Kele Contracting opens new headquarters in Sharjah

Kele Contracting LLC, a partnership founded in the UAE in 2005 between Kele International Holdings and ENSHAA, is bringing its already-impressive expansion to Saudi Arabia.

The Kingdom has announced a series of mega-projects, and has been considerably more resistant to the global economic downturn due to increases in the price of oil, new government policies making it easier to own property, and flexible laws for foreigners to establish companies.

So says Raza Jafar, Chairman of Kele, who is excited about the prospects for Kele's growth in the Kingdom.

Kele's mission, says Jafar, is "to be recognised across the region as the most progressive construction management and contracting company." The company was created to bring together pre-eminent Australian construction techniques and processes with ENSHAA's experience in the Gulf region. Together, they have taken a strategic, united approach to bring Kele International Holdings' construction management and expertise to the mid-2000s boom in Dubai's construction industry.

Now, and on the back of its opening of new headquarters in Sharjah, Kele is seeking opportunities into the Saudi market. Says Andrew Elias, Kele's CEO, "Saudi is now announcing many projects including towers and large-scale commercial and residential developments‚Äö√Ñ√π. Our market research clearly shows us that Saudi is starving for contractors just as Dubai was in 2005 and 2006. We therefore see great potential to enter the market at this point in time."

It's clear that Saudi's construction sector is performing strongly. A recent report by Business Monitor International says real growth in the sector in 2009 was predicted to be almost three percent up compared to 2008 with the construction industry worth SR77.69bn ($20.74bn) by the end of 2009.

Moreover, the coming years of growth in the Saudi construction sector aren't just predicted - they're based on multi-billion dollar contracts already awarded. There is the Saudi Aramco Total refinery. Contractors are already mobilising to start the construction in Jubail and to start ordering long lead items. ConocoPhillips' refinery contracts will be awarded in the first part of 2010, each of which will cost about $10bn. And the Riyadh Light Transit Railway has recently begun construction, with 36 stations to be built in the first phase.

Clearly, Saudi is booming. Says Andrew Elias, "We're aiming to establish Kele initially in Jeddah and Riyadh, bringing our expertise in large-scale scale residential and commercial buildings, including high-rise towers."

As Elias points out, Saudi is "the next logical step to our expansion. I believe Kele will do well there, because Saudi is booming and there are just not enough companies to take on all the work required."

Exciting times for Kele Contracting and the Saudi sector.