Two contracts totalling BD14.7 million ($39 million) have been awarded to two Bahraini firms to begin developing Bahrain's new industrial area in Hidd, which is part of the massive Shaikh Khalifa bin Salman Port and Industrial Area development scheme.

The first contract, for BD12.7 million, went to Abdulla Ahmed Nass, which will build the industrial area infrastructure, including roads, sewage, electricity and water systems and a car-park.

The second contract, for BD2 million, went to Olympic, which will construct buildings and other structures.

'Infrastructure development will begin next month, while building construction is set to start in September,' said Shaikh Khalifa bin Salman Port and Industrial Area committee chairman and Customs and Ports Affairs president Eid Abdulla Yousuf.

Both projects are part of the BD250 million Hidd development plan, which will create a superport, industrial park and free trade zone. The master development plan will be implemented in eight phases.

'The next step will be dredging and reclamation. Tenders will be accepted later this summer and work is set to begin by the end of the year,' he said.

Marine work is scheduled to begin by next February.

'It will be followed by port infrastructure development and port buildings construction,' said Yousuf.

The final two phases will involve port and marine equipment selection, purchase and installation, both of which will begin in early 2003.

'The entire project should be completed by the summer of 2004,' he added.

'The total reclaimed area of Phase I is about 247 hectares,' he explained. 'Of this, 26 hectares will be set aside for central facilities, some of which will be administration, main customs buildings and a medical centre.'

A further 92 hectares will be used for roads, parking and utility reservations, including a 10-hectare site for a sewage treatment plant and 15-hectare services corridor for power lines.

'The second phase will comprise development of the area between Phase I and the Arab Shipbuilding and Repair Yard (Asry) and Gulf Industrial Investment Company (GIIC), as well as some additional land on the western side,' said Yousuf.