SAUDI ARABIA BAHRAIN UNITED ARAB EMIRATES QATAR OMAN KUWAIT
Construction An ITP Business Publication
WEEK
CONSTRUCTIONWEEKONLINE.COM
DECEMBER 19–25, 2009 [301]
NEWS, ANALYSIS, PROJECTS, TENDERS, CLASSIFIEDS, AND JOBS IN THE MIDDLE EAST
INSIDE
ROUNDTABLE
Construction execs share views on the industry’s hard times PAGE 12
KUWAIT PROJECT The Avenues presses on with phase three as it defies global mood PAGE 15
FIRE SAFETY
Prevention rules, but regulation required to improve safety issues PAGE 18
CITY FOCUS
The latest news, projects and tenders from Medina, KSA
Contractors may breathe a little easier at sign of payment ahead
PAGE 30
CONTENTS DECEMBER 19-25, 2009 | ISSUE 301 3
FEATURES
10
15 PROJECT OVERVIEW Is Kuwait’s The Avenues a good idea, given the global economic mood?
18 SPECIAL REPORT CW examines how fire safety on construction sites is regulated.
DIRECTORY
11
24 TENDERS 25 PROJECTS 26 SPECIALIST SERVICES
7
30
12
REGULARS 2 ONLINE 3 MAIL
FRONT 7 US $10BN WILL SEE INDUSTRY START TO ‘BREATHE’ AGAIN Abu Dhabi’s financial support has provided a much needed boost to confidence levels in the industry, according to experts.
9 NEWS IN BRIEF Highlights of the week.
10 FACE TO FACE Industry experts discuss Dubai’s ability to bounce back.
BACK
11 COMMENT
30 CITY UPDATE
Philip Adams discusses intricacies of getting involved in the business of amendments.
The latest news and projects from Madinah, Saudi Arabia.
32 DIALOGUE
12 ROUND TABLE CW sat down with industry experts to learn that, despite current times, faith in the construction sector still exists.
Grey Matters managing director Rabih Fakih talks about the success of his firm’s concrete conference and the importance of self-consolidating concrete.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
1
ONLINE
www.ConstructionWEEKonline.com MOST POPULAR
DUBAI CONTRACTORS FACE BANKRUPTCY THREAT EXCLUSIVE: US $2.5 BILLION CLAIM OVER DUBAI METRO NAKHEEL GIVEN $2.45BN TO MEET OBLIGATIONS NAKHEEL TO CLEAR DEBT WITHIN 14 DAYS
HAVE YOUR SAY WHAT DO YOU THINK 2010 WILL HOLD FOR THE INDUSTRY?
IN PICTURES: AL JABER GRABS TOP CONSTRUCTION HONOUR AT 2009 ARABIAN BUSINESS AWARDS The Al Jaber Group has been named Construction Company of the Year in the 2009 Arabian Business Awards. The accolade was collected by the group’s COO, Fatima Obaid Al Jaber (pictured) at an awards presentation held last week. Al Jaber Group has an extensive network of companies. Its best known construction and engineering arm is Al Jaber LEGT Engineering and Construction, better known as Alec. In November Alec won CW’s Contractor of the Year Award. Alec’s work on several recent projects, including Emaar’s Al Manzil & Qamardeen Hotels, and on certain elements of Dubai Airport Phase 2, was cited as reason for the win. For more images visit www.ConstructionWeekOnline.com
FEATURES Design
MEP
10 NEW YEAR RESOLUTIONS FOR A ‘GREENER’ WORKPLACE. Interior specialist highlights 10 ways to create a greener workplace.
LEVERAGING CHANGE MEP speaks to Charles Lever about DSI’s future plans.
Design
MEP
NO MORE CAPTAIN ORGANIC Ross Lovegrove takes design very seriously indeed. Which is why he is no big fan of his ‘Captain Organic’ moniker.
HVAC SUPPLIERS IN FOCUS MEP takes a closer look at some major suppliers in the HVAC sector.
2
CONSTRUCTION WEEK DECEMBER 19–25, 2009
What are you looking forward to in terms of projects – and what are you worried about?
JOBS OF THE WEEK Senior Designer Hospitality, Dubai, United Arab Emirates CAD Operator Interior Design, Dubai, United Arab Emirates Senior Interior Designer, Dubai, United Arab Emirates
ONLINE POLL DO YOU AGREE WITH KHALDOUN TABARI’S ASSESSMENT OF DUBAI CONSTRUCTION IN 2010?
62.8% 27.9% 9.3%
Yes - there’s simply not enough work or money in Dubai right now for a recovery
Maybe - times are hard but we should see a general improvement
No - there are plenty of well-financed projects out there and things will get much better
TO VOTE IN THIS WEEK’S SPOT POLL GO TO www.ConstructionWEEKonline.com
MAIL disagreement converted to a dispute, if the contractual finer points are worthy of discussion. However the entire issue could be nothing more than a massive waste of time and resources. US $2.5 billion is a substantial sum, therefore one might suggest that if it had real merit, other options were available at an earlier stage of this difference of opinion. THE COLONEL
but that we can survive this crisis and even bring about an even bigger and brighter day in the future. RAJESH
The economic situation in Dubai is not that bad as it has been projected through media. The most important thing we should remember is that recessions never go for a long period. The dream will come true. JAVED
RE: BUILD SAFE UAE REMOVES EIGHT MEMBERS Some construction companies pay no attention to the disasters they may cause, by neglecting safety, environment and quality of work. Yes, we agree that adherence to safety rules is a cost, but it pays back in the long term. It adds to the reputation of the company. Thanks for the efforts of Build Safe UAE, I want these ideas to spread throughout all GCC countries. MOHAMMAD
Usually, claims result from events which the contractor believes are extra contractual and to which he feels entitled for additional compensation. If the client approved such a claim, it becomes a variation order to the original contract. Hence, payment of the approved claim will be due to the contractor. Otherwise, the claim becomes a dispute, putting the burden of proof for entitlement on the contractor, based on cause and effects. Well drafted contracts include specific clauses to deal with disputes. FAROUK
I appreciate the prompt and decisive move by BSU and look forward to closer coordination with the UAE Contractor’s Association.
I feel that much needs to be done, especially with government legislation and implementation. CLARENCE
IMAD
Build Safe UAE is really doing good work in enhancing the general work environment for labourers on site. However,
RE: EXCLUSIVE: US $2.5 BILLION CLAIM OVER DUBAI METRO Gentlemen, there will be a need to have the
RE: DUBAI CONTRACTORS FACE BANKRUPTCY THREAT Yes! There is a crisis and yes, it can get worse. 2010 does not have light at the end of the tunnel. So what! It does not mean we pack our bags and go. Let us put in our efforts to get rid of it. Let us start to show our real stuff and that we are not here just to reap the good times,
All are talking about bad times in Dubai. It will overcome the crisis with its visionary leadership and strategic location. I feel people are exaggerating the crisis, as they were exaggerating when Dubai was booming. But, being an owner of an SME contracting company, I am fully confident that Dubai will bounce back. MOHAMED
RE: ABU DHABI TO FINANCE DUBAI WORLD DEBTS Authorisation of such an assistance package is an excellent and timely gesture of “etihad” (unity and care) from elders towards youngsters in the Emirates. It is highly appreciated, not only by the big-ones but also the small-ones, and I personally think that such an action should be celebrated by all the citizens in UAE, since it conveys so much care towards everyone in the country, directly or indirectly. RAFI
WRITE TO THE EDITOR Please address your letters to: Post, Construction Week, PO Box 500024, Dubai, UAE or email editor@ConstructionWeekOnline.com. Please provide your full name and address, stating clearly if you do not wish us to print them. Alternatively log on to www.ConstructionWEEKonline.com and air your views on any one of a number of the latest Middle East business articles. The opinions expressed in this section are of particular individuals and are in no way a reflection of the publisher’s views.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
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FRONT
Highlights
9
Face to face
10
Comment
11
Roundtable
12
FROM LEFT: ARABTEC CEO THOMAS BARRY, SIX CONSTRUCT GM PHILIPPE DESSOY AND DUTCO BALFOUR BEATTY GM GRAHAME MCCAIG,
US $10BN WILL SEE INDUSTRY START TO ‘BREATHE’ AGAIN SAYS SIX CONSTRUCT BOSS By Conrad Egbert
BUT ARABTEC CHIEF SAYS HE’S ONLY ‘CAUTIOUSLY OPTIMISTIC’ AT THIS STAGE Abu Dhabi’s US $10 billion (AED36.7 billion) financial support has provided a much needed boost to plunging confidence levels within the region’s construction industry, according to top construction chiefs. The Dubai government has allocated $4.1 billion towards Dubai World obligations leaving it with $5.9 billion, which could potentially pay off outstanding bills to creditors and contractors. Sheikh Ahmed bin Saaed Al Maktoum, chairman of the Dubai Supreme Fiscal Committee said via a statement last week: “We are here to reassure investors, financial and trade creditors, employees, and our citizens that our government will act at all times in accordance with market principles and internationally accepted business practices.” The statement also said that Dubai will start discussions with creditors and contractors shortly. “It’s a step in the right direction,” Dutco Balfour Beatty general manager Grahame
McCaig told ConstructionWeekOnline.com. “This will at least begin the process of paying up contractors and will bring a lot of relief to many. It’s a good move because it will inject some liquidity into the market, which seems to be the biggest issue right now.” But despite the positive move, he also said the amount was not enough to pay up all contractors that are owed money. Last month, world markets went into a frenzy when Dubai World requested a freeze on debt payments, in order to begin restructuring. “This money will definitely allow the construction industry to begin breathing again, said Philippe Dessoy, general manager Six Construct – one of the contractors still working on the Burj Dubai, which is set to open next month. “It is not near enough, but it will definitely ease the situation, but that again depends on who they allocate those funds to,” he added.
