The Omani-Emirati three way partnership Hafeet Rail is buying 27 new heavy-haul freight locomotives from Progress Rail. The deal now comes after the three way partnership secured 1,5 billion {dollars} in funding for the infrastructure mission, which is meant to attach Oman and Abu Dhabi within the United Arab Emirates (UAE) through rail.
As a part of the deal, Hafeet Rail is buying 27 EMD SD70ACS locomotives for use on the longer term rail line, and are reportedly tailored to the arid local weather of the area.
“This partnership reaffirms our dedication to creating and working the railway community geared up with cutting-edge heavy-haul freight locomotives that meet worldwide benchmarks. Moreover, our fleet is tailor-made to adjust to GCC Railway Community requirements, paving the best way for environment friendly and streamlined freight motion between Oman and the UAE sooner or later,” mentioned Ahmad Al Musawa Al Hashmi, CEO of Hafeet Rail.
“We’re eager on forging partnerships that resonate with our mission to supply aggressive freight options throughout the joint community. This initiative is poised to spice up regional commerce and unlock new prospects within the infrastructure, transportation, and logistics sectors of each international locations, thereby enhancing financial diversification and fostering sustainable progress”, the CEO added.
Rail The rest
Hafeet Rail, a three way partnership between Etihad Rail, Mubadala, and Asyad Group, shall be 238 kilometres lengthy and is meant to attach 5 main ports and industrial zones throughout the UAE and Oman. Sooner or later, an prolonged connection to Oman’s capital metropolis Muscat is deliberate as effectively.
The rail mission, which was beforehand named Omani & Etihad Rail Firm however modified its identify within the spring of 2024, is a part of a wider effort to develop rail infrastructure within the Gulf area and to attach all six Gulf Cooperation Council member states.
Over a billion {dollars} in funding
Earlier, Hafeet Rail secured 1,5 billion {dollars} out of two,5 billion {dollars} in crucial funding. The 1,5 billion greenback funding for the mission reportedly comes from Emirati, Omani and regional banks, in addition to banks from the broader world, together with Jordan, Kuwait and the UK.
The funding for the rail line comes amid indicators of ample demand for the mission. As early as August 2023, a metal firm signed up as a buyer, regardless that preparatory works for the rail line solely begin in Could of 2024. In each the UAE and Oman, the event of rail freight infrastructure is a current phenomenon.
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