Diriyah Awards $1.13B Contract for KSU Utilities Relocation
Facilitating the relocation of King Saud University's utilities and administration offices within the ambitious Diriyah masterplan.
Diriyah Company has signed a significant construction agreement valued at $1.13 billion (SAR 4.225 billion) to facilitate the relocation of utilities and administrative facilities belonging to King Saud University (KSU). This initiative forms part of the broader Diriyah masterplan, a large-scale urban development project west of Riyadh.
Chinese Joint Venture Secures the Project
The prestigious contract has been awarded to a joint venture between two subsidiaries of China Railway Construction Corporation: the Saudi branch of CRCC and the Central Plain Construction Co. Ltd. This international partnership brings extensive experience in infrastructure and large-scale construction, aligning with Diriyah Company’s ambitious development goals.
Commenting on the announcement, Diriyah Company Group CEO Jerry Inzerillo said: “We are delighted to announce this major contract to support King Saud University, whose campus adjoins the Diriyah development area. This agreement marks yet another important step in aligning our efforts to advance educational and infrastructural excellence in the Kingdom. We are proud to support one of the Kingdom’s leading academic institutions in delivering enhanced infrastructure services that will benefit both its students and the broader university community.”
Mr. Li ChongYang, as Chairman of China Railway Construction International Group Co., added: “We are honoured to collaborate with Diriyah Company on this significant and unique development. This contract reflects our commitment to delivering world-class infrastructure with the highest standards of quality and efficiency. We look forward to contributing to the success of this iconic project and supporting the continued growth of King Saud University.”
Comprehensive Scope of Work Outlined
The project includes the full design and construction of KSU’s new utilities and administration offices. In addition, the scope covers a wide range of infrastructure works such as a district cooling facility, water storage systems, a sewage treatment plant, an LPG/SNG plant, a diesel pumping station, and an underground utility tunnel. Supporting buildings like warehouses, office complexes, irrigation tanks, and maintenance workshops are also part of the development.
Future Projects Already on the Horizon
Diriyah Company has indicated that this area will host additional assets in the coming years. The newly signed contract is one piece of a much larger vision to transform the historic region into a modern, sustainable city with world-class infrastructure.
Contract Value Surpasses $2.9 Billion Milestone
This latest agreement is part of a growing trend of large-scale investments by Diriyah Company, which is steadily advancing the development of its 14-square-kilometer "City of Earth." With this contract, the total value of awarded deals since the start of 2025 now exceeds $2.9 billion.
Diriyah’s Long-Term Economic and Social Impact
Funded by Saudi Arabia’s Public Investment Fund, the Diriyah project aims to become a model of integrated urban planning. Upon completion, the city is expected to accommodate nearly 100,000 residents, offer workspaces for professionals in creative and academic fields, and support over 178,000 jobs. Additionally, it anticipates attracting 50 million visitors annually and contributing roughly $18.6 billion (SAR 70 billion) to the nation’s GDP.
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