Saudi Arabian Mining Company (Maaden) has signed an engineering, procurement and construction (EPC) contract for the residential infrastructure at the King Abdullah Project for Wa’ad Al Shamal City Development.

The contract was awarded through the Ma’aden Infrastructure Company to Al-Rashid Trading and Contracting Company (RTCC) for the development of the first phase of the residential area of the city.

As per the deal, RTCC will be responsible for designs, engineering works, infrastructure and housing in the first phase development of the project.

The company will start work on the project in the first quarter of 2015 and is likely to complete it by the end of 2016, said a statement from Maaden.

Located in the north of the kingdom, the Wa'ad Al Shamal City covers an area of 440 sq km, of which 150 sq km will be allocated for a SR28-billion ($7.4 billion) world-class phosphate factory jointly developed by Ma’aden along with petrochemical giant Saudi Basic Industries Corporation (Sabic) and Mosaic.

The facility will have a production capacity of 16,000 tonnes of phosphate products and begin operation in late 2016, said the company in a statement.

RTCC's contract includes the engineering, design and works supervision and construction of major roads, public facilities, water and telecommunications networks, fire stations and the first phase of residential complexes containing 70 villas, 189 apartments and 232 studio dormitories.

On the new contract, Ma’aden president and CEO Khalid Al Mudaifer said: "This is an important milestone in the development of Wa’ad Al Shamal City. Together with our partners, we are building a city that will elevate the living standards of people in the north and open up new economic opportunities for local Saudi youth and businesses, in accordance with the vision of King Abdullah bin Abdulaziz."

"As with all of our projects, we are committed to maximising the social and economic benefits for local communities while advancing the economy of the kingdom as a whole," he added.

Ma’aden senior vice-president Majid Al Mugla said Ma’aden will also work to complete the remaining projects for the residential part of Wa’ad Al Shamal which includes educational facilities, mosques, a community centre, commercial building and a fire and civil defence station.

The construction of the phosphate industrial facilities at Wa’ad Al Shamal is progressing as per schedule, he added.-TradeArabia News Service