UNIMAC 7308

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UNIMAC is a specialised heavy civil contracting company which independently designs and executes projects ranging from inter-city highways to world-class racetracks. Hannah Barnett spoke to Director of Business Development Diana Abou Hassan, CEO Fadi Hatoum and Director of Environment & Sustainability Muhiba Uwaydat to learn more.

United Maintenance and Contracting Company (UNIMAC) is first and foremost a Saudi organisation This is manifested through the way the company runs its projects as part of the development of a genuinely sustainable Saudi Arabia.

“One of the biggest drivers in Saudi Arabia today is local content,” explained Diana Abou Hassan, Director of Business Development. “The construction industry has a crucial role in sustainability in this country. Rather than managing projects via a revolving door of expats, we are developing a Saudi Arabia that is independent.”

A period of growth

UNIMAC has been firmly on this route of sustainable growth for several years. The company owes a portion of its upward trajectory to involvement in the construction of the first Formula One track in Saudi Arabia, the Jeddah Corniche Circuit, which was completed in 2021.

“This was a far more complicated motorsports facility than the Formula E track we had done previously,” said CEO Fadi Hatoum. “The project put us on a solid route to significant expansion in Saudi Arabia and was well timed with the growth of the construction sector to achieve the Vision 2030 requirements. So, not only are we growing fast as a company, but we’re part of a rapidly expanding sector. It is the perfect time and place.”

This rapid growth is reflected by the figures. UNIMAC has increased its backlog of around SR600 million in projects to a backlog of close to SR2.5 billion. This includes work at many of the illustrious Giga-projects, including the racetrack at Qiddya as well as work at Diriyah and NEOM. The Giga-projects are intended

to expand significantly beyond the real estate sector and help to diversify the Saudi economy away from oil.

The company has close to 1,000 employees of core staff. This marks growth from 600 employees in 2019. UNIMAC has also expanded in asphalting capacity by 250% as a result of investing in several new asphalting plants.

Growth is further reflected in UNIMAC’s turnover has increased by six-fold in the past five years.

Assisting the Giga-projects

The global push toward net zero has influenced UNIMAC’s approach. UNIMAC is actively seeking the opportunities to reduce its environmental impact while ensuring project success. By embracing sustainable practices, the company contributes to climate action and long-term profitability.

When Qiddiya, the planned entertainment and tourism megaproject in Riyadh, awarded a major contract to UNIMAC for the development of a racetrack at Qiddiya’s Speed Park, it was a significant milestone for the company.

Valued at an estimated SR1.8 billion, the contract included the construction of the track along with various infrastructure components such as electrical networks,

storm drainage systems and water and sewer networks.

“The Qiddiya Speed Park circuit is the largest FIA homologated track in the world,” explained Mr Hatoum. “It is the most expensive racetrack in the history of motorsports. We’re really proud to be the main managing contractor for that project. This has catapulted UNIMAC to start taking on more sport facility projects worldwide.”

To date, UNIMAC has successfully diverted 80% of all waste from landfill in its project in NEOM, which has led to significant reductions in carbon emissions as well as cost saving on waste transportation.

“We are increasingly implementing measures to minimise the use of concrete, timber wood and plastic waste, as well as promoting continuous reuse of materials,” said Muhiba Uwaydat, Director of Environment & Sustainability. “We are also working on a 15 per cent reduction in water use across all project activity by the end of 2024.”

In short, UNIMAC’s vision combines infrastructure excellence, innovation and sustainability, making it a key player in shaping Saudi Arabia’s future.

Saudi suppliers

The company applies a holistic approach to its supply chain. This means considering a positive contribution to society and the economy, as well as the environment, while also enabling consistent, cost effective and high-quality product delivery.

“We have been future proofing our supplier assessments by including a thorough examination of their capacity to adopt sustainable practices,” Ms Uwaydat explained. “Additionally, fostering an open dialogue and building trust with our suppliers are essential catalysts for encouraging environmental and social performance.”

Mr Hatoum pointed out that much has changed in the Saudi construction sector over the last 25 years. The key shift has been the increase in homegrown talent, aligning with the Saudi Vision 2030 and the company’s own localised approach.

“It used to be about spending the maximum amount of money to get facilities up and running in the shortest period of time,” he said. “Now, it’s about doing that, while simultaneously ensuring that we’re part of a sustainable ecosystem that will continue to grow for the next couple of decades.

“It’s now important to use local resources, suppliers and manpower. This gets money flowing through the sector to take us beyond Vision 2030. We want stability and long-term growth. It’s all about ensuring that we’re part of a sustainable ecosystem.”

The company has started applying these principles across its projects, despite external pressure from consultants to use foreign resources.

“We used Saudi raw materials for the Jeddah Corniche track, instead of raw materials from Europe,” Mr Hatoum explained. “We found aggregates in Mecca, and we built the track ourselves. The track was also designed here and close to 50 per cent of the of the staff were Saudis. A further 50 per cent of those Saudi staff were female, and they did an excellent job.”

A firm future

To align with its vision as a futurefocused company, UNIMAC is also upgrading its fleet of trucks and machinery. This includes a new

asphalting machine equipped with a tier 5 engine. The new fleet will run on low sulphur diesel, produced by Aramco. But the company is not content to stop there.

“We’re talking to our equipment suppliers and partners about using hydrogen tech nology,” Mr Hatoum added. “We expect to be using this by 2026 or 2027. The technology is already there, but we’re waiting for the actual fuel to be produced. We’re very excited about that.”

The company has also established a new sister company, UNISCAPE, a landscape solutions provider, which covers 5.17 million square metres of land and has planted 260,000 trees to balance carbon emissions.

For Mr Hatoum, construction is his family trade and one that stretches back decades He identified the current era as a turning point in the industry, motivated by the possibility of change, not only for the environment but for the way contracting companies operate in Saudi Arabia.

“I always talk about how important it is to be a partner with the customers, and to work hand-in-hand,” he concluded. “A lot of new contractors now operating in Saudi Arabia have the same mentality. I truly believe that all the hard work we have put in is paying off, because the reputation of contractors has improved significantly.

“The clients trust us more, so they’re involving us in the design process. Now we can participate in improving facilities and share ideas. There is a lot of back and forth that was not there before. I think that’s amazing. Changing the face and repetition of the contracting sector is what drives me.” n

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