Oman Invites Bids for Al Khoudh Dam Project: What Investors and Entrepreneurs Need to Know
By Qasim Al Maashani
Muscat, June 27
Oman has launched an international bidding process for the construction of a flood-protection dam at Wadi Al Khoudh in the Wilayat of Al Seeb, revitalizing one of Muscat Governorate’s long-standing flood-risk management projects. This initiative is part of a climate resilience programme supported by the Islamic Development Bank (IsDB).
The Ministry of Agriculture, Fisheries and Water Resources has issued a procurement notice inviting sealed bids from qualified contractors for the Wadi Al Khoudh dam project. According to the IsDB notification, the deadline for bid submission is August 9, 2026. The tender will follow international competitive bidding procedures.
This development is notable as it transitions the project from prolonged planning to the active procurement phase, emphasizing the increasing priority Oman places on flood protection, urban safety, and climate-resilient infrastructure within its development strategy.
The Wadi Al Khoudh dam is a key component of the broader Climate-Resilient Flood Protection Dams Project, which receives financial backing from the IsDB. The programme comprises several flood-protection dam projects, including Wadi Rijma in Liwa, Wadi Majlas in Qurayyat, and Wadi Ahin in Saham.
Additionally, the programme incorporates the development of Saham Agriculture City and an institutional development and capacity-building centre, integrating flood protection efforts with improved water management, agricultural growth, and enhanced institutional capabilities.
According to IsDB documentation, the entire climate resilience programme is valued at over $600 million. However, this figure pertains to the full programme and does not reflect the cost of the Wadi Al Khoudh dam alone.
The Wadi Al Khoudh project has a deep policy foundation. Under Royal Decree 21/2013, it was designated a public utility project due to its critical role in mitigating flood risks in the Wilayat of Al Seeb.
For Muscat Governorate, managing flood risks in Al Seeb is vital for safeguarding households, infrastructure, public services, and supporting future urban expansion. Beyond protection, such investments help minimize disruptions to transportation, utilities, and business activities during severe weather events.
This project underscores Oman’s commitment to building resilient infrastructure that addresses the growing challenges posed by climate change.
Special Analysis by Omanet | Navigate Oman’s Market
Oman’s move to advance the Wadi Al Khoudh flood-protection dam project signals a strategic shift toward climate-resilient infrastructure, presenting significant opportunities for businesses in construction, engineering, and environmental services. This initiative, backed by substantial international financing, mitigates flood risks that threaten urban growth and economic stability, urging smart investors and entrepreneurs to consider partnerships in climate adaptation and infrastructure development sectors. Moreover, this sets a precedent for integrated projects linking flood protection with agriculture and water management, highlighting emerging market niches aligned with sustainable development goals.
