouse. “Other sustainable features include an on-site sewage treatment plant and low water use plumbing fixtures and landscaping irrigation. All together the project achieves a 50% reduction in potable water use within the complex.”
pre-cast, hollow core ceiling slabs of the office, providing cool air and radiant cooling. “The way this system is woven into the building structure is a great example of how early commitment by the stakeholders to sustainability can make for a great building.” THE BIG PICTURE “This project has proven that even industrial buildings can be designed, constructed, and most importantly operated to the highest current standards of sustainability. “It is not just the architecturally unique or iconic structures that can be made sustainable, but also the most utilitarian.”
THE BEST BIT “The best bit is the building’s solar thermal cooling system, which uses a roof-mounted solar tube collectors to provide hot water to six absorption units, that in turn provide cold water to air handling units on the roof. Cold air is then circulated through the concrete JUNE 19–25, 2010 CONSTRUCTION WEEK 43
ENGINEERING
#1
MILLAU VIADUCT Taking our top spot is quite frankly the worldâ&#x20AC;&#x2122;s most beautiful bridge structure. The Millau Viaduct was designed by Foster + Partners and completed in December 2004, after a three year construction period. Located in southwest France, the viaduct is comprised of eight sections, with lengths of 2x204 m and 6x342 m, and spans the River Tarn valley. A total of seven reinforced concrete pylons of heights between 78 and 245 m support the 32 m-wide steel superstructure, with its hollow box girders and the steel pylons carrying the stay cables. Structural engineering was done by EEG Simecsol and Greisch, with Eiffage Construction acting as the main contractor, and Peri providing the formwork.
44 CONSTRUCTION WEEK JUNE 19-25, 2010
ENGINEERING
ERIC CABANIS/AFP/Getty Images
The Greatest Engineering Feats of the last decade From Chinese dams to the worldâ&#x20AC;&#x2122;s tallest building, ingenious engineering has broken records and raised expectations around the world over the last decade. The Construction Week team has picked the 10 projects it thinks make the best showcase of engineering achievement
A
YEARS AGO, WHEN THE American Society of Engineers picked its seven wonders of the modern world, the list was dominated by projects on the American continents, with ďŹ ve out of the seven shared between north and south. But as the Construction Week team prepared a list of engineering projects we think constitute some of the greatest engineering achievements of the last decade, there was a notable shift eastwards. Three of the entries FEW
are from China, which has led the world in unbridled engineering ambition over the last ten years. Each one of the Chinese projects seems determined to defy the limitations of its natural surroundings, as indeed do many of the others. You might not agree with all the entries, or their ranking, but the ingenuity behind each of these projects is undeniable. Each one also represents a massive leap of faith in the power of engineering to overcome the challenges of the natural world and to extend the boundaries of achievement. JUNE 19-25, 2010 CONSTRUCTION WEEK 45
ENGINEERING
#3
THREE GORGES DAM China’s unbridled engineering ambition is brilliantly illustrated by the insane scale of the Three Gorges dam. The body of the dam was completed in 2006, but work continues to bring it to full operational status. The project has attracted a mass of criticism for its impact on the environment and local inhabitants. More than a million people have been displaced by the dam’s reservoir, which is so large that some scientists have expressed concerns about its seismic impact. However, it also controls seasonal flooding, which has devastated the river valley in the past. The dam is located in the areas of Xilingxia gorge, which will control a drainage area of 1 million km2 , with an average annual runoff of 451 billion m3. The dam's expected annual average power generation accounts up to 84.7 TWH.
#4
LANGELED PIPELINE
#2
BURJ KHALIFA The world’s tallest building was an easy pick for this list. The engineering challenges of doing something for the first time, while busting through all previous height records by a massive margin, are part of the reason this structure has caught so much attention. Designed and engineered by Skidmore, Owings and Merrill, (the company responsible for the equally cool, but considerably shorter Infinity Tower) the project officially opened in January of this year, although interior finishing is still ongoing.
46 CONSTRUCTION WEEK JUNE 19-25, 2010
Claiming the title of world’s longest under water gas pipeline, Langeled was developed to pipe Norway’s natural gas to a power hungry British market. It runs 1166 km and can pump a maximum of 25.5 billion m3 of gas a year. The pipeline was opened in two stages, the first in October 2006, the second a year later. The annual capacity of the pipeline is 25.5 billion m3. The pipeline supplements the Vesterled system with annual capacity about 12 billion m3. The project cost £1.7 billion (US $2.5 billion). Statoil planned and executed the pipelaying, awarding Acergy a contract for the installation of 1040 km of the pipeline. A total of 528 km of 44-inch pipeline was installed in the southern section between Sleipner and Easington and 512 km of 42-inch pipeline, from Nyhamna towards Sleipner.