Arabtec Construction, another contractor working on the Burj Dubai and also the largest publicly listed contractor in the emirate, agreed that the announcement couldn’t have come at a better time, but added that it was only ‘cautiously optimistic’. “It all depends on who’s going to get access to this money,” said company CEO Thomas Barry. “Now that it’s there, it has to be used wisely; it has to go into the right pockets. It’s a good effort, but we’re only cautiously optimistic. We’ll have to just wait and see.” The Dubai government said it would use some of the funds ‘for the satisfaction of obligations to existing trade creditors and contractors’. It also said it was planning to announce a reorganisation law, based on international standards for transparency and creditor protection. It is intended that this law will be available should Dubai World and its subsidiaries be unable to achieve an acceptable restructuring of its remaining obligations.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
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FRONT HIGHLIGHTS UAE
UAE
ABU DHABI PLANS 18 NEW SCHOOLS FOR 2010 The Abu Dhabi Education Council (ADEC) will build 18 new schools across the emirate starting in mid2010 under ADEC’s 10-year strategic plan. “ADEC’s 10-year strategic plan is a historic transformation of the education system that will deliver educational excellence. Providing students with world class learning environments is a key element of our 10 year plan and is the foundation for achieving excellence,” said HE Salem Al Sayeri, Acting Director General of ADEC. Musanada, a government initiative devoted to developing and managing cost-effective and responsive services for the government of Abu Dhabi, will provide design and construction management services, as well as construction supervision for each of the 18 new schools. Construction companies will be invited to bid for the first phase of ADEC’s schools project in March next year, CW can reveal.
CONSULTANT TO RESTRUCTURE DEBT WYG, the consultancy firm providing control services to Nakheel’s Dubai Waterfront development, will restructure its finances to avoid insolvency. The company has asked shareholders to approve a deal which will see WYG’s banks convert some US $86 million of debt into equity, and provide new lending facilities totalling $94.4 million and $56 million of committed bonding facilities. The company said in a statement that failure to secure shareholder approval for the restructuring would likely see the company go into administration, potentially with the loss of 2,700 jobs.
NEWS IN NUMBERS Operations on Dubai Metro’s Green Line will begin in H2
Sweet Homes General Contracting poured
2010
with the
20
stations currently between 50% and 80% complete
UAE
US$2.5 BILLION CLAIM OVER METRO The RTA is disputing a massive US $2.5 billion claim from the consortium responsible for building Dubai Metro, according to a source connected to the project. “We won’t comment on any contractual issues,” said Peyman Younes Parham, RTA
6,064m³ of concrete continuously for 26 hours to fill the largest foundation raft within the
AED3.5bn Ajman Uptown development
corporate communications director, when asked if the claim was valid. “(The RTA) is totally disputing it, they have said the money is not due and in actual fact, the consortium is already being overpaid,” said the source. “Right now it is just a claim and hasn’t got to the arbitration stage. But it is probably the biggest claim for a civil works contract ever seen in Dubai, possibly the world.”
technical expertise in highrise construction to the table,” said GTCC executive director Saleh Muradweji. Morocco
KAFD TOWER ENTERS FINAL DESIGN PHASE The 400-metre-high Capital Market Authority Tower in Riyadh, the tallest in the US $3.73bn King Abdullah Financial District, is finalising its design phase. “We are just nearing completion of that design,” said Hyder Consulting Middle East regional MD Wael Allan. Gulf Technical Construction Company (GTCC), the civil contracting subsidiary of Drake & Scull International PJSC, is forming a joint venture with Saudi Oger to bid for construction of the CMA Tower. “We were approached by Saudi Oger to bring our
US $800M PROJECT ON SCHEDULE The AED 3bn Bab Al Bahr project in Rabat is progressing on time and budget with 90% of the infrastructure complete and 30% of phase one construction. Al Maabar, a JV of Abu Dhabi’s leading real estate and investment companies, said this equates to around 20% of the total project. Covering 560,000m2, the project will include three hotels, residential areas, offices, shops and entertainment facilities. The project is scheduled for completion by the first quarter of 2013. “Such developments are extremely important as they help provide significant employment opportunities, raise realty standards, and introduce modern infrastructure standards that meet the city’s growing requirements,” said Al Maabar managing director Yousef Al Nowais.
The UAE devotes 25% of total federal government spending to education and, in Libya, the government is currently funding 27 new universities
The Al Maktoum Accident and Emergency Hospital in Jebel Ali Dubai will have 300 beds over 4 floors and 95,000m2 and is set for completion in 2012
Saudi Arabia
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
9
FACE-TO-FACE ON THE BOUNCE
ZAKIR AHMED
YOGESH SANI
NIA Limited
Angel Bath Fittings
CW TALKS TO TWO INTERNATIONAL SUPPLIERS ABOUT DUBAI’S ABILITY TO BOUNCE BACK
HOW BAD HAVE THE PAST FEW WEEKS BEEN FOR THE MARKET? There’s no getting around that they have been quite bad for the general market sentiment, which, let’s not forget, has already suffered a lot from the global recession.
They have, of course, been very bad for the image of Dubai, but I think a lot of the bad publicity is due to the media, which likes to concentrate on bad stories. Those of us with operations in Dubai or doing business there perhaps know a different truth.
DO YOU THINK IT WILL AFFECT YOUR BUSINESS AT ALL? For sure, as suppliers of air-conditioning and chillers for residential, commercial and industrial units, we’re part of the real estate sector and construction industry. I personally think that the sector will take a bit of a hit due to further delays in deliveries and maybe the cancellation of more projects.
It would be foolish to say that it wouldn’t affect our business at all, but we already have a good number of clients in Dubai and the UAE and we’re now purely trying to increase that market share a little.
SHOULD COMPANIES STILL BE ATTRACTED TO THE UAE AS A POTENTIAL MARKET? Of course, there’s still a market but it depends on the nature of the company. For bigger companies, this is the time for consolidation; but start-ups would face enormous challenges if they tried to enter the UAE market right now.
Clearly. It’s important to remember that Dubai is just as important for its status as a gateway to the rest of the Gulf, just as much as for the enormous and numerous construction projects taking place in the Middle East.
WHEN WILL THE MARKET RECOVER? Over the past decades, Dubai has become known for its resilience and, above all, its entrepreneurial spirit. Heady days may be over, but the market here will be back to ‘normalcy’ in around two to three years’ time.
You could say that, for some companies, it has already recovered. We, for example, sell a range of high-end faucet lines and systems. Most are for residential, although a lot of our sales are to luxury hotels too, and you only have to look around you to see that Dubai is still the place to be in that area.
WHICH OTHER TERRITORIES OR MIDDLE EAST COUNTRIES ARE YOU CURRENTLY FOCUSED ON? While Dubai and the UAE may have some problems, the rest of the Middle East is fairly strong and, for NIA Limited, we’re focusing strongly on Iran.
