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Energy sector makes up 75% of Q3 Saudi contracts

The oil and gas sector accounted for 75% of all contracts awarded during the third quarter of 2015, despite the crash in crude prices, according to the NCB Construction Contracts Index.

Contracts worth SR60.9 billion ($16.2 bn) were awarded during the quarter, roughly the same as in the previous three months, and a 78% increase on the same period last year, Arab News reported.

The value of contracts awarded for key sectors was just $853.1m in July, before jumping to $6.6bn in August and $8.6bn in September.

Other sectors such as residential real estate accounted for 10% of the total value, while contracts for the power sector recorded a value of $719.8m.

The report went on to state that the general project outlook is expected to be subdued, with oil prices likely to remain in the range of $40 – $60 a barrel for the foreseeable future.

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