Saudi Arabia has given a Spanish consortium charged with building a high-speed railway linking Mecca and Medina an extra 14 months to complete the project, Spain’s government said.
The high-speed railway linking Mecca and Medina was due to be completed in January 2017. The extension will push the opening of the railway to the first quarter of 2018.
Public Works Minister Ana Pastor also announced that Saudi Arabia had agreed to settle its arrears in payments to the consortium “as soon as possible”. Spanish firms that are part of the consortium had complained of delays of several months in getting payment.
Saudi Arabia in 2011 awarded the contract worth 6.7 billion euros to the consortium of 12 Spanish companies and two Saudi firms for the rail line between Mecca and Medina as well as maintaining the line for 12 years.
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