Muscat: The Oman and Etihad Rail Company, the developer and operator of the railway network linking Oman and the UAE, and Mubadala Investment Company (Mubadala) have signed a cooperation agreement to develop the railway network linking the two countries.
According to CNBC Arabia, the network will extend over a distance of 303 km with a total investment value of $3 billion.
"The cooperation agreement includes the formation of working groups and a joint committee to benefit from common capabilities and knowledge, and joint work to develop an economic and financial feasibility study, in addition to joint investment in developing the railway project between the Emirates and Oman and joint cooperation to enhance the added value of the project," the CNBC Arabic said.
The signing of the agreement follows the establishment of the Oman and Etihad Rail Company, which is equally owned by Oman Rail, the developer of the national railway network in the Sultanate of Oman, and Etihad Rail, the developer, and operator of the national railway network in the United Arab Emirates, according to the agreement that was signed last September.
When ready, the passenger train will travel at 200 kilometres per hour to cover the distance between Suhar and Abu Dhabi in 100 minutes and 47 minutes between Suhar and Al Ain, while the speed of freight trains will have a maximum speed of 120 kilometres per hour.
The trains will have a capacity to ferry 12,000 passengers per day and 250,000 containers at the start of the line's operation.
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