Photo: Aramco
Contractors are winning more work in Saudi Arabia this year. Most of the money, though, is going to oil and gas plants rather than homes and offices.
The kingdom awarded 142 projects worth 148.6 billion Riyal ($39.6 billion) in the first 10 months of the year, up 59% from 93.6 billion Riyal a year earlier, according to the Saudi Contractors Authority's monthly report, compiled with project tracker SCAVO.
October's surge
October alone brought 23 awards worth 24.7 billion Riyal, more than triple the 7.6 billion Riyal awarded in the same month last year.
Oil and gas took 17.4 billion Riyal of that across eight projects, about 70% of the month's value.
Aramco leads
Aramco was the biggest client, with six projects worth 13.1 billion Riyal. The largest was the first package of a gas-oil separation plant for the onshore expansion of its Safaniya field.
Al-Khafji Joint Operations, Aramco's venture with Kuwait Gulf Oil Company, awarded the onshore package of the Dorra gas field, worth about four billion Riyal.
The Royal Commission for Riyadh City awarded two projects worth two billion Riyal, and AI company Humain and data center operator Center3 one worth 1.9 billion Riyal.
Buildings lag
Building and construction had the most awards of any sector in October, with nine. Together they were worth only 3.8 billion Riyal.
The Eastern Province took 12 of the month's 23 awards, worth 19 billion Riyal. Riyadh had five, worth 4.8 billion Riyal.
The bigger picture
Awards peaked in 2024, at 314 projects worth 267.8 billion Riyal, the highest since the pandemic. They more than halved last year as giga-project spending cooled.
At this year's pace, 2026 would end near 178 billion Riyal, about two-thirds of the 2024 total.
Why it matters
The rebound is real, but narrow. Oil and gas plants use less cement and labor per Riyal than housing or offices, so a big month for Aramco doesn't fill order books across the industry.
For contractors, the work is in energy, infrastructure and the Eastern Province. Fourteen of October's projects, worth more than 17 billion Riyal, are due to finish in 2029.