CHINA PHOTOS/Getty Images
ERIC CABANIS/AFP/Getty Images
ENGINEERING
#5
QINGZANG TIBET RAILWAY
PATRICK LIN/AFP/Getty Images
SCOTT BARBOUR/Getty Images
Building the world’s highest altitude railway on permafrost was never going to be easy, but once again Chinese engineers thought they’d give it a go anyway. The track runs form the city of Golmud in China, to Lhasa in Tibet, crossing some tough landscape along the way. The highest point is the Tanggula pass, at just over 5000 m. Top of the engineering challenges was the paradoxical melting permafrost. The solution was to elevate the tracks a little, to keep the cool air circulating, and mounted the tracks on columns driven deep enough to hit stable earth. The line also lays claim to having the highest rail tunnel in the world with the 1338 m-long Fenghuoshan tunnel at 4905 m above sea level.
#6
TAIPEI 101 Okay, it’s not the world’s tallest building, but it still has some clever engineering to help it deal with Taiwan’s significant earthquake activity and typhoon season. Engineered by Thorton Tomasetti, the building is designed to cope with wind speeds up to 216kph and the strongest earthquakes expected to occur in cycles over literally thousands of years. As part of the strengthening measures required, the building contains a giant steel pendulum, which acts as a tuned mass damper. The strength of the foundations was put to the test when an earthquake struck during construction, toppling cranes from the incomplete structure, but leaving the core of the building undamaged.
JUNE 19-25, 2010 CONSTRUCTION WEEK 47
CHINA PHOTOS/Getty Images
ENGINEERING
#7
HANGZHOU BAY BRIDGE
#8
BIG DIG AKA THE CENTRAL ARTERY/ TUNNEL PROJECT (CA/T) Billed as the most expensive highway project in the US, the Big Dig is the colloquial name given to Boston’s Central Artery/Tunnel Project (CA/T). The project turned a highway through the centre of the city into a tunnel, plus added bridges and tunnels to the existing network. It was ambitious, to say the least, and had a rough road to completion. Accusations about corruption and fraud flew, workers died in construction accidents and the bill came to US $22 billion. The project is excavated a total of 12 million m3 of dirt, about two-thirds of which was trucked to landfills and other sites in 541,000 truckloads. The project also deployed 2.9 million m3 of concrete. It is an engineering achievement of some note, but also shows the scary scale of work required to re-road a developed city.
48 CONSTRUCTION WEEK JUNE 19-25, 2010
DARREN McCOLLESTER/Getty Images
Currently the record holder as the world’s largest sea bridge, this structure was completed in 2007 and chopped 120km off the drive between Ningbo and Shanghai. The bridge was engineered to deal with the massive tides in the bay, plus the seasonal storms that can rip through the area. The possibility of a ship colliding with the bridge also had to be accounted for in the design. The bridge has six express lanes in two directions and an orthotropic steel deck is used on its main spans and five ramp bridges, and was paved with 50 millimeters of epoxy asphalt concrete.
RAS GAS LNG TRAINS Qatar’s quest to be the world’s largest source of LNG has been boosted by the steady development of the gas trains in Ras Laffan. Train number seven, brought online in late February, has a capacity of 7.8 million tons per annum and was completed through an EPC contract awarded to the Chiyoda Corporation and Technip joint venture. It is the fourth such train to be comissioned in the Ras Laffan 3 facility and was built adjacent to others at Ras Laffan Industrial City. The world-leading capacity has been years in development, with the first production coming from trains one and two way back in 1999. It was 2004 before train three began production, primarily for the Indian market. Trains four through seven have followed on at steadier intervals since, with interest growing in the application of LNG as an industrial energy source, especially in the burgeoning market of Asia.
#10
LARGE HADRON COLLIDER A little out of left field, this project combines scientific curiosity with engineering wonder. In a 27km long circular tunnel, buried underground just outside Geneva, the large hadron collider was developed so protons moving at a fraction less than the speed of light could be smashed into each other. At a cost of more than three billion euros to build, plus another huge chunk of cash after early experiments broke it, the circular series of pipes and accompanying kits is not a small under taking. It was first fired up in September 2008 and earlier this year the official research programme began when two 7 terra-electron-volt beams collided. The project was so difficult to bring to fruition, ithe engineers behind it are confident no one else can manage it. In fact they've even posted the plans and specifications for all the major components on the internet, should anyone wish to prove them wrong.