10
CONSTRUCTION WEEK DECEMBER 19–25, 2009
As I said, Dubai’s real strength is that, even if you don’t actually do business with Dubai companies, you can still use it as a hub to do business in. The rest of the Gulf is really interesting for us and we’re looking at expanding markets, such as Kuwait and Qatar, for example.
COMMENT > For the latest news and comments log on to www.ConstructionWEEKonline.com/comment
The curse of the bespoke amendment PHILIP ADAMS DISCUSSES INTRICACIES OF GETTING INVOLVED IN THE BUSINESS OF AMENDMENTS
I am increasingly fascinated by the extent to which clients and to a certain extent their lawyers, feel compelled to amend standard forms of contract, especially, bearing in mind the involvement of such organisations in the initial drafting. Next time you look at the Fidic Red Book for example, take a look at the ‘acknowledgements’ as these make for very interesting reading. The ‘acknowledgements’ state that the drafts were reviewed by many persons and organisations, and that their comments were ‘duly studied by the Update Task Group and, where considered appropriate, have influenced the wording of the clauses.’ The list includes approximately 30 different organisations of various types including seven multi-national law firms. These highly experienced construction lawyers have been given an opportunity to review the draft to assess the balance of risk between contractor and client. Now it is possible that Fidic may have found their comments ‘inappropriate’ and consequently they had no ‘influence’ on the wording, but I must confess I find that hard to believe. Therefore, during the drafting process presumably, they have become reasonably satisfied as to the contracts fairness, with respect to the commercial interests of their various clients. So why do they and more importantly their clients, feel the need to amend it in practice and shift the balance of risk so drastically? If the contract is amended so that it becomes onerous, there is nearly always a premium to pay in lost time and cost to administer the inevitable disputes and disagreements. On a few occasions I have read the web profile of the person who has drafted such amendments and the description often includes the term ‘non-contentious’! I’d hate to meet them when they may be feeling particularly contentious!
For example, I once read an amendment that sought to distinguish between ‘design development’ and ‘variation’ with the result that the former would not entitle the contractor to an extension of time. Subsequently, nearly every change that was issued regardless of scope or complexity was conveniently labelled ‘design development’. Mutual trust and cooperation be damned! In another example, terrorism was included in the list of excusable delays contained in a standard form, however this had been amended to exclude terrorist acts which were ‘reasonably foreseeable by an experienced contractor’! Even the CIA and MI6, with all their extensive worldwide resources, are unable to foresee every terrorist event, so how is this fair balance of risk? However, I should point out that the examples above emanate from the financial fit-out sector, where the banks flex their commercial muscles by often instructing their lawyers to remove all employer risk from a standard form. In other sectors, where the bargaining position of the respective parties is more even, the amendments may be less onerous. Wherever possible contractors should continue to price such risk and perhaps make that more transparent. However, in the current climate this could be a risky strategy and therefore contractors may consider offering a reduction in their price if the onerous provisions were omitted. Finally, when faced with a set of bespoke amendments there are several things a contractor can do, not least of which a thorough risk assessment, including recommendations and strategies for managing the risk. From a practical perspective a good tip is to prepare a cut and pasted version of the contract so that the amendments can be read in context without the need to constantly flick between documents.
“SUBSEQUENTLY, NEARLY EVERY CHANGE THAT WAS ISSUED REGARDLESS OF SCOPE OR COMPLEXITY WAS CONVENIENTLY LABELLED ‘DESIGN DEVELOPMENT’.”
Philip Adams is an associate director at Systech in Dubai. He has provided commercial, contractual and dispute resolution advice on projects ranging from high specification offices, data centres and long distance fibre optic networks to major civil engineering projects, multi-storey offices and hotels. He is a member of the Royal Institution of Chartered Surveyors and a fellow at the Chartered Institute of Arbitration.
The opinions expressed in this column are of the author and not of the publisher.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
11
ROUNDTABLE DISCUSSION PANEL SALEH MURADWEIJ Executive Director, Gulf Technical Construction Company (GTCC) has over 20 years of professional experience throughout the GCC and the Levant. He is also a member on the Drake & Scull International Board of Directors.
ANDREW BRODERICK Head of Health, Safety Security & Environment, Aldar Properties, has been working in HSE for the past 18 years in various industries. He is also the official Build Safe UAE spokesperson in Abu Dhabi.
LOIC FINLAN Building Physicist, KEO International Conultants has spent the last 12 years working in Europe, Asia and the Middle East on town planning, infrastructure and building projects. He joined KEO from Arup where he was head of energy strategy.
ROBERT PERKINS President & CEO, QP International Project Management, has a BSc in engineering and accounting from the University of North Carolina and has 35 years of experience.
NABIL MANGO Executive Vice President & COO, has over 28 years of experience within the industry both as a contractor and a consultant. He holds a BSC in civil engineering and construction.
NIZAR EL YAFI Vice President, PreConstruction & Business Development has a Bachelors in Architecture from Cairo and has 32 years behind him in consultancy and PM.
12
Come together IN THE MIDST OF ALL THE NEGATIVE NEWS COMING OUT OF THE REGION, CW SAT DOWN WITH A SELECT GROUP OF KEY DECISION MAKERS IN ITS SECOND ROUNDTABLE EVENT, AND FOUND THAT FAITH IN THE REGION’S CONSTRUCTION INDUSTRY STILL EXISTS By Conrad Egbert
THE FUTURE What are your future plans? Robert Perkins: We see in the next
six months or so, work coming out of the government, than anything else – infrastructure work, facilities they’d need for their own developments; that’s our focus right now. Saleh Muradweij: We started and will always be in Dubai, however, we have recognised the potential for work coming from outside Dubai, not just recently, but in the past two years. We are currently focusing on Abu Dhabi and negotiating a lot of projects with the Saudi government. There is more work than contractors can handle in Saudi. Over the next 4 or 5 years we will be heavily involved in Saudi. Is everyone heading to Saudi? Andrew Broderick: No. We’ve got a lot
of government projects coming up right here in Abu Dhabi. A lot of work can be expected out of Abu Dhabi in the coming few months. How are you spreading your risk? Perkins: We’re spreading our risk by
changing our focus from one client to multiple clients; multiple markets as well. It makes more business sense. Muradweij: There is more work in infrastructure than in commercial or residential in the region. Infrastructure will remain a focus for countries who do not plan to expand in the real estate sector also. We’ve also diversified into areas including waste water treatment. Diversity is a must to maintain growth. Nizar Al Yafi: Yesterday we won two jobs, one in Dubai for project management and another in Ras Al Khaimah. We are not leaving Dubai. It had a little problem, but it will be solved. If we get work in Dubai, we’ll take it. Nabil Mango: But those projects are
CONSTRUCTION WEEK DECEMBER 19–25, 2009
belonging to the Abu Dhabi government. Perkins: The challenges for people in the region are not just looking for investment opportunities, they’re going to look for viable projects that have a good feasibility and will pay back, and that is what we’re trying to identify. Muradweij: Earlier Dubai was concentrating on building places and now they’re focusing on infrastructure work to feed these places. There is still ample work in Dubai. But would you work if you’re not paid? Muradweij: I think Dubai is very
committed to their contractors and to their projects. It’s just a matter of restructuring payments and i’m sure it will fulfill its obligations. Mango: What about the private sector?
Muradweij: The private sector is a different issue. The private sector is supply and demand. The government doesn’t look at supply and demand. The government looks at developing it’s cultural and hospitals, schooling which is part of the infrastructure. Mango: So most opportunities that are available in Dubai are goverment works and not private work. We have observed that most of the investors, contractors are coming out of Dubai and seeking work in Abu Dhabi. Last year we couldn’t find contractors; now we have them in the hundreds. It’s the opposite of last year. Perkins: Last year we put a project out to tender to 30 contractors and we got back only 3 bids and this was a 200 million dollar project, so it’s changed a lot. Mango: There is more work available in Abu Dhabi now than there is in Dubai. Broderick: It’s just a fact isn’t it? Mango: Yes and that is why everybody is coming to Abu Dhabi. Broderick: I’m part of the Aldar prequalification team and even before
will find the means and ways of doing it. For example Atkins Bahrain world Trade Centre is an example of this commitment. They’re making money out of it and the reputation of the company and Bahrain has been enhanced by it. People seem happy to just comply. Perkins: You’ve got a lot of investments to
the crunch, everybody was saying we’re shifting our focus to Abu Dhabi. And it wasn’t just one, it was the same speech of every contractor, project manager, engineer and landscape gardner saying they were focusing on Abu Dhabi. Mango: The boom started last year or even the year before in Abu Dhabi. You can see it in the amount of people, the traffic jams, everywhere.
