A tactical approach to business in Saudi Arabia

Saudi Arabia

Samer Abdul Samad, president and CEO of Nesma & Partners, talks to The Energy Year about the business being driven by Saudi Arabia’s mega-projects and pursuing niche opportunities in the country’s infrastructure and transportation sectors. Nesma & Partners is a contractor for the oil and gas, construction and infrastructure sectors.

How does Nesma & Partners position itself as a partner for Saudi Arabia’s energy goals?
Saudi Aramco has been a key client of ours since our inception, and our involvement in major projects, such as the Master Gas System and Jafurah Phase 2, reflects the strength of our partnership. We have been qualified as one of the local contractors for Aramco’s EPC Champion Programme, which marks a significant milestone for us as it makes us the first local entity to undertake EPC work with them.
We are excited to be part of these important projects. In addition to these, we are pursuing ventures in liquid-to-chemical and carbon capture technologies, furthering our support for the energy transition.

What is Nesma & Partners’ strategy to secure involvement in mega-projects?
Our strategy is to add value wherever possible and to maintain our reputation for delivering on commitments. Reliability and consistency are key differentiators for us, and we seek to build long-term partnerships rather than just complete contracts. This approach applies not only to our work with Saudi Aramco but also across all our clients.
Currently, around 25% of our portfolio is dedicated to the energy industry. While we haven’t yet ventured into renewables, we are bidding on carbon capture and storage projects and hope to expand our involvement in sustainable energy initiatives.

How can a domestic company add value in a globalised sector such as oil and gas?
We remain primarily a local contractor with a market share limited to smaller EPC projects. However, we are hopeful that the EPC Champion programme will open doors for us, allowing us to build the necessary expertise and capabilities to compete on a larger scale. For now, we participate in projects where we qualify as a local contractor, but looking ahead, we plan to compete as part of partnerships and joint ventures.
By collaborating with international companies, we can leverage our local knowledge and supply chain strengths, combined with their engineering and global procurement capabilities, to create a strong team that can compete effectively in the EPC field. We believe this approach will allow us to add significant value, especially in terms of local content and resources.

As of the beginning of 2025, you have a consolidated backlog of more than USD 10.3 billion. How do you plan to grow this number?
We need to ensure that our backlog can sustain our growth and the investments we are making. Recently, we completed a strategic retreat where we set our targets for 2025, and we are finalising the budgets to move forward with these plans. We are pursuing organic growth, M&As and diversification. Our organic growth has been significant in recent years, and we collectively have grown to more than 58,000 employees.
Our acquisition of Kent added international capabilities and aligned well with our strategy. Kent has been growing rapidly, and we are excited about having them in our portfolio. Additionally, Nesma & Partners is diversifying across energy, infrastructure and building construction, which allows us to pursue opportunities in various sectors. Ultimately, to ensure continued growth, we must maintain a robust backlog that supports our expanding workforce and capacity.

How do you see Saudi Arabia’s giga-projects impacting the construction sector?
Giga-projects are transforming the country’s landscape and bringing new developments to various regions, such as NEOM, Riyadh and Jeddah. They present unique challenges that excite us, and they offer opportunities to make a significant impact. We are preparing by building capacity, forming strategic joint ventures and investing in digital transformation and innovative technologies.

What opportunities do you see right now for Nesma & Partners?
We have become more tactical in our approach, focusing on specific areas rather than pursuing general opportunities. In the infrastructure sector, we are particularly focused on the rail segment, including the Riyadh Metro extension and other upcoming projects. We are also looking to participate in the ongoing expansion of Riyadh Airport.
In the building construction segment, we are focusing on mega-projects where we can add significant value. We are already involved in the Prince Mohammed bin Salman Stadium in Riyadh and the Qurain Cultural District project, and we are bidding on additional projects.
Additionally, we are exploring opportunities in mining, which was declared a key pillar of Saudi Arabia’s economy last year. With our experience working with Ma’aden, we are ready to contribute to this growing industry.

How are you approaching international expansion, particularly in the Gulf region, and what role will Kent play?
With the significant opportunities currently available in Saudi Arabia, we have decided to concentrate Nesma & Partners on the domestic market and expand internationally through Kent. Kent already has a strong international presence. The company operates in 29 countries and has seven centres of excellence, which provide a solid foundation.

In 2023, Nesma & Partners was selected by PIF, along with three other EPC companies, for a USD 1.3-billion investment. What does this mean for your company, and how will you leverage the funds?
We were extremely excited and honoured to be selected by PIF, as it reflects confidence in our capabilities. Being chosen means that PIF sees Nesma & Partners as a well-governed, high-functioning organisation that delivers on its commitments. The backing from PIF has already had a positive impact, particularly in our acquisition strategy.
For example, with their financial support, we were able to acquire Kent, which has significantly enhanced our capabilities and market reach. Moving forward, PIF’s investment will allow us to pursue more opportunities, strengthen our operations, and explore strategic acquisitions that align with our growth goals.

How is Nesma & Partners working to increase its IKTVA [In-Kingdom Total Value Add] score, and what strategies do you have in place to boost your local content?
We are focusing on localisation to improve our IKTVA score. We were thrilled to win an IKTVA award in 2023, and we are very honoured to have been awarded again in 2025. To achieve this, we have implemented several key initiatives, including our Nesma High Training Institute (NHTI), which has trained more than 56,000 individuals and has produced 6,000 graduates to date. We have also established an institute in NEOM to develop local talent before they start working on-site.
Additionally, we strengthened our supply chain by conducting 20,000 training sessions for suppliers last year, increasing programme capacity by 120% compared to the previous year. Our local purchase rate has now reached 93%, with more than 40% of our products being locally produced. These achievements reflect the hard work carried out across the organisation to make Nesma & Partners an employer of choice.

How do you envision Nesma & Partners in 2030 and beyond, and what position do you see the company taking in the country?
The excitement won’t end by 2030, that’s for sure. The country has projects that extend far beyond 2030 and is looking forward to Expo 2030, the 2034 World Cup, the Asian Cup, the Asian Winter Games and more.
The real challenge isn’t what happens after 2030; it’s how we continue to deliver on the mandates and ensure we have the right expertise, supply chain and skills to meet demand. The opportunities will only continue to grow, and our goal is to stay ahead by contributing to massive projects and ensuring we are ready for the increasing scale of work to come.

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