The value of quarterly project wins in the GCC region has also increased to its highest level over five years.
The second quarter (Q2) of 2023 saw a rise of 86% in the number of projects awarded by the Gulf Cooperation Council (GCC), to $49.7 billion, from $26.7 billion in the same quarter in 2022.
According to a report by Kamco Invest, this upswing highlights the GCC countries’ dedication to carrying out and achieving their diversification goals. The statistics, gathered by MEED Projects, highlighted how Qatar’s overall contract value climbed 8.3 times, year over year to reach $10.4 billion in 2023 from $1.1 billion in the second quarter of 2022.
The performance of Qatar’s gas industry, which accounted for approximately 97% of the total value of projects awarded during the quarter, was blamed for this significant increase in contract awards. In particular, from $600 million in Q2 2022 to $10 billion in Q2 2023, the total value of projects in the gas sector that were awarded experienced a meteoric rise.
The report also pointed out a significant increase in the total value of projects awarded in Qatar, largely due to a single megaproject given by Qatar Energy. An incredible $10 billion engineering, procurement, and construction (EPC) contract for the North Field South (NFS) megaproject has been awarded to a partnership between Technip Energies and Consolidated Contractors Company (CCC).
The world’s largest single non-associated gas field is the NFS project, Qatar’s second phase of the North Field expansion. With a capacity of 16 million tonnes annually, it includes two LNG mega trains.
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Two LNG trains, each with a capacity of approximately 8 million, and carbon capture and sequestration facilities are among the numerous EPC projects that are part of the deal. The report also said that the GCC region’s strong increase in the overall value of project awards is evidence of the region’s economies’ robust health.
In Q2, 2023, Saudi Arabia alone received more than 49.1% of all contracts issued, making this the biggest quarterly project awards value in over five years. Saudi Arabia, the UAE, and Qatar collectively represented a significant 94.4% of all projects in the GCC.
MEED projects anticipates that the total value of GCC contracts now out for bid or those most likely to be awarded this year will surpass $110 billion by 2023. The project markets in Saudi Arabia, Qatar, and the United Arab Emirates are predicted to have considerable growth this year, while it is projected that Kuwait and Oman will also have a greater increase in the value of contract awards in 2023.
We hope this blog was helpful and that you have better acknowledged the ongoing projects in Qatar. In addition to all this, there is a crucial requirement for the ground workforce, and this is where we come into the picture. If you want to hire skilled workers for your construction projects in the Middle East, contact us at +91-11-40410000 or enquiry@dss-hr.com.
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