HEALTH & SAFETY
goes up and you get more out of them; it’s beneficial for everyone. Is there a list of good and bad firms? Perkins: We have a prequalification
procedure and one of the things we check is the safety record of companies. But I don’t think it’s right to disqualify a contractor based on something that happened in the past due to bad project management.
How good is HSE in the region? Broderick: It’s coming up in leaps and
So HSE falls on project management? Perkins: Well, we have a responsibility for
bounds in Abu Dhabi. I’m very pleased with the progress. Four years ago, when I started out in my current role, most health and safety procedures weren’t in place. The laws existed but nothing was enforced, so Aldar on its own enforced these laws on our contractors, project managers and other people working with us, and now it’s working really well.
the entire project but it’s the contractor’s project manager that is the one who will make or break safety standards. Broderick: We’ve got the same contractor working on different projects and their standards are completely different. It boils down to the contractor’s PM and their commitment to HSE. Muradweij: But that commitment represents the company’s commitment, so you can’t just say that the PM is responsible for HSE. The company has to share responsibility for that too. It’s a culture of HSE we’re tying to build here. Yes, the whole region is not very HSE oriented but we’ve come a long way and now the UAE is very conscious of it.
Are HSE clauses included in contracts? Broderick: That’s one of the first things I
did with Aldar, to put it in the contracts. So everybody now has a copy of the Aldar HSE policy and they must follow it and they must also have their own. Is this practiced across the board? Perkins: That’s what we do. Project safety
is one of the first topics in our monthly report. We have a safety policy and we try to see that contractors have one too. Broderick: Another issue that is important is worker welfare. We have some of the best labour camps in the region. It’s not much to give the workers a warm meal during lunch time, make them happy; at the end of the day, their productivity
SUSTAINABILITY Are people serious about going green? Loic Finlan: There is a big focus on
sustainability in the region and there are many reasons for the industry to embrace it. There are also many reasons why so many people still shy away from it, including misconceptions about costs. Green building mainly depends on commitment. If you want to do it, you
be made for business return so investors are concerned about the cost, but I think with the world focus on energy and water, there will be more technologies coming on board that will make sustainability a no brainer.
HUMAN RESOURCES Is anyone hiring? Finalan: We’re heavily involved in many
projects in Abu Dhabi at the moment and we’re looking for people. Perkins: We’ve just been awarded a couple of projects so we’re hiring too. Mango: We’re going to be hiring a lot of people next year in January. Muradweij: Due to diversification, we are also looking at hiring in Saudi Arabia, Abu Dhabi, Jordan, Libya and Egypt. There are a lot of quality people coming out of the crisis who are looking for jobs.
CONTRACTS Can we expect new forms of contracts? Muradweij: We always follow the Fidic
contracts that are adjusted to suit our needs. So I don’t think we’re going to see much of a change in the future. But we’re already doing all of this.
PAYMENTS Are you going down the legal route? Muradweij: I think these times are
difficult for both the client and the contractor. It doesn’t really make sense to go the legal way. If the client doesn’t have money, common sense would call for other means to get paid. Perkins: If you go down the legal way you may get a judgment, but then what? Mango: But what if contractors aren’t paid and it leads to their bankruptcy? Muradweij: Well we as Drake & Scull are doing what we think is the best way and going down the legal route is not a favourable option for us.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
13
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THE AVENUE HAS BEEN DESIGNED TO FEEL LIKE AN OUTDOOR SPACE INSPIRED MAINLY BY EUROPEAN SHOPPING AVENUES.
THE RIGHT
AVENUE
WITH VOLATILE REGIONAL MARKETS AND A SUPER-MALL ON EVERY CORNER OF THE REGION, IS KUWAIT’S THE AVENUES A GOOD IDEA, GIVEN THE GLOBAL ECONOMIC MOOD? By CW staff
T
he construction of Phase III of The Avenues, Kuwait’s largest shopping mall, is steadily progressing in the Al Rai district of Kuwait City. At a time where most GCC states have experienced a slow down in construction activity, does yet another high-end, fantastic mall project seem viable? Strangely, yes, seems to be the answer. A fortnight ago, when regional markets dived after Dubai World requested for a freeze on debt payments, Kuwait’s index made its largest one-day gain in four months, suggesting a strong economy, backed by ample sovereign funds and a wealth of untapped natural resources.
KUWAIT’S INDEX MADE ITS LARGEST ONE-DAY GAIN IN FOUR MONTHS, SUGGESTING A STRONG ECONOMY
the back of this increased confidence. The mall has been designed, in collaboration, by the London and Los Angeles offices of global architectural practice Gensler. Kuwait’s
The National Bank of Kuwait and Kuwait Finance House added 3.8% and 1.9% respectively, and the country’s index climbed 1.3% to 6766 points. The latest report by the Oxford Business Group also suggests that the country’s economy is strong and that its real estate market appears to be moving towards recovery, with falling interest rates and increasing confidence, which is helping to lift sales. And the mall, according to officials working on the project, is definitely securing interest from leading international retail brands on
Mabanee is a Kuwaiti shareholding company with a paid-up capital of KD46 million. It has been listed under the real estate sector on the Kuwait Stock Exchange since 1999. Mabanee is owned by a prestigious list of Kuwait’s top institutions and high net worth individuals currently exceeding 2500 shareholders. The company operates under three main business lines including real estate, investment and construction.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
15
SOKU WHICH IS AN ACRONYM FOR ‘SOUTH KUWAIT’ TAKES ITS INSPIRATION FROM NEW YORK’S SOHO DISTRICT.
DESIGN INSPIRATIONS The Mall links Phase III to the existing centre and according to the designer will provide the ‘widest’ selection of fashion trends. The Grand Avenue has been designed to feel like an outdoor space. It takes inspiration from tree-lined boulevards and major retail centres around the world. The retail facades are a mix of European, regional and contemporary styles whilst the transparent roof allows natural light penetration. Soku – an acronym for South of Kuwait – takes its inspiration from New York’s bohemian Soho district. Restaurants, cafes and bistros will attract Kuwait’s younger crowd. The Bazaar takes inspiration from the Grand Bazaar of Istanbul and will house 34 units below ground. Luxury Mall will house up to 70 high-end brands, including 16 food and beverage units. The focal point will be a 21m high central dome. The Souk provides space for small start-up retailers. Modelled on the customary Kuwaiti Souk, this district is an interpretation of traditional regional retail architecture, including narrow streets.
“THE START OF THE CONSTRUCTION IS ANOTHER MILESTONE FOR OUR COMPANY, AND WE LOOK FORWARD TO OUR OPENING IN 2012, OFFERING THE POPULATION OF KUWAIT A NEW AND DYNAMIC EXPERIENCE” Mabanee is developing the project. Phase III of The Avenues will consist of more than 86,000m2 of retail space and is scheduled for completing in early 2012. The development will bring together six elements, including The Mall, Grand Avenue, Soku, The Souk, Luxury Mall and Bazaar. According to the designers, the inspiration was taken from leading retail cities where distinctively different districts can be found side by side. Once complete, the third phase will house 545 retail units in total, including 52 food and beverage outlets. “The Avenues is the region’s premier shopping, lifestyle and entertainment destination and Phase III will elevate this offering, positioning it as a world class retail shopping destination, said Chris Johnson, managing principal of Gensler London. “Truly a retail evolution, The Avenues completely redefines the shopping experience for the consumer; it is as much about place making as it is retail design. “The scheme takes reference from the great cityscapes and retail locations around the world. These cities emanate vibrancy, character and a diverse range of retail offerings and experiences – a philosophy that leads the Phase III design,” he added.
