Horses will run at Meydan in the new year

The Meydan racecourse will be completed by the end of this year despite the cancellation of a Dh4.77bn construction contract in January.

The Meydan racecourse will be completed by the end of this year despite the cancellation of a Dh4.77 billion contract with builders Arabtec Construction and joint venture partner WCT Engineering in January. The partners later launched arbitration proceedings against the Meydan Group, the company developing the racecourse, to claim an estimated Dh1.6bn in compensation. The proceedings are still ongoing.

"It's very sensitive and is still in discussions but we just want to say that we're over it and we don't have any problems... at the end of the day the courts will discuss the issue," said Mohammed Abdulla Al Hathboor, project development manager at Meydan. Riad Kamal, the chairman of Arabtec Construction, declined to comment as the proceedings are still ongoing. Mr Al Hathboor added that money raised from the sale of land was used to finance the project, which includes a hotel, grandstand and conference facilities.

The cancelled contract delayed the project by just two months. It was due to be ready this month but is now on schedule for completion by the end of the year, added Mr Al Hathboor. The racecourse will be ready in time to host its first race on 28 January as well as the Dubai World cup horse racing event in March. "The problems are behind us and we're on schedule," said Mr Al Hathboor. [e-mail]