ASMO, a joint venture between Aramco and DHL Supply Chain, has partnered with Arcapita Group Holdings Limited to develop a 1.4 million square meter purpose-built logistics facility in Saudi Arabia.
This facility is designed to support the next phase of the Kingdom’s logistics and supply chain development, enhancing efficiency and capacity across the region.
The project will be executed through a forward funding transaction, representing a long-term investment in Saudi Arabia’s national infrastructure. Under this partnership, Arcapita Group Holdings Limited will finance and retain ownership of the facility.
The facility will feature a 43,000 square meter temperature-controlled Grade-A logistics warehouse, more than 3,000 square meters of offices and staff amenities, 5,300 square meters of dedicated chemical storage, and a 1.2 million square meter open yard.
ASMO will handle development, leasing, and operation of the asset under a 22-year occupational lease. This investment underscores the parties’ shared commitment to building resilient, scalable, and future-ready institutional-grade logistics infrastructure in the Kingdom.
Designed to support large-scale industrial operations, the facility will incorporate advanced warehouse and building management systems, digital integration, automated storage and retrieval systems, and robotics. It will also meet globally recognized sustainability standards, including photovoltaic readiness, electric vehicle charging infrastructure, and LEED Gold certification.
The facility represents ASMO’s first purpose-built logistics center and forms part of four planned strategic sites underpinning ASMO’s national logistics network, aligned with the National Transport and Logistics Strategy (NTLS) under Saudi Vision 2030. Once operational, it will serve Aramco, its affiliates, and other key industrial players across the Kingdom.
Salem Al Huraish Chairman – ASMO
“This development reflects the strategic intent behind ASMO’s mandate and reaffirms its role in enabling resilient and future-ready supply chains. By investing in long-term infrastructure and strategic partnerships, ASMO is supporting the Kingdom’s industrial ambitions and contributing to the development of integrated logistics capabilities that serve both national priorities and global markets.”
Sulaiman Al Rubaian, Aramco Senior Vice President of Procurement & Supply Chain Management, said that, “ASMO’s new logistics hub at SPARK helps to strengthen Aramco’s supply chain resilience by delivering a centralized, high-efficiency facility in the heart of Saudi Arabia’s energy sector. As an anchor customer, we recognize the value of ASMO’s strategic investments in logistics infrastructure, demonstrating their ambition to delivering innovative, customer-focused solutions across the supply chain.”
Mishal Al Zughaibi, President and CEO of SPARK, welcomed ASMO to the park, highlighting the move as a strategic partnership that reinforces SPARK’s role as a leading logistics hub in line with the Kingdom’s Vision 2030. He noted that the significant investment reflects the shared ambition of all parties and praised SPARK’s advanced infrastructure and comprehensive services as key factors in ASMO’s decision to establish its state-of-the-art logistics center there.
SPARK, strategically located between Dammam Seaport, Aramco’s Abqaiq facilities, and Al Hasa, offers seamless connectivity across the Kingdom’s energy network. With modern infrastructure and digital readiness, it has attracted over 70 investors from 16 countries, backed by a $1.6 billion Phase One investment.