16
Located close to the centre of Kuwait City, The Avenues has set a benchmark for high quality retail in the region. Phase I of development opened in 2007 and houses more than 230 retail units. Phase II opened in 2008, offering over 200 higher-end shops, a large food court and outdoor dining venues. As well as being appointed lead architects on the project, Gensler’s design teams are responsible for delivering the interior design. “With the success of the initial two phases of The Avenues, seeing them quickly established as the premier shopping and leisure destination within Kuwait, we were looking to adopt a different design approach for the latest extension,” said Mohammed Alshaya, chairman of development company Mabanee. “The pedigree of Gensler, in providing world class architectural designs, naturally made them the perfect partner for Mabanee as we strive to create another exciting chapter in the continued development of The Avenues. The start of the construction is another milestone for our company, and we look forward to our opening in 2012, offering the population of Kuwait a new and dynamic experience.” And with the global recovery expected to come around in 2012, the opening of the
CONSTRUCTION WEEK DECEMBER 19–25, 2009
mall seems to be ideally timed. A report issues by Kuwait Finance House (KFH) in early November suggested a return to positive territory for the country’s real estate industry fuelled by higher spending on the part of the government and an increased involvement of the private sector in public investments. And though a steady improvement in the property market is expected, outside forces cannot be controlled. With regards to Dubai World’s debt, Kuwaiti lenders don’t seem to have significant exposure to affect them and economic realities are generally trending towards the positive. In late November, the Finance Ministry announced a $20 billion budget surplus for the first seven months of the fiscal year that began in April. This was a dramatic rise on the forecast deficit of $16.8 billion. According to a recent report by the National Bank of Kuwait, residential property prices are still edging downward, falling back some 8% annually on a rolling six-month average basis. With the cost of borrowing having fallen steeply, and prices yet to regain their upward momentum, Kuwait’s property market could soon start to attract investors, which in turn could breathe new life into the country’s construction industry.
LUXURY MALL WILL HAVE A 21M CENTRAL DOME.
THE BAZAAR’S DESIGN IS BASED ON THE GRAND BAZAAR IN ISTANBUL AND WILL HOUSE 34 UNITS BELOW GROUND.
THE SOUK IS MODELLED ON THE TRADITIONAL KUWAIT SOUK AND WILL EXHIBIT THE RICH CULTURAL HERITAGE OF THE COUNTRY.
IN THE LINE OF FIRE
WITH THE INCREASED RISKS THAT THE CONSTRUCTION PERIOD INVOLVES, PROVIDING FIRE SAFETY DURING THIS STAGE OF A PROJECT REQUIRES EXTRA ATTENTION. CW EXAMINES HOW THE ISSUE IS REGULATED AND WHAT MEANS THERE ARE TO ACHIEVE SAFETY By Alison Luke
18
CONSTRUCTION WEEK DECEMBER 19–25, 2009
> For more special reports visit www.ConstructionWEEKonline.com
E
nsuring fire safety in operational buildings requires the skilful design and installation of the correct systems. Achieving the same level of fire safety during the construction period of any project needs an extra level of care due to an increased number of risks. A series of high-profile fires over the past few years in buildings that were still under construction have brought the issue to the fore. Such is the concern in the region that regulations are currently under review, with new guidelines expected to be released in 2010. “Fires on construction sites have been increasing steeply mostly due to negligence and lapses in safety procedure,” reports Cooper Middle East sales director – safety, Ashique Panakkat. One of the most recent fires in an under construction project, that in the Atlantis, The Palm hotel gained worldwide coverage, primarily due to the status of the project. However, the issue is not confined to the Middle East: “Fire safety during construction is a problem everywhere, worldwide,” stresses Passive Fire Protection Federation
(PFPF) chair David Sugden. He highlights a major fire on a site in Peckham, South London in late November as a prime example. Although investigations are still ongoing, initial statements have suggested that on site gas cylinders exacerbated the event in which several people were injured. So what are the risks involved and what steps can you take to improve fire safety on your construction sites?
RISK FACTORS Factors such as incomplete systems, general construction processes and waste are only some of those that affect on-site safety, making the need to provide means for fire safety precautions even greater than in completed buildings. “The construction period is the most dangerous for several reasons: whatever fire precautions are planned for the final building are not complete, so may not be effective...there are lots of other materials on site such as packaging cardboard and plastics; plus general rubbish can build up and that is always a fire hazard,” warns Sugden. “Most of the fires on sites are caused by welding equipment, temporary electrical wiring and personnel negligence,” reports
ASHIQUE PANAKKAT, COOPER MIDDLE EAST.
FPA GUIDANCE The Joint Code of Practice Fire Prevention on Construction Sites is widely recognised as a basis for improved safety and is used worldwide. Published jointly by the UK-based Fire Protection Association (FPA) and Construction Confederation, the document applies to any work that is carried out prior to and during the procurement, construction and design process. It is commonly referred to in insurance documents and is recognised as providing best practice guidance. The 7th Edition of the code includes a number of precautions and safe working practices that when followed will ensure adequate detection and prevention measures are incorporated during the design and planning stages and that work on a site is undertaken to the highest standard of fire safety. Significant revisions to this latest edition include compliance with the requirements of the Construction
(Design and Management) Regulations 2007; guidance on managing fire safety on high fire risk sites, such as high-rise or large timber-framed projects; the addition of a section on the use of acetylene; plus requirements for the siting and construction of smoking shelters. A second FPA document, the Construction Site Fire Prevention Checklist, is designed to be used in conjunction with the Joint Code of Practice. This checklist converts the code into a series of questions that should be asked to establish whether fire precautions on a site are comprehensive and adequate. The document works on a tick-box principle and contains space for notes and comments. Over time it can be used to present a complete fire precautions history for a construction site or building under refurbishment. For further details see: www.thefpa.co.uk
DAVID SUGDEN CHAIRMAN OF THE PFPF.
RAJA HUSSAIN, RAMBOLL.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
19
“WITH OBSTRUCTIONS LIKE SCAFFOLDING COMMON ON SITES, EVACUATION AND FREE MOVEMENT OF PEOPLE BECOMES VERY LIMITED”
Panakkat. “A high-rise project would have hundreds on workers on site and a small incident can easily get out of control,” he stresses. The incomplete status of the final building fire safety precautions should be carefully considered during construction as they are likely to prove ineffective in the event of any fire. For example, blocked or unprotected means of egress routes and incomplete compartmentation means that anyone caught in the building during a fire may become trapped. “With obstructions like scaffolding common on sites, evacuation and free movement of people becomes very limited, posing severe life safety risks. Also, a lack of infrastructure and limited access makes it difficult for first responders to get immediate help to the personnel trapped,” warns Panakkat. “When the building is finished you will have complete compartmentation and have used all the correct fire-rated materials and products,” explains Sugden. “However, some materials such as insulation are not fire-rated until they are complete, for example if they are of a sandwich construction they may not be fire-rated until they are sealed,” he adds.
COOPER’S RADIO+ CAN PROVIDE FIRE DETECTION WITHOUT THE NEED FOR A CABLED CONNECTION.
The different needs of a building between the construction and operational phases bring inherent issues with the provision of fire safety systems. “The fire safety provided during construction is temporary to account for the increase of fire loads such as stored and inflammable material, unlike an operational building which will have a fixed fire protection system designed for a specific hazard group that will not change,” explains Ramboll Middle East senior fire engineer Raja Sajad Hussain. During the construction phase the hazard classification of a project can change depending upon how different areas are being used. “Some areas might be used
DUBAI CIVIL DEFENCE GUIDELINES The local and regional authorities throughout the Middle East have a number of guidelines and regulations in place to minimise fire risk during the construction process. Current Dubai Civil Defence Department guidelines related to multistorey buildings state that a number of fire fighting systems must be installed and fixed in them during construction. These include: • the installation of dry riser outlets in all stairs in buildings from 18-30m; plus outlets in each floor must be connected with hoses or fixed hose reels with inlets for use by firefighters; • in buildings more than 30m, dry riser
20
outlets should be connected with water tanks and moveable pumps, with consideration for the site area, type and nature of materials being used; • fire extinguishers should be fixed on floors used for the storage of materials, in addition to the installation of automatic water sprinklers or other suitable fire suppression system; • enough water sources must be provided in order to operate the fire fighting systems; • the consultant and contractor bear full responsibility for the regular inspection and maintenance of the installed fire fighting systems.
