This came during the activities of the first day of the inaugural edition of the Global Rail, Transport and Infrastructure Exhibition and Conference (Global Rail) 2024 in Abu Dhabi, which is hosted by Etihad Trains under the patronage of Sheikh Mansour bin Zayed Al Nahyan, Vice President of the UAE, Deputy Prime Minister, and Head of the Presidential Court. ; And with the follow-up of the Sheikh Theyab bin Mohammed bin Zayed Al NahyanDeputy Head of the Presidential Office for Development Affairs and Families of Martyrs, Chairman of the Board of Directors of Etihad Rail Company.
This announcement confirms the strategic importance of the joint project between the two countries, which has a total value of 2.5 billion US dollars, and is being implemented and operated by Hafeet Rail Company. It also reflects the great confidence that this project has received from local, regional and international banks in the two countries.
The joint Omani-Emirati railway network project represents a key link in a unified chain of transport and logistics services that will extend across the countries of the region, providing social benefits and competitive economic incentives for the two countries.
The joint network also reflects the close partnership and joint efforts between the company Union trainOman Rail Company, and Mubadala Investment Company (Mubadala) to achieve an interconnected and prosperous future for railways.
Etihad Trains and Asyad Group own the majority shareholding in the joint company, Hafeet Trains.
In turn, Engineer Abdul Rahman Al Hatmi, CEO of ASYAD Group, said: “The great interest shown by the leading banks in both countries to finance the project reflects the firm confidence in this strategic investment.
He added that the success of Hafeet Railways in securing this bank financing not only strengthens the transport and logistics sector, but also contributes to stimulating economic growth and enhancing commercial activity between the two countries. It is certain that the network project will… Railway The joint Omani-Emirati partnership will enhance the competitiveness of the two countries as a vital commercial and investment center linking them to global markets through their seaports and modern airports.”
In this regard, Shadi Malak, CEO of Etihad Rail Company, said: “The success of Hafeet Trains in obtaining bank financing is strong evidence of the wide confidence that this strategic project has received, not only in the transport and logistics sector but also at the level of the banking sector in both countries.” It also enhances the region’s ability to attract investments and confirms its position as a major commercial center and hub for accessing global markets.”
He added, “Linking Sohar Port to the UAE national railway network will represent a vital artery for trade between the two countries, as well as consolidating the region’s position as a global center for logistics operations. This is in line with the endeavors of Union trains “Which we are working to achieve with the support and follow-up of Sheikh Theyab bin Mohammed bin Zayed Al Nahyan, Deputy Chairman of the Presidential Office for Development Affairs and Families of Martyrs, Chairman of the Board of Directors of Etihad Rail Company, to contribute to achieving a better future for the transportation sector in the country and the region.”
In this context, Standard Chartered Bank, as the main financial advisor, played a pivotal role in securing… Bank financing Required to develop the project, since early 2023.
First Abu Dhabi Bank also acted as a participating financial advisor.
The bank loan to finance the project was obtained from a group of Emirati banks Omani, regional and international, across traditional and Islamic segments, in both the UAE dirham and the Omani riyal.
A group of banks from the UAE participated in the successful bank financing of the first cross-border railway network between the United Arab Emirates and the Sultanate of Oman, which included Abu Dhabi Commercial Bank, Arab Bank, Commercial Bank of Dubai, First Abu Dhabi Bank, National Bank of Kuwait, Standard Chartered, and Abu Dhabi Bank. Islamic Bank and Ajman Bank.
From the Sultanate of Oman, the National Bank, Bank Dhofar, Bank Muscat, National Bank of Oman, Oman Arab Bank, Al Ahli Islamic, Bank Muscat (Methaq Islamic Banking), Bank Nizwa, and Alizz Islamic Bank participated.
It is noteworthy that the joint railway network extends over a distance of 238 kilometers and includes 60 bridges, reaching a height of 34 meters, and tunnels extending over a distance of 2.5 kilometers, and will connect five Ports Major industrial centers and many free zones in the two countries.
Each train journey through the network is expected to transport more than 15,000 tons of goods, equivalent to 270 standard containers.
Sectors that will benefit from these new capabilities include mining, iron and steel, agriculture, food, retail, e-commerce and petrochemicals.
When operational, the railway network will reduce travel time between… Abu Dhabi Sohar takes only 100 minutes, and the maximum speed of the freight train reaches 120 km/hour.
While the maximum speed of the passenger train reaches 200 km/h, one train can accommodate up to 400 passengers.
