Hafeet Rail signs agreement for heavy locomotives
Published: 12:10 PM,Oct 11,2024 | EDITED : 04:10 PM,Oct 11,2024
Muscat: Hafeet Rail has signed a contract with Progress Rail to supply the network’s fleet of heavy freight locomotives, in line with its commitment to complete the cross-border railway network project.
The locomotives will be designed to suit the region’s geography and climate and to meet the highest international standards of safety, security, sustainability, and environmental protection.
As part of the Global Rail Exhibition and Conference, Hafeet Rail also announced the award of management and engineering consultancy services to support the development of the joint network project to Systra, a leading French engineering and consulting company.
Hafeet Rail has signed bank financing agreements worth RO 577 million in project finance debt, secured by Omani and Emirati banks, in addition to regional and international banks.
The consortium of banks involved in this financing agreement is from the UAE - Abu Dhabi Commercial Bank, Arab Bank, Commercial Bank of Dubai, First Abu Dhabi Bank, National Bank of Kuwait, Standard Chartered Bank, Abu Dhabi Islamic Bank, and Bank Ajman. The agreement also included nine banks from the Sultanate of Oman, including Ahli Bank, Bank Dhofar, Bank Muscat, National Bank of Oman, Oman Arab Bank, Ahli Islamic Bank, Bank Muscat (Meethaq Islamic Banking), Bank Nizwa, and Alizz Islamic Bank.
The 238km long railway network – to include 60 bridges, some towering up to 34 meters in height and tunnels stretching 2.5 km in length – will link five major ports and various industrial and free zones across the two nations. A single freight train journey on the network is expected to transport more than 15,000 tonnes of cargo or approximately 270 standard containers. Sectors set to benefit from this new capacity range from mining to iron and steel, agriculture and food, retail, e-commerce, and petrochemicals.
Once operational, the railway will cut the travel time between Abu Dhabi and Sohar to just 100 minutes with freight trains reaching speeds of 120 km/hour. Passengers will be able to ride on the network, with one train being able to accommodate up to 400 travelers at a speed of 200km/hour.
Hafeet Rail has successfully reduced the required bank financing for the Emirati-Omani rail network from the initially announced $3 billion to $2.5 billion.
The locomotives will be designed to suit the region’s geography and climate and to meet the highest international standards of safety, security, sustainability, and environmental protection.
As part of the Global Rail Exhibition and Conference, Hafeet Rail also announced the award of management and engineering consultancy services to support the development of the joint network project to Systra, a leading French engineering and consulting company.
Hafeet Rail has signed bank financing agreements worth RO 577 million in project finance debt, secured by Omani and Emirati banks, in addition to regional and international banks.
The consortium of banks involved in this financing agreement is from the UAE - Abu Dhabi Commercial Bank, Arab Bank, Commercial Bank of Dubai, First Abu Dhabi Bank, National Bank of Kuwait, Standard Chartered Bank, Abu Dhabi Islamic Bank, and Bank Ajman. The agreement also included nine banks from the Sultanate of Oman, including Ahli Bank, Bank Dhofar, Bank Muscat, National Bank of Oman, Oman Arab Bank, Ahli Islamic Bank, Bank Muscat (Meethaq Islamic Banking), Bank Nizwa, and Alizz Islamic Bank.
The 238km long railway network – to include 60 bridges, some towering up to 34 meters in height and tunnels stretching 2.5 km in length – will link five major ports and various industrial and free zones across the two nations. A single freight train journey on the network is expected to transport more than 15,000 tonnes of cargo or approximately 270 standard containers. Sectors set to benefit from this new capacity range from mining to iron and steel, agriculture and food, retail, e-commerce, and petrochemicals.
Once operational, the railway will cut the travel time between Abu Dhabi and Sohar to just 100 minutes with freight trains reaching speeds of 120 km/hour. Passengers will be able to ride on the network, with one train being able to accommodate up to 400 travelers at a speed of 200km/hour.
Hafeet Rail has successfully reduced the required bank financing for the Emirati-Omani rail network from the initially announced $3 billion to $2.5 billion.