CONSTRUCTION WEEK DECEMBER 19–25, 2009
for the storage of high hazard materials for some duration of time and the same area can be used for storage of low hazard material at a later stage,” explains Hussain. “This change of hazard classification will require constant monitoring of the areas and thereby changing of the fire safety systems to satisfy the minimum requirements of fire protection,” he stresses. The lack of final and/or commissioned MEP services should also be considered when planning for fire safety during construction. “Construction projects do not have provision for providing detection or suppression systems due to the nonavailability of the infrastructure, including wiring for electricity and piping for water,” explains Panakkat. Such issues also apply to the general site operations and staff accommodation, which themselves can become additional hazards if not carefully treated. “Many sites now have accommodation in the form of site huts partway up the structure, which may have facilities for cooking etc. These are temporary structures, with temporary wiring and power and these huts are a proven danger,” warns Sugden.
REGULATION With the different issues affecting the construction phase comes a need to provide a means to specifically control and minimise these as opposed to fire safety risks postbuild. So what regulations are in place and how are these changing? “The fire detection and related safety systems are regulated by NFPA and EN Standards across the Middle East. In the past it was British standards that were prevalent, which then migrated to EN with the changes in Europe; an interesting development in the recent past is the standards shifting towards NFPA,” reports Panakkat. “This was driven by two major factors: an increase in highrise construction in the region and NFPA’s suitability in this area; plus the US fire safety manufacturers influencing the specification and standards,” he explains. On a local level within the region there are specific regulations in place for construction in individual countries. “All GCC local regulations are based on NFPA, but they vary in areas and implementation,” confirms Panakkat. “Each individual Civil
Defence authority in the UAE has its own regulation,” reports Hussain. “The UAE does have Federal regulations, which are inspired by the NFPA and mainly followed by Abu Dhabi; JAFZA has its own regulations, which are based on NFPA; additionally, Saudi Arabia has its own regulations named SBC, which is mainly drawn from ICC,” adds Hussain. With the rising concern over fire safety, changes to the current regulations are expected in the near future. The effectiveness of current regulations on under-construction projects is one issue that requires consideration reports Panakkat: “The local Civil Defence regulations are focused on completed structures, hence there are seldom any inspections to verify the safety practices on job sites,” he states. “With no inspection regime or regulations the entire responsibility of life-safety on job sites is now driven by the contractors and is not surprisingly below the mark where it should be,” says Panakkat. “The fire incident rate of buildings under construction is clearly indicative of a need to have not just laws, but a more robust enforcement of such laws,” agrees Hussain. Plans are reportedly in place both for GCC-wide regulations and updates to the more localised standards. “There is a GCC-wide push to standardise the regulations and a committee has been formed to complete this process,” reports Panakkat. “An initial draft GCC-wide Safety Code has
been issued, which is due for completion in 2010,” he adds. However, the content and effectiveness of the final code for the construction phase of buildings has yet to be confirmed. “Whether [the GCC-wide safety code] will comprehensively cover regulations for projects under construction is a question mark,” warns Panakkat. Other regulation reviews that are currently underway include those issued by the Dubai Civil Defence. “The Dubai Civil Defence is in the process of developing new regulations based on NFPA and [these are due to] be issued early next,” reports Hussain.
SOLUTIONS There are a number of products and systems that can be employed as fire safety devices in an under construction building. “These are generally temporary systems,” reports Hussain, “and include fire hose cabinets that are watered through temporary fire pumps and extinguishers.” Several manufacturers also offer products that can be effectively utilised during the construction phase.
“WITH NO INSPECTION REGIME THE ENTIRE RESPONSIBILITY OF LIFESAFETY ON SITES IS DRIVEN BY THE CONTRACTORS”
Cooper Middle East recently introduced a radio-based wireless addressable detection system, which it is planning to officially launch in the Middle East at the forthcoming Intersec 2010 exhibition. “This is perfect for applications where wiring and infrastructure is difficult,” explains Panakkat. Cooper’s Radio+ can be used to provide a fire detection system without the need for a cabled connection between the field devices and control panel. The range includes a wireless detector with integrated sounder and beacon, which reduces the need for multiple devices. The devices are highlife battery driven and a hybrid version is available for areas where wiring is impossible. A signal range of more than 2km in free air is possible. NAFFCO also offers a wide range of products that are suitable for construction site fire safety, including a compressed air foam system (CAFS). Offering a choice of wet and dry foam to suit different application needs, the CAFS is a general fire fighting system that can be used for most types of fire. One of the simplest, and perhaps most effective ways to improve the fire safety on sites though is to ensure that all staff are educated in the potential risks and their role in minimising these. “The problem is that site labour can be careless,” states Sugden. “That’s where the biggest improvement can be found: in educating people in site safety in general; staff must be adequately trained in the risks that exist,” he concludes.
NFPA GUIDELINES Many projects in the Middle East are designed according to the US National Fire Protection Association (NFPA) codes. An updated version of NFPA 241: Standard for safeguarding construction, alteration and demolition operations was released in 2009. The code provides measures to prevent or minimise fire damage to structures, including those in underground locations, during construction, refurbishment and demolition. Updates within the latest edition include the minimum fire watch duration following torch-applied roofing operations has been increased to two
hours; new requirements for the fire protection of external rubbish chutes; clarified requirements for underground water mains and hydrants; plus clearer guidance on the use of fuel gas cylinders for torch-applied roofing operations. NFPA 5000: Building Construction and Safety Code provides complete rules for new construction, building refurbishment and safety enforcement and includes provisions for all aspects of the design and construction of buildings and structures. It features clearly stated goals and objectives in terms of life safety, fire fighter safety and property
protection on which users can rely during the construction process. It also includes integrated, performance-based design options that enable those involved in the design and construction process to provide innovative means of protecting public safety. Major changes to the 2009 edition of NFPA 5000 include the use of elevators for occupant-controlled evacuation; supplemental evacuation equipment; areas of refuge communication systems; and additional sprinkler mandates for high-rise healthcare and residential buildings. For further details see www.nfpa.org.
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
21
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www.ConstructionWEEKonline.com/directory
§ § § § DIRECTORY
DIRECTORY TENDERS | PROJECTS | SUPPLIERS | CITY UPDATE 24 TENDERS 25 PROJECTS SPECIALIST SERVICES 26 Building materials 27 Construction chemicals/concrete 28 Education & training/flooring 29 Recruitment/steel CITY UPDATE 30 Madinah, Saudi Arabia
To advertise please call Shishir Desai +971 4 435 6375, or email shishir.desai@itp.com
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
23
TENDERS §
¦TENDERS FREE TENDERS AND SERVICES IN THE CONSTRUCTION INDUSTRY TO INCLUDE YOUR TENDERS IN THIS SECTION EMAIL TENDER DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Tender focus
ABU DHABI EDUCATION COUNCIL Abu Dhabi Education Council (Adec) was established in accordance with law No 24 of 2005, issued by HH Sheikh Khalifa Bin Zayed Al Nahyan, the UAE President. The council seeks to develop education and educational institutions in Abu Dhabi, implement innovative educational policies, plans and programmes that aim to improve education, and support educational institutions and staff to achieve the objectives of national development in accordance with the highest international standards. This week, Adec announced that Musanada, a government initiative has been awarded the contract to provide design and construction management services, as well as construction supervision for 18 new schools. Construction tenders will be open for bidding from March 2010.
To include your tenders in this section email tender details to editor@ConstructionWeekOnline.com
BAHRAIN Issuer: Electricity and Water Authority Tender No: 325/2009/5310 Description: The supply of an 11KV VCB switch board panel for Sheikh Khalid Al Ali Mall. Closes: December 23 Fees: BD15 Contact: Tender Submission Office, 7th floor, Tender Board Office at Al Moayyed Tower, Manama. EGYPT Issuer: Egyptian Railways Integrated Services Company Description: Engineering, design, installation and commissioning of four stationary train washing systems in Cairo. Closes: January 24 Fees: EP5000 Bond: EP200,000 Contact: The Railways Workshops, Al Farz, El Sharabiya, Cairo
MUSANADA WILL PROVIDE CONSTRUCTION MANAGEMENT SERVICES FOR 18 NEW SCHOOLS.
