UAE group inks Etihad Rail contract
Abu Dhabi, July 6, 2014
Abu Dhabi-based Western Bainoona Group (WBG), a leading producer and seller of quarry products, has signed a deal with Etihad Rail, the developer and operator of the UAE’s national railway network, to utilise its services for its construction projects.
As per the MoU, WBG will be able to use rail for distribution from its crusher location at Tawyeen to the Etihad Rail distribution and export terminals in the UAE.
The approximate annualised transport by rail volume is set to rise to 10,000,000 tonnes by 2020, said a senior official.
“By working with Etihad Rail, WBG stands to gain faster and more consistent transit times, lower overall cost for transport and capacity to move a larger quantity of goods at once,” remarked Faris Saif Al Mazrouei, the acting CEO of Etihad Rail.
Etihad Rail, he said, has signed a series of MoUs and works closely with key stakeholders throughout the UAE.
The 1,200 km Etihad Rail network, to be built at a cost of Dh40 billion ($10.8 billion), will connect industrial areas as well as urban and peripheral communities throughout the country, facilitating trade and fostering economic growth.
"The agreement will provide Etihad Rail with additional volumes of bulk commodities transport within the UAE and will improve the overall efficiency of WBG’s business," stated Al Mazrouei.
WBG chairman Mohammed Khalfan Al Hameli said: “Our organisation is rapidly expanding and evolving its service offering. Today, the company’s strengths lie in producing and selling quarry products and Etihad Rail will provide us with a new alternative that is on the whole more cost-effective and reliable than existing transport, especially for long haul journeys.”
Western Bainoona Group was founded in Abu Dhabi in 1990 and has an annual turnover of Dh700 million. The company is a key player in the field of construction, civil engineering works, crushers and land transportation in the UAE.
The Etihad Rail network will form a vital part of the planned GCC railway network – linking the UAE to Saudi Arabia via Ghweifat in the west and Oman via Al Ain in the east.
Etihad Rail works closely with GCC railways through the GCC Secretariat General with shared goals, aspirations, and business objectives to deliver the regional railway professionally, efficiently, and on schedule.
Etihad Rail had recently signed an MoU with Saudi Railway Company to share knowledge and experience for developing the GCC rail network.-TradeArabia News Service