By the mid-point of 2024, nearly US$50 billion worth of contracts had been awarded, according to analysis by the US-Saudi Business Council released late last year. That was only a few billion dollars short of the entire total for 2022.

The glut of work has been triggered by the Kingdom’s Vision 2030 programme which aims to diversify Saudi Arabia’s oil-and-gas-heavy economy and invest in renewable energy, tourism, entertainment, culture and sports.

Few projects encompass the aims of Vision 2030 more comprehensively than developer Red Sea Global’s Amaala.

Fahad Al Balawi, head of construction at Amaala (Image courtesy of Red Sea Global)

Amaala is a collection of eight luxury resorts on Saudi Arabia’s northwestern coastline on the Red Sea, billed by Red Sea Global as its “flagship wellness destination�. Already, US7$ billion worth of contracts have been awarded, as the first phase of the Triple Bay development prepares to welcome guests.

Separately, Red Sea Global’s dolphin-shaped Shura Island in the Red Sea, has involved the construction of 11 new resorts, reachable by Saudi Arabia’s longest overwater bridge (1.2km long) that links it to Red Sea International Airport. The destination is nearing its grand opening and features a series of lagoons, beaches, dunes, an 18-hole championship golf course and a yacht marina on one side. The Four Seasons Resort on Shura Island alone involved a US$522 million financing agreement with Riyad Bank.

“Delivering destinations of this scale and ambition presents a unique set of challenges,� Amaala’s head of construction Fahad Al Balawi tells Construction Briefing.

Finding a balance

A former executive director of projects for the Kingdom’s Neom special economic zone, he explains that the projects have involved trying to find a balance between luxury, sustainability, and cultural preservation, alongside a commitment to regenerative development.

“Our goal is not just to build exceptional resorts, but to create destinations that leave a net-positive impact on both the environment and local communities,� he says.

A digital render of Amaala (Image courtesy of Red Sea Global)

Red Sea Global has set targets including for all hotels and resorts, while it claims to have embedded sustainability in each phase of development, from material selection and waste management, to advanced construction techniques.

“On Shura Island, we use lightweight materials with low thermal mass to reduce energy consumption, while at Amaala, we are developing the Corallium Marine Life Institute—a pioneering facility dedicated to coral reef restoration and immersive educational experiences that promote ocean conservation,� he says.

Meanwhile it has taken other measures such as planning the installation of more than 760,000 solar panels to power the resorts, alongside what it claims is one of the world’s largest battery storage facilities.

In addition to the construction projects using building information modelling (BIM) and employing internet of things (IoT) to create connected destinations, Red Sea Global has also turned digital technology to preserving ecosystems during and after construction, such as using advanced photogrammetry to create high-resolution 3D models of delicate ecosystems like coral reefs.

Lessons for Vision 2030 developments

As the first phase of construction at Amaala draws to a close, Fahad Al Balawi emphasises the importance of collaboration when it comes to large-scale and complex Vision 2030 projects.

A digital render of Amaala, Saudi Arabia (Image courtesy of Red Sea Global)

“Our experience has shown that close coordination with partners, stakeholders, and local communities is essential to achieving ambitious goals. This aligns with Vision 2030’s emphasis on fostering strong public-private partnerships and community engagement to drive national transformation.

“Another critical lesson is the importance of early-stage, comprehensive planning,� he explains.

He cites the example of the Marine Spatial Planning (MSP) initiative at the start of the of the Red Sea project. “It helped balance development with sustainability by strategically mapping construction zones, while protecting the region’s unique ecosystems. Similarly, early investment in smart infrastructure planning—such as integrated transportation systems and energy-efficient utilities—has proven essential in reducing long-term costs and ensuring environmental responsibility,� he says.

He urges developers embarking on Vision 2030 projects to adopt similarly proactive planning methods to maximise efficiency and sustainability.

He also recommends employing adaptive strategies that anticipate and mitigate challenges in finance, resource allocation, and environmental impact. “Proactive risk management, continuous improvement, and a commitment to regenerative development have been key drivers of success. Implementing real-time project monitoring and leveraging digital twin technology can help future projects optimize decision-making and risk mitigation,� he says.

Streamlining the supply chain and avoiding a skills shortage

While the locations of Amaala and the Red Sea destinations may seem remote, they are closer and more accessible than many people think, Al Balawi contends. That is thanks in part to the proximity of Red Sea International Airport, which he says has allowed for the streamlining of the transportation of both visitors and goods.

Nonetheless, there are logistical challenges and that has made sourcing sustainable and locally sourced materials a priority, he says. “It requires establishing robust supply chains and collaborating closely with local suppliers. To enhance efficiency, our supply chain and logistics team launched the Jeddah Consolidate Center, which has been instrumental in ensuring operations run smoothly,� he says.

A digital render of Amaala, Saudi Arabia (Image courtesy of Red Sea Global)

The location of the projects on the Red Sea coast means that they get warm weather all year round, but Al Balawi says that Red Sea Global has nonetheless considered heat, wind, and saltwater exposure both during and after construction.

He gives the example of the Desert Rock Resort, an inland hotel that is owned and operated by RSG. “We’ve repurposed excavated sand and stone from the site itself, creating structures that blend seamlessly into the landscape while minimising environmental impact.

“Additionally, our environmental design approach leverages advanced modelling techniques, detailed habitat mapping, and comprehensive data analysis to guide infrastructure planning early in the design process. This ensures we minimize disruptions to the natural environment and avoid costly mitigations later on,� he says.

Meanwhile, Saudi Arabia’s construction boom presents a potential headache by driving up demand for skilled workers.

Al Balawi professes himself to be unfazed by this, however. “We see this as an opportunity, not a challenge,� he says. “Through our vocational training programme, elite graduate programme, and hospitality scholarships, we are equipping young Saudis with the skills to lead the industry.

“Beyond training, we collaborate closely with our construction partners to scale up the workforce while maintaining the highest standards of quality, safety, and efficiency. By investing in people and partnerships, we are building a dynamic, future-ready workforce to power the Kingdom’s ambitious transformation.�

The future

Once Amaala and Shura Island are officially launched later this year, Al Balawi says there is plenty more work in the pipeline.

“We are expanding our footprint across Saudi Arabia, driving transformative projects such as the modernization of Al Wajh Airport and other strategic developments that align with the Kingdom’s long-term vision.,� he says, adding that other new ventures, as yet unannounced, are also on the horizon.