Saudi Arabia has signed SAR2.2 billion ($586 million) in Build-Operate-Transfer (BOT) port privatisation agreements aimed at modernising the Kingdom’s logistics sector and reinforcing its status as a global trade hub.
The Saudi Ports Authority (Mawani), in collaboration with the National Centre for Privatisation, finalised the contracts during a high-level ceremony attended by Saleh Al Jasser, Minister of Transport and Logistic Services and Chairman of Mawani.
The long-term agreements span 20 years and were awarded to Saudi Global Ports (SGP) and Red Sea Gateway Terminal (RSGT)—two of the Kingdom’s most prominent logistics players.
Key Port Locations Across Strategic Coasts
The new BOT contracts cover multi-purpose cargo terminals at eight major ports across both the eastern and western coasts:
- Eastern Coast:
- King Abdulaziz Port (Dammam)
- Jubail Commercial Port
- King Fahd Industrial Port (Jubail)
- Ras Al-Khair Port
- Western Coast:
- Jeddah Islamic Port
- Yanbu Commercial Port
- King Fahd Industrial Port (Yanbu)
- Jazan Port
Advancing Saudi Arabia’s Global Logistics Ambitions
The agreements are designed to upgrade Saudi Arabia’s port infrastructure and support the goals of Vision 2030. Specific objectives include:
- Deploying advanced handling equipment, including cranes, stackers, and automated trucks
- Reducing truck turnaround times and vessel berth durations
- Increasing cargo capacity and operational efficiency at key terminals
- Attracting private sector investment across the Kingdom’s logistics value chain
- Reinforcing Saudi Arabia’s status as a global logistics and maritime transport hub
Minister Saleh Al Jasser emphasized that the Kingdom’s transport and logistics sector will continue to expand private sector engagement through long-term partnerships.
“These new privatisation agreements represent an extension of our strategy to collaborate with national and international companies in the maritime space,” he said.
“They are critical to empowering the sector, driving economic diversification, and securing Saudi Arabia’s competitive position on the global stage.”
The port modernisation strategy follows Mawani’s ongoing efforts to integrate digitalisation, expand cargo handling capabilities, and enhance the performance of key transport nodes that connect Saudi Arabia to global trade routes.