Issuer: Public Authority for Electricity and Water Tender No: 324/2009 Description: Construction of chlorination unit in Al Khoud Reservoir. Closes: December 28 Fees: OR200 Contact: www.tenderboard.gov.om Issuer: Majis Industrial Services Tender No: 332/2009 Description: Construction of a seawater intake pumping station in Sohar. Closes: December 28 Fees: OR125 Contact: www.tenderboard.gov.om Issuer: Ministry of Manpower Tender No: 326/2009 Description: Construction of a vocational training centre at Al Burami. Closes: January 4 Fees: OR1450 Contact: www.tenderboard.gov.om
OMAN Issuer: Oman Power and Water Procurement Company Tender No: 353/2009 Description: Provision of a temporary rental power to Oman’s main interconnected system. Closes: December 21 Fees: OR1500 Contact: www.tenderboard.gov.om Issuer: Ministry of Education Tender No: 313/2009 Description: Construction of 20 classrooms in a boy’s basic education school in Al Khrayis, Wilayat Al Seeb. Closes: December 21 Fees: OR330 Contact: www.tenderboard.gov.om Issuer: Ministry of Health Tender No: 312/2009 Description: Construction of a health centre in Al Ajaiz. Closes: December 21 Fees: OR500 Contact: www.tenderboard.gov.om
QATAR Issuer: Public Works Authority Tender No: PWA/GTC/053/09-10 Description: Construction, completion and maintenance for modifications and additions to existing schools around Doha. Closes: December 22 Fees: QR2000 Contact: Contract department, Public Works Authority Issuer: Public Works Authority Tender No: PWA/GTC/056/09-10 Description: Civil works in Ain-Khalid area. Closes: December 29 Fees: QR4000 Contact: Contract department, Public Works Authority Issuer: Public Works Authority Tender No: PWA/GTC/051/09-10 Description: Construction, completion and maintenance of administration offices and car parking for the Supreme Council of Justice.
Closes: January 5 Fees: QR1500 Contact: Contract department, Public Works Authority SAUDI ARABIA Issuer: Ministry of Transport Description: Construction of Bisha dual carriageway in Makkah. Closes: December 21 Contact: www.mot.gov.s Issuer: Saline Water Conversion Corporation Description: Construction of a pump station in Buriydah, Saudi Arabia Closes: December 28 Fees: SR1000 Contact: www.swcc.gov.sa UAE Issuer: Ministry of Public Works Tender No: 2009/167/10-341104-7091-7048 Description: Construction of a maternity and children’s hospital in Sharjah, UAE. Closes: December 22 Fees: AED8000 Contact: www.mopw.gov.ae Issuer: Dubai Electricity and Water Authority Tender No: CNE/0114/2008(R) Description: Construction of water intake channel (onshore and offshore sections), and an outfall system. Closes: January 25 Contact: The Chairman, Board of Directors, Dubai Electricity and Water Authority.
ONE TO WATCH Issuer: Abu Dhabi Education Council Description: Construction of 18 new schools. Open date: March 2010 Project value: Unknown Contact: Abu Dhabi Education Council, PO Box 36005, Abu Dhabi, UAE
> For more tenders check online at www.ConstructionWEEKonline.com/tenders 24
CONSTRUCTION WEEK DECEMBER 19–25, 2009
¦PROJECTS
> For the latest projects information visit www.ConstructionWEEKonline.com/projects
§ PROJECTS
A SAUDI ARABIA DATABASE - BUILDING PROJECTS FOCUS TO LIST YOUR PROJECTS IN THIS COLUMN EMAIL DETAILS TO EDITOR@CONSTRUCTIONWEEKONLINE.COM
Project focus
KING ABDULAZIZ CENTRE FOR KNOWLEDGE AND DEVELOPMENT The project calls for the construction of King Abdulaziz Centre for Entertainment and Knowledge in Dhahran. The design of the project resembles a rock mass incorporating five separate buildings. Aramco invited companies to express interest in the tender for the main construction contract in September this PROJECT TITLE
THE MAIN CONTRACT FOR CENTRE IS EXPECTED TO BE AWARDED NEXT YEAR.
year and firms must place their bids by the end of this month. The award for the contract is expected early next year and the centre should be ready by June 2012, a date which will mark the 75th anniversary of Saudi Aramco. Snonette is the architect for the US $400 million (SR1.5 billion) project.
CLIENT
CONSULTANT
MAIN CONTRACTOR
VALUE (US$MN)
STATUS
240 PUBLIC HOUSING VILLAS IN YANBU
Royal Commission for Jubail and Yanbu (RCJY)
In House
Al Muhaidib Contracting Company
8000 RESIDENTIAL UNITS - NORTH JEDDAH
Kinan/Savola Group/Eleba Company
Not Appointed
Not Appointed
640
project in concept stage
AL BARARI - LUXURY VILLAS IN JEDDAH
Al Barari
Not Appointed
Not Appointed
27
project in concept stage
100 BED HOSPITAL IN QATIF
Ministry of Health
Beeah Planners
Saeed Radad Al Zahrany
17
project under construction
THUMAMAH PARK IN RIYADH - PHASE 1
Arriyadh Development Authority
Omrania & Associates
Not Appointed
JABAL AL KABA DEVELOPMENT - MEGA HOTEL
Abdul Latif Jamil Real Estate
Dar Al Handasah
Saudi Constructioneers Est
DAR AL-QEBLAH COMPLEX
Munshaat Real Estate Projects Company
Zuhair Fayez & Partners
Saudi Binladin Group
UMM AL-QURA UNIVERSITY EXPANSION - STAFF ACCOMMODATION - PHASE 2
Umm Al Qura University
SaudConsult
IMAM ISLAMIC UNIVERSITY IN RIYADH - ISLAMIC STUDIES COLLEGE
Imam Islamic University
OLAYA TOWERS IN RIYADH
SAUDI ARABIA 74
28
project under construction
project under design project under construction
180
project under construction
Nesma & Partners Contracting Company
16
project under construction
Tibsa/In House
Saudi Art of Architecture Maintenance Ltd.
27
project under construction
General Organization for Social Insurance (GOSI)
Zuhair Fayez & Partners
Nesma & Partners Contracting Company
250
project under construction
KING FAHD NATIONAL LIBRARY
Arriyadh Development Authority/ King Fahd National Library
SaudConsult/Gerber Architects
Saudi Binladin Group
78
project under construction
RESIDENTIAL TOWN IN AL BATHA - PHASE 4
Ministry of Finance
Abdulrahman Al Noeim Engg. Consult.
Al Eraini Contracting Company
14
project under construction
TABUK DOMESTIC AIRPORT EXPANSION
General Authority for Civil Aviation
Saudi Consolidated Engineering Co;
Saudi Binladin Group
59
project under construction
ITCC PARK IN RIYADH PHASE 1
The Public Pension Agency
Zuhair Fayez & Partners
Al Rajhi Projects/Al Yamamah / CCE
1,500
project under construction
KING ABDULAZIZ UNIVERSITY - NUCLEAR RESEARCH FACILITY
King Abdulaziz University
Not Appointed
Not Appointed
150
project in concept stage
RAYADAH - MIXED USE DEVELOPMENT IN JEDDAH
Rayadah Investment Company
Not Appointed
Not Appointed
150
project in concept stage
THREE 100-BED GENERAL HOSPITALS
Ministry of Health
Al Naem Engineering/Arclane Engineering
Saudi Pan Company for Trading & Contracting
70
project under construction
PEDIATRIC & MATERNITY HOSPITAL IN RAFHA
Ministry of Health
Al Mashriq Contracting
Al Mashriq Contracting
53
project under construction
To list your projects in this section email details to editor@ConstructionWeekOnline.com
101 - 250
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Supplier focus
SATMA INTERNATIONAL
MANUFACTURER OF LANDSCAPING PRODUCTS AND SYSTEMS Established in 1982, Satma International offers landscaping applications including decks, walkways, driveways, garage floors, warehouse floors, interior floors, steps, walls, porches, patios and pool decks. It also supplies playground equipment, asphalt and irrigation and fog systems. The company’s head office is in Dubai but it also has a branch in Riyadh, Saudi Arabia and is currently supplying its products to projects across the GCC. Satma is aware of requirements for successful execution of projects, such as proper engineering design, and advanced planning, along with the necessity of special field supervision, skilled laborers and control programmes. While achieving its second half targets is important, Satma’s priority is to breakeven in the new year by minimising overall expenses, while ensuring high standards of quality. The company is optimistic that the market will improve in 2010. “Having 50 dedicated professional workers, we are confident that our team possesses a high level of expertise to meet and exceed our client expectation. Our team takes a great personal pride in each project executed, they put human touch into each one as it is made,” says Satma managing director Manen Kassab.
