Oman Rail and Etihad Rail have reached an agreement to build a railway linking Oman and the United Arab Emirates (UAE).
The duo will jointly create Oman-Etihad Rail Company, a new similarly owned entity through either company, to operate the network.
With an investment of $3 billion, Oman-Etihad Rail will be involved in the design, progression and operation of a rail network that will connect the port of Sohar in Oman to the UAE’s national rail network.
The newly created entity will have interaction in the elaboration of the preparatory tables and plans of tables of the project, adding its monetary mechanisms and schedule.
Oman-Etihad Rail will build the new rail network in line with country criteria.
In accordance with international safety, security and environmental standards, the 303 km railway will basically link Sohar with Abu Dhabi.
With a top speed of 200 km/h, the line’s passenger trains are expected to reduce the time from Sohar to Abu Dhabi to one hour and 40 minutes, while journeys from Sohar to Al Ain will be reduced to 47 minutes.
The joint venture is part of Oman Rail and Etihad Rail’s strategy to create new opportunities in the infrastructure, shipping and logistics sectors through connecting the two countries via rail.
Shadi Malak, CEO of Etihad Rail, said: “In line with the vision and direction of our sound management, we are very pleased to begin this partnership with Oman Rail, which portends a new breakdown of collaboration and prosperity between the two countries.
“The agreement outlines a strategic roadmap for a sustainable project, which will help strong relations between the UAE and Oman, and play a key role in facilitating domestic and regional industry by connecting the UAE’s national rail network with the port of Sohar. “