Oman has formally approved its railway agreement with the United Arab Emirates, clearing another major hurdle for the Hafeet Rail project.
Sultan Haitham bin Tarik issued Royal Decree No. 75/2026 on September 3, formally ratifying the agreement signed by Oman and the UAE on June 21, 2026. The decree took effect on the day it was issued.
The decision gives fresh momentum to a major cross-border transport project designed to strengthen trade and connectivity between the two Gulf states.
Hafeet Rail Connects Oman and UAE
Hafeet Rail is a joint venture involving Etihad Rail, Oman Rail and Mubadala Investment Company.
The project is valued at around $2.5 billion. It will create a 238-kilometre railway connecting Sohar in Oman with the UAE’s national railway network through Al Buraimi and Al Ain.
The railway will support both passengers and freight. As a result, businesses will gain a faster route between major industrial areas, ports and markets in both countries.
Sohar to Abu Dhabi in About 100 Minutes
Passenger services are expected to reach speeds of up to 200 kilometres per hour.
Once operational, trains could connect Sohar and Abu Dhabi in about 100 minutes. The journey between Sohar and Al Ain is expected to take around 47 minutes.
Each passenger train could carry up to 400 people.
Therefore, the new railway could significantly improve travel between northern Oman and the UAE.
Faster Freight Connections
Freight transportation will form another major part of the project.
Cargo trains are expected to travel at speeds of up to 120 km/h. Each train could carry more than 15,000 tonnes of goods, equivalent to roughly 270 standard containers.
The rail link should also reduce transportation times between Sohar and Abu Dhabi.
For businesses, that could mean faster deliveries and more efficient supply chains. It could also strengthen Sohar’s role as an important regional logistics and industrial hub.
Major Engineering Challenges
The railway will cross a difficult landscape.
Construction involves mountains, wadis, urban areas and industrial zones. Engineers must also build bridges, tunnels and flood-protection infrastructure along the route.
The project includes around 2.5 kilometres of tunnels and numerous bridges.
Despite these challenges, construction has continued across sections of the route.
A Major Step for Gulf Connectivity
The Oman UAE railway agreement has importance beyond the two countries.
The project is expected to strengthen links between Gulf transport networks. It could also support the wider goal of creating more integrated regional logistics connections.
Sohar’s port facilities will gain direct access to the UAE’s growing railway network. In turn, companies in the UAE will gain a new land route to Oman’s industrial and maritime facilities.
That could encourage greater trade and investment across the border.
Hafeet Rail Could Transform Regional Trade
The project also supports Oman and the UAE’s broader economic diversification plans.
Rail transportation can move large volumes of goods more efficiently than road transport. Therefore, the new corridor could benefit sectors such as manufacturing, mining, agriculture, food, retail and logistics.
It may also help reduce pressure on road-based freight networks.
A New Era for Oman-UAE Transport
The formal ratification marks an important stage in the development of Hafeet Rail.
Oman’s government has already described the railway as an important part of its efforts to build a stronger transport and logistics network. The project is also aligned with the country’s wider economic development strategy.
Once completed, the railway will provide a direct connection between Sohar and the UAE network.
More importantly, it could become a model for future cross-border railway projects across the Gulf.
For Oman and the UAE, the Oman UAE railway agreement is therefore more than a transport deal. It represents a major investment in regional trade, logistics and long-term economic integration.
