DESPITE the challenges posed by a difficult 2009, Al Osais Contracting Company says it has managed to sustain its growth levels that have averaged at 20 per cent for the past five years.

The Dammam-based company now expects to maintain the growth momentum through its efforts at diversifying its business activities by setting up new divisions and joint ventures with international companies to carry out specialised work.  In line with this objective, Al Osais has entered into a joint venture with Spanish power firm Inabensa, establishing Al Osais-Inabensa to meet the growing demand of the kingdom’s power sector.
“We forecast continuous growth for the company by diversifying our activities and expanding our client base,” says Ahmed Alabdulaali, managing director, who sees good prospects for Saudi Arabia’s construction sector.
The well-diversified Al Osais offers a wide range of services in the fields of construction, power, telecommunications, recruitment and crushing, and hence plays an important role in Saudi Arabia’s key growth sectors such as oil and gas, power, petrochemicals, education, healthcare, real estate and infrastructure.

Established in 1972, the Class One general contractor aims to offer engineering, procurement and construction (EPC) services for mega projects in Saudi Arabia and the other GCC countries, providing quality projects.
It is involved in civil works such as site development, road works, earthworks, building construction with structural steel, precast members or cast in-situ structures, complete finishing works, and furnishing of process, medical and laboratory, furniture, audiovisual, kitchen and laundry equipment. Its construction activities include commercial, residential and industrial buildings, site, infrastructure and utilities development, structural steel works, marine works, plant infrastructural civil works, along with surveying and drafting services. 
Mechanical works comprise plumbing, drainage, gas installations, compressed air, vacuum systems, fire protection, heating, ventilation and air-conditioning (HVAC), piping, industrial installations and processes.

Power and electrical works include project management, design; supply; construction; testing and commissioning of high-voltage (230/132 kV) substations; refurbishment, rehabilitation and reinforcement of existing 230/132 kV substations; and design and construction of industrial projects.
Al Osais also serves as a partner for information and communication technology (ICT) companies, possessing state-of-the-art know-how and all the resources to respond quickly to market needs.

Acknowledging that business in the past year had been very challenging, Alabdulaali says: “Generally, the global financial downturn has affected our business by spurring an irrational price war between contractors and suppliers. But Al Osais was able to improve on its working capital in all segments of business by achieving cost-effectiveness.
“In addition, our financial strength, healthy cash flow and diversification, helped us overcome this challenge and win major projects.”
A subsidiary company of Al Osais International Holding Company, Al Osais Contracting is currently involved in a number of major projects for Saudi Aramco. This includes expansion of Manifa and Tanajib industrial facilities and the replacement of a critical substation at Riyadh Refinery. Recently, through the Saudi Aramco Total refinery project (Satorp), Al Osais has secured the contract for the EPC of Jubail Export Refinery Project (Package 7). The company has also won several major projects from Saudi Electricity Company such as the construction of five new substations in As’Shate in Dammam, Ghornatah in Dhahran, Riyadh First Industrial City, North Buraydah in Qassim and Haradh.

In addition, it is now completing work on a 500-bed hospital in Baljurashi and the Jeddah Radio Station.
Al Osais has also made its mark in the telecom sector with the outdoor installations of GSM and fibre-optic cable for major telecommunications companies such as STC and Mobily, among others.
One of the most significant projects the company has completed recently was the Khurais residential and recreational complex through its client Saudi Aramco. 
About 6,000 employees of more than 15 different nationalities work for Al Osais, whose head office is a multi-storey landmark located in Dammam. It has branches in Riyadh, Jeddah and Jubail in Saudi Arabia as well as in Qatar. It also has more than 120,500 sq m of warehouses located in Dhahran, Dammam, Al Amal, Jubail, Rahima, and Yanbu.