Saudi Arabia's crown prince unveiled plans on Jan. 10 to build a zero-carbon city at NEOM, the first major construction project for the $500 billion flagship business zone aimed at diversifying the economy of the world's largest oil exporter.
Prince Mohammed bin Salman, in a rare televised appearance, said the city, known as "The Line," would extend over 170 km (105 miles) and be able to house a million residents in "carbon-positive urban developments powered by 100% clean energy."
"Why should we sacrifice nature for the sake of development?" Prince Mohammed said. "We need to transform the concept of a conventional city into that of a futuristic one."
The prince later told reporters in the northwestern city of Al Ula that the project was the conclusion of three years of preparation, adding that its infrastructure would cost $100 billion to $200 billion.
"The backbone of investment in 'The Line' will come from the $500 billion support to NEOM by the Saudi government, PIF and local and global investors over 10 years,” he added.
The kingdom's sovereign wealth fund, the Public Investment Fund (PIF), is the cornerstone investor in NEOM, a 26,500-square-km (10,230-square-mile) high-tech development on the Red Sea with several zones, including an industrial and logistics areas, planned for completion in 2025.
There have been few announcements regarding NEOM since it was announced by de facto ruler Prince Mohammed to much fanfare in 2017 as a pillar of his Vision 2030 plan to rid Saudi Arabia of its reliance on crude oil revenues.
A Saudi statement said construction would start in the first quarter of 2021 and that the city was expected to contribute $48 billion to the kingdom's gross domestic product and create 380,000 jobs.
Recommended Reading
TC Energy’s Keystone Back Online After Temporary Service Halt
2024-03-10 - As Canada’s pipeline network runs full, producers are anxious for the Trans Mountain Expansion to come online.
EQT CEO: Biden's LNG Pause Mirrors Midstream ‘Playbook’ of Delay, Doubt
2024-02-06 - At a Congressional hearing, EQT CEO Toby Rice blasted the Biden administration and said the same tactics used to stifle pipeline construction—by introducing delays and uncertainty—appear to be behind President Joe Biden’s pause on LNG terminal permitting.
FERC Approves ONEOK Pipeline Segment Connecting Permian to Mexico
2024-02-16 - ONEOK’s Saguaro Connector Pipeline will transport U.S. gas to Mexico Pacific’s Saguaro LNG project.
Tallgrass Energy Announces Latest Open Season for Pony Express Pipeline
2024-03-12 - Prospective shippers can review details of the open season, which began March 11, after signing a confidentiality agreement with Tallgrass.
Kinder Morgan Exec: Don’t Count Out Midstream in M&A Frenzy
2024-04-02 - Kinder Morgan’s Allen Fore said 2024 should be an ‘interesting’ year in M&A during a discussion at DUG GAS+ Conference and Expo.