JOHANNES SIMON/Getty Images
#9
FRANCK FIFE/AFP/Getty Images
ENGINEERING
JUNE 19-25, 2010 CONSTRUCTION WEEK 49
PROJECT UPDATE ON SITE CW reviews a collection of its most recent site and plant visits to keep you up to date with project progress
WANT TO UPDATE YOUR PROJECT'S PROGRESS, OR HAVE IT INCLUDED HERE? Email: stuart.matthews@itp.com
KING ABDULLAH FINANCIAL DISTRICT Location Riyadh Visited June 2010
7000t Daily production capacity
CONSTRUCTION AND DEMOLITION WASTE RECYCLING PLANT IN AL DHAFRA Location Abu Dhabi Visited May 2010
SAUDI BINLADIN GROUP FOR INDUSTRIAL PRECAST Location Jeddah Visited May 2010
50 CONSTRUCTION WEEK JUNE 19-25, 2010
The King Abdullah Financial District is one of the most challenging and intricate projects currently under development in Saudi Arabia. A total of 77 buildings are expected to be built in six zones across the entire site. Saudi Bin Laden Group is building four of the first 10 towers as part of the initial construction packages. The company is targeting Leed ratings for the buildings when complete.
Concrete waste, from construction and demolition projects, now has an alternative place to go, other than straight to landfill. The recently opened recycling facility in Al Dhafra, on the outskirts of Abu Dhabi, is crushing waste concrete into aggregate for use in road building. The plant will be able to produce up to 7000 tonnes a day, using crushers, conveyors, screens and magnets to break the raw material down to size.
The Saudi Binladin Group for Industrial Precast operates out of Jeddah, a city with a whole street full of offices for the company and on the outskirts there are enormous factories and holding yards. The plant is supplying a number of projects across the country, including the Princess Noura Bint AbdulRahman University for Women in Riyadh and the King Abdullah University for Science and Technology.
PROJECTS
AL WAHDA STREET Location Sharjah Visited May 2010
SANDOVAL GARDENS Location Dubai Visited April 2010
MIRDIF CITY CENTRE Location Dubai Visited April 2010
24
Million m2 of desert is what DIP started with
DUBAI INVESTMENTS PARK Location Dubai Visited March 2010
Central Sharjah is moving closer to a transformed road system to meet today’s traffic volume, following the latest milestone in Package 5 of the redevelopment of King Abdul Aziz Road. The latest completion of note, officially announced on 30th April, is the opening of the viaduct on the west side of Al Wahda Street. The viaduct crosses King Abdul Aziz Road at a 90 degree angle, itself a major project.
Bavaria Gulf’s flagship Sandoval Gardens project has been an interesting mix of German and Arab expertise, and its townhouses are near to completion. The 36 townhouses are the first part of an AED260 million twin-development of the overall Sandoval Gardens. All townhouses conform to TUeV, a standard of quality that is a common benchmark, which means all construction and finishing is assessed by a third-party.
UAE-based Alec was awarded the main contract to build the US $816 million Mirdif City Centre in September 2007, with construction getting under way almost immediately. Developed by Majid Al Futtaim Properties, more than 16000 jobs were created at the peak of the design and build stage. The team behind the mall are hoping for a Leed Gold rating, to reflect the work they did to make the building sustainable.
In 1997, way before the construction boom really took off, Dubai Investments’ management took it upon themselves to lay foundations across 24 million m2 of desert and start building a mixed-use city from scratch. In March, the developer announced the launch of the final phase of development, which is set to become a hub for logistics services spread across 500,000m2. Construction was due to start in May.
CONSTRUCTION WEEK JUNE 19–25, 2010 51
PROJECTS
MEYDAN Location Dubai Visited March 2010
OCEAN HEIGHTS Location Dubai Visited March 2010
4 Levels of difference in U-Bora towers
U-BORA TOWERS Location Dubai Visited March 2010
INFINITY TOWER Location Dubai Visited February 2010
52 CONSTRUCTION WEEK JUNE 19-25, 2010
Dubai was thrown back into the limelight when the US $10 million Dubai World Cup kicked off at the new Meydan Racecourse in Nad El Sheba. The enormous 18.6 million m² project consists of four separate areas including the development’s central feature, the Racecourse with Meydan Hotel. Meydan City Corporation has announced plans to build an equestrian city in China’s Tianjin province.
