Russian firm said to plan shipbuilding factory in NEOM

A Russia-based company has planned a shipbuilding factory in Saudi Arabia’s $500 billion megacity project, NEOM, Asharq Al Awsat newspaper reported, citing former Russian diplomat Vladislav Lutsenko.

Last month, Crown Prince Mohammad bin Salman had announced the megacity, which will span three countries and cover approximately 26,500 square kilometer, at the Future Investment Initiative (FII) conference. The project is part of the country’s efforts to modernize and to diversify its economy away from oil.

“Saudi Arabia and Russia are bracing for several economic and commercial partnerships in key fields next year,” said Lutsenko, who is in Saudi Arabia as part of a delegation from Russia’s business sector.

Other Russian companies will likely seek investments in fields of fertilizers, equipment, information technology and plant maintenance, he added.