Construction

Rail to become primary transport mode for UAE steel

MoU signed between Etihad and Emirates Steel

The UAE’s rail network will become the primary method for steel transportation across the UAE, upon completion in 2017.

The pledge, secured by an MoU signed between rail developers Etihad and the country’s largest integrated steel manufacturer, Emirates Steel, was made ahead of the start of construction of the 1200Km network.

Documents were signed by Richard Bowker CBE, CEO of Etihad Rail, and Engineer Saeed Ghumran Al Romaithi, Acting CEO at Emirates Steel (pictured).

“We are one of the heaviest users of road haulage in the Emirates,” said Al Romaithi.

“Therefore, real environmental benefits will be realized by taking trucks off the road, easing road congestion and enhancing road safety,” he added.

By 2016, the raw materials and finished goods flows could reach an estimated annual volume of 12 million tonnes.

Abu Dhabi National Oil Company (ADNOC), Etihad Rail’s first customer, will soon use rail to transport granulated sulphur from sources in Shah and Habshan to Ruwais for export.

Construction of the 266km phase one is expected to begin this summer, and is scheduled to be commercially operational in 2013.

“Both Etihad Rail and Emirates Steel are playing an important role in the overall development of the UAE as well as in driving the country’s economic growth,” said Etihad Rail CEO Richard Bowker CBE.

“We are honored to provide Emirates Steel with a more effective transport solution and look forward to working with them to further our goal of fostering economicdevelopment in the region,” Bowker added.

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