Construction of Ocean heights tower began in August 2007. The US $175.6 million (AED645 million) main contract was awarded to Arabtec. As it rises, the tower’s floor plates reduce in size, allowing the rotation to become even more pronounced. At the peak of construction, there were 30 contractors and 2000 people on site. On December 23, 2009 – 23 days ahead of schedule – the building was topped off at 310m.
Business Bay's U-Bora towers is being built by Korean firm Bando, the project features a podium with a curved residence building, which has a roofline that sweeps from 12 levels at one end, up to 16 at the other. The build was started back in 2007, initially with Simplex acting as subcontractor. The subcontractor left site in September 2008, leaving Bando both as developer and lead contractor.
Infinity Tower, located in the Dubai Marina, is set apart from its neighbours by its rotating structure and is spiraling into the sky at a fast pace. Each slab plate rotates 1.08 degrees around a fixed cylinder core. Once the tower is complete, the 73 floors will add up to a cumulative 90 degree angle. There are no pillars in the building; instead it is supported via a complex concrete column structure.
PROJECTS
6000 Number of men on site at any one time
CENTRAL MARKET Location Abu Dhabi Visited January 2010
BURJ KHALIFA Location Dubai Visited January 2010
SAHARA LIVINGS Location Dubai Visited December 2009
2O12 Date for finishing The Avenues
THE AVENUES Location Kuwait Visited December 2009
Central Market was named Abu Dhabi’s safest construction site just prior to Construction Week’s visit. The project combines three super-tall towers with an Arabian Souk and covers 5.2 million m2. With more than 6000 men on site at any time, the contractor, Arabian Construction Company is proud of its safety record and the measures it takes to keep all of its workforce safe on the massive site.
Possibly the most famous building in the world and certainly the tallest, the Burj Khalifa got its official opening in the early days of 2010. Big name contractors such as Arabtec and Besix were involved in the record-breaking build, which also played on the skills of Hyder Consulting and Depa. Developer Emaar made claim to eight world records, all based around the tower’s height and accompanying features.
Sahara Livings is a residential development consisting of 84 villas spread across an area of 18,116m² in Dubai Industrial City. Reem Dubai Contracting was given 548 days to complete the project after being awarded the main construction contract in February 2009 and, in December 15% of the development had been completed, with a total of 78 villas currently under construction.
The construction of Phase III of The Avenues, Kuwait’s largest shopping mall, is steadily progressing in the Al Rai district of Kuwait City. The mall has been designed by the London and Los Angeles offices of global architectural practice Gensler. Kuwait’s Mabanee is developing the project. Phase III of The Avenues will consist of more than 86,000m2 of retail space and is scheduled for completion in early 2012.
CONSTRUCTION WEEK JUNE 19–25, 2010 53
APPOINTMENTS TIPS FOR JOB SEEKERS
Contact many companies When looking for a job, it is important not to rule out options and cling on to the hope that one company will employ you or even get back to you. Send your CV to as many companies as possible, remembering to change your application to fit the specific job. Make follow up calls to check that employers have received your paperwork and that it is being processed. Keep in contact with companies if nothing is available as jobs may arise in the future. Tell the truth When writing your CV, always tell the truth about your employment history and background. Some employers will check up on information, others are likely to ask you questions about previous jobs, interests and earlier achievements in an interview. Be honest with your future employers, remembering that different companies look for different things, and that a lack of experience does not always affect your chances. Ask questions in an interview An interview is mainly to find out if you are the right candidate for the job, but it is also an opportunity for you to find out more about the company you want to work for and the job you will be doing. But beware - you should never go into an interview without knowing at least the basics about the company. 54 CONSTRUCTION WEEK JUNE 19-25 , 2010
Shuffle In an effort to increase its construction projects, Oman Government’s tourism, development and investment arm, Omran, has added five new executives to its senior management team. Promoted to VP of Development, Gregory Philis, previously Senior Development Manager for the hotel division, will be responsible for managing projectdesign processes. Nasser Saif Al-Maqbali, the new VP of Construction, will be ensuring Omran's projects are constructed on time and within budget. Ali Nasser Al-Rasbi, appointed Senior Commercial Manager, brings 19 years experience working in the petroleum and gas sector, and will look after new project tendering, contracting, cost management and procurement. Meanwhile, second new recruit Said Mohamed Al Qasmi, previously director of projects at Muscat Municipality and elected as VP for the Oman Convention and Exhibition Centre Project, will be overseeing project and financial planning, design and construction. Finally, Abdul Wahid Abdul Aziz Al Farsi, promoted to VP of Corporate Affairs, will be taking care of communicating Omran's vision internally and externally.
