Alkhorayef Water signs SAR 93.5m agreement with Jeddah Amana Municipality

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Riyadh – Mubasher: Alkhorayef Water and Power Technologies Company has signed a contract with the Jeddah Amana Municipality for the operation and cleaning of stormwater and surface water networks within the airport sub-municipality.

The agreement, valued at approximately SAR 93.59 million excluding Value Added Tax (VAT), spans a five-year duration and is expected to begin impacting the company’s financial performance starting from the second quarter (Q2) of 2026.

The Riyadh-based water utility specialist confirmed the finalization of the agreement following the completion of all necessary signatures from the relevant parties on 18 June 2026.

This formal signing follows the initial award announcement for the project, which was issued earlier in March 2026. The contract, identified under reference number 20043 (MA), represents a significant addition to the company’s portfolio of municipal infrastructure projects in the Western Region of Saudi Arabia.

Under the terms of the agreement, Alkhorayef Water will be responsible for the comprehensive operation and cleaning of the stormwater and surface water drainage systems serving the Airport sub-municipality district.

These services are critical to maintaining urban infrastructure and ensuring the efficiency of drainage networks during periods of rainfall, thereby mitigating potential flooding risks in the designated area.

The execution period for the scope of work is set at 60 months, providing the company with a steady revenue stream over a five-year horizon.

Regarding the financial implications of the deal, the company’s management has indicated that the fiscal impact of the project will begin to be recognized in the financial statements during Q2-26. This timeline aligns with the scheduled commencement of operations following the mobilization phase.

Both sides finalized a contract for the operation and maintenance of stormwater and surface water drainage networks at a value of SAR 108.50 million.

Source: Mubasher Source: {{details.article.source}}