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Bahrain's Bapco Finalizes Financing of Modernization Program

Sky view of Bahrain's capital, Manama, Asharq Al-Awsat
Sky view of Bahrain's capital, Manama, Asharq Al-Awsat
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Bahrain's Bapco Finalizes Financing of Modernization Program

Sky view of Bahrain's capital, Manama, Asharq Al-Awsat
Sky view of Bahrain's capital, Manama, Asharq Al-Awsat

The Bahrain Petroleum Company announced on Sunday reaching financial closure on its multi-billion-dollar Bapco Modernization Program (BMP) with 21 banks and credit agencies.

Estimated to cost around $4.1 billion, the BMP is set to expand what is considered one of the oldest refineries in the Arabian Gulf region.

Implementing a project of the strategic scale of BMP, scheduled to be completed in 2022, is guaranteed to effectively contribute to sustainable development efforts in Bahrain.

Under the program, the oil refinery connecting Bahrain and Saudi Arabia has been upgraded to boost pipeline delivery capacity from 260,000 bpd to 350,000 bpd.

BMP represents a major turning point for Bapco, which will not only boost its refining capacity, but also enhance its products in terms of quantity, quality and energy efficiency.

Bapco is one of the major oil companies in the region in terms of competitiveness and compliance with environmental standards.

Bapco has contracted with five credit agencies and 21 banks, which included several local and international, commercial and Islamic banks, to finance the mega project. Financing was formally secured on December 20 last year with BNP Paribas, HSBC Middle East and Verus Partners acting as financial advisers to help Bapco meet the conditions required successfully to close the financing process.

The foundation stone for the project was laid in March this year during a ceremony held under the patronage of Bahraini Prime Minister Prince Khalifa bin Salman Al Khalifa and in the presence of Bahrain’s Crown Prince Salman bin Hamad Al Khalifa, Deputy Supreme Commander and First Deputy Premier.

Bapco board director and chairman of BMP Steering Committee Dawood Nassif expressed delight at reaching the financial close of the vital Bahrain project.

Oil Minister Shaikh Mohammed bin Khalifa Al Khalifa lauded efforts exerted by the Bapco team to achieve the financial close.

Given the size and scale of the BMP, the program is perceived as a mutually beneficial conclusion for a wide variety of partners from across the globe because it means we can provide a wider product offering and meet higher demand from customers.

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Saudi Arabia Signs New Port Contracts Worth Over $586 Million

Acting President of Mawani Mazen Al-Turki (Asharq Al-Awsat) 
Acting President of Mawani Mazen Al-Turki (Asharq Al-Awsat) 
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Saudi Arabia Signs New Port Contracts Worth Over $586 Million

Acting President of Mawani Mazen Al-Turki (Asharq Al-Awsat) 
Acting President of Mawani Mazen Al-Turki (Asharq Al-Awsat) 

Saudi Arabia’s General Authority for Ports (Mawani) has signed a series of new build-operate-transfer (BOT) contracts worth more than SAR 2.2 billion ($586.6 million) to develop multi-purpose cargo terminals at eight of the Kingdom’s ports.

Acting President of Mawani, Mazen Al-Turki, announced the deals during a signing ceremony held on Monday, describing the move as another milestone in Saudi Arabia’s continued infrastructure development under government leadership.

These 20-year contracts are part of a strategic public-private partnership, bringing together local and international investors to enhance operational capabilities and increase the handling capacity of Saudi ports. The initiative aligns with the objectives of the National Transport and Logistics Strategy, which seeks to position the Kingdom as a global logistics hub.

Al-Turki emphasized that these new agreements build upon previous privatization deals, including the development of container terminals at Jeddah Islamic Port and King Abdulaziz Port in Dammam, with investments exceeding SAR 16 billion. The Authority has also signed agreements to develop 20 logistics zones across the country, backed by over SAR 10 billion in investments.

He added that the latest contracts reflect the significant transformation and strategic evolution of Saudi Arabia’s ports, contributing to improved international performance indicators and reinforcing the Kingdom’s role as a key player in the global maritime industry.

Minister of Transport and Logistics Services and Chairman of Mawani, Eng. Saleh Al-Jasser, noted that the growing flow of private-sector investment demonstrates the attractiveness of Saudi ports and the logistics sector. He highlighted recent advancements in operational efficiency and maritime connectivity, supported by major global and national companies.

Al-Jasser affirmed that the Kingdom’s transport ecosystem will continue expanding its partnerships with the private sector across all regions and domains, with the new contracts marking the continuation of strategic collaborations with leading global and local port operators.

Under the newly signed contracts, the Saudi Global Ports Company will develop, manage, and operate multi-purpose terminals at east coast ports, including King Abdulaziz Port in Dammam, Jubail Commercial Port, King Fahd Industrial Port in Jubail, and Ras Al Khair Port.

Meanwhile, Red Sea Gateway Terminal will handle similar operations on the west coast, covering Jeddah Islamic Port, Yanbu Commercial Port, King Fahd Industrial Port in Yanbu, and Jazan Port.

At King Fahd Industrial Port in Yanbu, the agreements include modernizing cargo handling with state-of-the-art STS and RTG cranes, reach stackers, trucks, and trailers, aimed at reducing truck turnaround times, vessel berthing durations, and boosting overall efficiency.