3 TOP JOBS For more details visit: www.constructionweekonline.com/jobs Please apply directly to the listed consultants. Role: Project Manager Agency: Randstad
Role: Lead Structural Engineer Agency: Randstad
Role: Procurement officer Agency: First Select
A developer soon to construct a US$ multi-billion hotel development in Abu Dhabi requires an experienced Construction/Project Manager to oversee the on-site contractors in all aspects of preconstruction, construction and handover of the project. The successful candidate will have no less than 15 years experience in the management of major construction projects and have successfully delivered the project to the client. They will also have bachelors’ degree in a construction-related field, and a contractor background having then moved through to client side roles where they have worked for a developer/owner or in a clientrepresentative capacity.
An Abu Dhabi-based company in the rail industry requires a Lead Structural Engineer with 10 years minimum experience to join its UAE team of highly skilled staff. The role will involve managing the design and construction of the structural works portion of a major railway project. Responsibilities will include planning, design, cost estimation and construction of all structural works associated with the project. This will include, but not be limited to, bridges, tunnels, earth retaining structures, noise walls, culverts, utility protection, stations, terminal facilities, depots, and all other structural scope items related to railroad works.
A multinational company is looking for a procurement manager for its office in Bangladesh. The ideal candidate must have bachelor's degree in business or public administration, or certification as a certified public purchasing officer, certified purchasing manager. The job includes work in a variety of procurement activities including preparation of specifications, bidding process, contracts, renewal and monitoring of contracts. A minimum of eight years' experience is required in the same field, with experience supervising the procurement activities of a high volume section, as well as contract administration and writing.
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JUNE 19–25, 2010 CONSTRUCTION WEEK 55
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Fujairah calling
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ujairah seems to be attracting an increasing amount of attention from the likes of my employers and the guys that pay them. And not just from the energy-related companies. In fact, in my view, Fujairah is no less jumping on the real estate/mixed-use tower band wagon than any of the other Emirates. Let’s face it, they’ve already got a Hilton, and only a couple of weeks ago, I read that Escan Properties had launched a couple of towers and a shopping mall that way. The other day, word on site was that the same developer had bought another huge plot of land there, roughly 1 million square feet, closer to the hotel resort area, with a view to building a hotel. According to the guys, they’ve already started the foundations, and contractors are bidding for work as we speak. Apparently the plan is to build the first resort in Fujairah with a yacht marina and yacht parking, so it looks like they’ll be hunting for specialists. Watch this space… .
Cash strapped Did you I fill in the Construction Week salary survey? I did. I’ve never been shy when it comes 56 CONSTRUCTION WEEK JUNE 19–25, 2010
to talking about my pay. I know management never likes it when people know what others on the same job are earning, but I find a good view of peer salaries is an important way for me to find out how much I’m worth. Everyone, including me, thinks they’re not paid enough, but salary surveys are a great way to find out if this is actually true. It’s all anonymous, so there are no names or reference to the company I work for and when the results are published I’ll be able to see how my meager salary matches up. I look forward to slamming it down on my project manager’s desk and demanding more money.
Heated argument Phew, I’ve been in the UAE now for just over 10 years, but the week in the year where the mercury jumps from 30 to 40 degrees never gets any easier. I can’t really complain, my site hut at the moment has a noisy, but decent air conditioner, so I can cool down after being out on the job. However, for the guys working outside, in the direct sun, it can be a completely different story.
HOT JOBS: Workers in hot jobs, such as smelting and welding will have to be especially cautious now summer is officially here.
Personally, I’ve always welcomed the summer work restrictions, and on my sites there are always water and salts on hand, but I feel the ban is only part of the puzzle. Getting guys off-site in the middle of the day will protect them from the UV rays and the worst of the heat, but there are still people doing exceptionally hot jobs, such as smelting and welding for hours on end. I’ve seen the end result of heat exhaustion first hand, and I tell you, it isn’t pretty. The midday ban is a good step, but we should come together as an industry to do more to keep our cool.
Saudi star I’m becoming increasingly excited about Saudi Arabia: the ambition, the plans so far and the growth forecasts seem to be fulfilling its potential as a global leader. And its cement industry, is titanic. The competition is only going to intensify for that material too. A chat in Riyadh with employees at Gulf Cement Company reveal that it’s gearing up to get its plant fully operational in the next three years and will be working with Europeans and Chinese firms for a power plant and housing projects, among other things. Demand doesn’t seem to end.
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2/18/10
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