The recent state visit of His Majesty Sultan Haitham bin Tarik to the UAE has resulted in significant agreements being signed between the two nations, marking a new era of cooperation and development. His Highness Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, Deputy Chairman of the Presidential Court for Development, highlighted the importance of these agreements in enhancing the historical relations between the UAE and Oman, supporting economic and commercial integration, and strengthening social and cultural ties.
One of the key agreements signed during the visit was the shareholder agreement between Etihad Rail, Oman Rail, and Mubadala Investment Company, marking the commencement of construction works for the joint railway project. This project is seen as a significant addition to the logistics sector, stimulating various industrial sectors and economic activities, providing increased commercial and investment opportunities for the private sector, and supporting the integration of Omani port activities with regional and international markets.
The civil works and construction tender for the joint network was awarded to an Omani-Emirati alliance, aligning with efforts to build national capabilities and drive in-country value. Additionally, a tender for the systems and integration of the railway network was awarded to a joint venture between Siemens and HAC, ensuring advanced infrastructure with full digital train control and tracking through GPS technology.
The joint venture between Etihad Rail, Oman Rail, and Mubadala Investment Company unveiled their new corporate identity as Hafeet Rail, paying homage to Jebel Hafeet that stretches between Oman and the UAE. This new identity reflects the shared vision and collaboration between the two nations in developing a sustainable and efficient railway network.
The Ministers of Energy and Infrastructure of the UAE and Investment of the UAE highlighted the accomplishments of the joint venture in the past 18 months, emphasizing the role of the network in facilitating local and regional trade, unlocking new opportunities in infrastructure, transportation, and logistics sectors, and fostering economic diversification and comprehensive development.
The project aims to increase job opportunities, drive efficiencies within the supply chain, facilitate cross-border trade, and connect commercial ports to railways within the two countries. It also aims to contribute to the development of various sectors such as mining, iron and steel, agriculture and food, retail, e-commerce, and the petrochemical sector by providing fast, safe, and sustainable transportation services for goods via rail.
Furthermore, the passenger rail services will connect population centers, support the tourism sector, and foster social cohesion. With trains reaching speeds of up to 200 kilometers per hour, the network will significantly reduce travel time between cities, enhancing connectivity and accessibility for passengers.
Overall, the signing of these agreements reflects the commitment of both governments to strengthen their ties and advance their shared goals of sustainable development and economic prosperity. The joint railway project is set to transform the logistics landscape in the region, creating new opportunities for growth and collaboration between the UAE and Oman.