The long-awaited UAE-Oman rail network, now known as Hafeet Rail, has received the green light for construction, signifying a major step towards closer economic and infrastructural integration between the two countries.

The $3 billion project will connect Abu Dhabi, Al Ain, and Sohar across 303 kilometers, significantly reducing travel times and boosting trade between the two countries.

This follows signing a shareholder agreement between Etihad Rail, Oman Rail, and Mubadala Investment Company. The agreement also unveiled the joint venture’s new corporate identity: Hafeet Rail, replacing the previous name Oman-Etihad Rail Company.

Construction will be undertaken by an Omani-Emirati alliance led by Trojan Construction Group (NPC) and Galfar Engineering and Contracting, alongside Tristar Engineering & Construction (TE&C) and National Infrastructure Construction Company (NICC).

This 303-kilometer rail line will slash the journey between Abu Dhabi and Sohar to just 100 minutes. The network will have trains capable of exceeding 200 kilometers per hour.

Technology plays a key role in Hafeet Rail. A separate tender awarded to a Siemens and HAC joint venture ensures the network utilizes the most advanced rail technologies, including the world-leading European Train Control System (ETCS) Level 2.

“As a result, the network’s advanced infrastructure will include full digital train control and tracking through GPS technology, enhancing the network’s reliability,” added Hafeet Rail.

Beyond its immediate impact on travel times, Hafeet Rail is expected to position the UAE and Oman as key regional trade gateways.

A single freight train is estimated to carry over 15,000 tonnes of goods, equivalent to roughly 270 standard containers. Sectors like mining, iron and steel, agriculture, retail, e-commerce, and petrochemicals benefit immensely from this improved logistics network.