To advertise please call +971 4 435 6375 or email shishir.desai@itp.com
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SATMA MANAGING DIRECTOR MANEN KASSAB IS OPTIMISTIC ABOUT BUSINESS OPPORTUNITIES FOR 2010.
BUILDING MATERIALS
26
CONSTRUCTION WEEK DECEMBER 19–25, 2009
BUILDING MATERIALS
STEEL
HARD LANDSCAPING SUPPLIER
§ SPECIALIST SERVICES
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CONSTRUCTION/MANUFACTURERS
CONSTRUCTION CHEMICALS
Fiberglass reinforcing mesh
DEWATERING
Engineering Works Foundation Infrastructure (L.L.C.) P.O. Box: 111245, Dubai - U.A.E. P.O. Box: 2752, Abu Dhabi - U.A.E. Tel: +971 4 340 9022 Fax: +971 4 340 8952 E-mail: brian@ewfi.ae
SPECIALIZED DEWATERING SERVICES: • Specialized in Deepwell, Wellpoint, Open pumping techniques • Professional Service OTAL (LLC) Dubai, U.A.E Phone: (+971-4) 267 9646 e-mail: otal@eim.ae website: www.otal.ae
• Round the clock backup • Effective Groundwater control DECEMBER 19–25, 2009 CONSTRUCTION WEEK
27
To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
CONSTRUCTION/MANUFACTURERS
SPECIALIST SERVICES §
¦SPECIALIST SERVICES CONSTRUCTION PRODUCTS AND SERVICES MADE EASY IN CONSTRUCTION WEEK’S DIRECTORY TO ADVERTISE PLEASE CALL +971 4
CONTRACTORS/MANUFACTURERS
LANDSCAPING
POST TENSIONING
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Alomi
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HVAC & PLUMBING RELATED EQUIPMENT
28
CONSTRUCTION WEEK DECEMBER 19–25, 2009
PP CORRUGATED SHEETS
RECRUITMENT
ยง SPECIALIST SERVICES
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RECRUITMENT
,OOKING TO RECRUIT WORKERS FROM
)NDIA .EPAL
"ANGLADESH 3RI ,ANKA
0HILIPPINES 4HAILAND
6IETNAM 0AKISTAN To advertise please call +971 4 4 435 6375 or email shishir.desai@itp.com
OR LOCAL LABOUR SUPPLY 7E ALSO UNDERTAKE -IGRATION 3ERVICE TO !USTRALIA #ANADA 4EL &AX % MAIL ASSIDUAA EIM AE STEEL
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DECEMBER 19โ 25, 2009 CONSTRUCTION WEEK
29
MAHMUD HAMS/AFP/GETTY IMAGES
CITY UPDATE MADINAH, SAUDI ARABIA “IF THE SAYING, ‘IF YOU BUILD IT, THEY WILL COME’ APPLIES ANYWHERE ON EARTH, IT’S HERE IN THE CITY OF MADINAH”
PROPHET MOHAMMED MOSQUE IN THE SAUDI HOLY CITY OF MADINAH.
30
CONSTRUCTION WEEK DECEMBER 19–25, 2009
Masterplanning Madinah MADINAH IS A CITY THAT IS NOT ONLY PLANNING TO GO FAR, BUT ALSO CREATING OPTIONS FOR THOSE WISHING TO STAY PUT By James Boley
speeds reaching 360km per hour. However, more static projects are also planned for the city. Madinah will be the site of Knowledge Economic City, a $7bn new city project developed by the Saudi Arabian General Investment Authority (SAGIA). The 4.8 million m² development will include medical, health, science, multimedia, education and biotechnology services, a hi-tech park for knowledge-based industries with potential for cutting-edge fit-out contracts, and an educational theme park. The project contrasts somewhat with what is currently available in Madinah, in terms of new construction, but the project’s concept designer remains confident in its future. “I think this is mostly attributed to the leadership of King Abdullah Aziz and his sense of the necessity for change,” says Dr. Abdullah MA Telmesani, vice president of project development for Quad International Real Estate Development and concept designer for KEC. “If the saying, ‘If you build it, they will come’ applies anywhere on earth, it’s here in the city of Madinah.” MAHMUD HAMS/AFP/GETTY IMAGES
A
s the second holiest city in Islam, and a vital destination as part of the Hajj, it should come as no surprise to learn that improving access in and out of Madinah takes the highest construction priority. The city is one of several stops scheduled for the Haramain high-speed rail project, which will link Madinah with Makkah, Jeddah and the King Abdul Aziz International Airport. The first contract, worth US $1.8 billion (SAR6.8 billion) for the MakkahMadinah portion of the high-speed railway contract was been awarded to a SaudiFrench-Chinese consortium. The Al-Rajhi construction group together with France’s Alstom and China Railway Engineering won the civil works contract. The contract is the first stage of a $6 billion plan to build a 444km high-speed railroad linking the two Islamic holy cities of Makkah and Madinah through the Red Sea port city of Jeddah. The project aims to ferry hundreds of thousands of pilgrims at
TOP PROJECTS US$ Knowledge Economic City Haramain high-speed rail
7 billion 6 billion
A WORKER STANDS IN A CRANE AT THE PROPHET MOHAMMED MOSQUE IN THE SAUDI HOLY CITY OF
DECEMBER 19–25, 2009 CONSTRUCTION WEEK
31
DIALOGUE RABIH FAKIH Concrete evidence Grey Matters managing director Rabih Fakih talks about the success of his firm’s 2nd International Conference on Advances in Concrete Technology, held last week, and the importance of using Self Consolidating Concrete (SCC)
By Sarah Blackman
What inspired you to hold the concrete conference?
And the disadvantages?
Last year we had the chance to start our new conference, which was the 1st International Conference on Advances in Concrete Technology in the Middle East and was held in Dubai. This was very successful and had very good feedback so we decided to organise the second one in Abu Dhabi.
One disadvantage – if you want to look at the short-term – is the cost, which can be around 50% higher than conventional concrete. The other indirect disadvantage is that not many suppliers are capable of offering SCC. Therefore, if you use a supplier who doesn’t have the right technical knowledge it might back-fire on you. Contractors will also need to use high quality formwork for SCC, as the product creates higher pressures during the casting period than conventional concrete.
What was the main focus of the conference?
Last year, the event covered advanced concrete technology in general and this year we wanted to make the conference specialised by focusing on Self Consolidated Concrete (SCC). We decided to bring to the conference experts from around the world who have been involved in the concrete industry for many years. Delegates were able to listen to case studies and learn how they can improve their SCC mix. How does SCC work?
SCC isn’t very new – it started in the 1980’s and there are already suppliers in the Middle East who produce it. It isn’t rocket science, it is simply a concrete mixed with liquid admixtures to increase its flow ability. The proportion of the aggregate is also altered to make the SCC mix. The product is designed to flow into areas that have been created by the formwork to meet structural design without the need of mechanical vibration. What are the advantages of SCC?
You will save labour costs by using SCC. Usually, to cast a column you need around four labourers because, with conventional concrete, you generally need mechanical vibration to assist the flow of the mix. With SCC, you don’t need anybody, just the pump. Also, the time it takes to fill a structure with cement mix is dramatically cut when using SCC– we proved this during an experiment at the conference. Further, the surface of the finish is excellent.
32
Is SCC a popular material in the construction industry?
SCC has been implemented in many projects, but still today there is a preference for conventional concrete over SCC – around 2% of construction companies use it. Through the conference we wanted to increase the awareness in the market that SCC is needed. In Europe there is a plan to get 20% of construction companies using SCC by 2020. Why are construction companies discouraged from using this material?
It’s like with everything, some people are with us and some people are against us. The problem with introducing a product is that one dissatisfied customer will tell six people and one satisfied customer will tell three.
Fakih is the founder and the managing director of Grey Matters Group of Companies, a trading and consultancy group serving the Middle Eastern construction and concrete industries. He is a member of American Concrete Institute and other international associations. Fakih has introduced several concrete technologies into the Middle East and GCC market and his company has successfully organised two international conferences in Dubai and Abu Dhabi.
CONSTRUCTION WEEK DECEMBER 19–25, 2009
Other than SCC, what other current trends are you witnessing in the concrete sector?
Suppliers are working on ultrastrength concrete so customers can invest in concrete with 200 megapascals in strength rather than 100 mega-pascals. But, the most advanced concrete technology, which is in the market, is SCC. There are some other high-performance concrete technologies but these are still in the very early stages of research.
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