Asharqiyah Development receives decision regarding the land of government grant

Al Sharqiyah Development Company would like to clarify to its valued shareholders that, since the issuance of the decision of the Ministry of Environment, Water and Agriculture on 01/01/2020, which was approved by the Royal Decree, which stipulates the eligibility of Asharqiyah Development company to own an area of 72,178,700 square meters of the total land area of the government grant delivered to the company based on the supreme order No. 1016 issued on 03/06/1406 AH, and it follows up all the departments concerned with issuing the instrument, starting with the Ministry of Environment, Water and Agriculture, passing through the Office of Justice and the Ministry of Energy, to return the matter to the Ministry of Environment, Water and Agriculture again, and Al Sharqiyah Development Company announces its receipt this afternoon, Tuesday, 02 / 08/2022 AD A decision issued by the Director General of the branch of the Ministry of Environment, Water and Agriculture in the Eastern Province on 01/12/1443 which states that Asharqiyah Development Company is not able to issue a deed of ownership on the land of the government grant presented to the company based on Supreme Order No. 1016 dated 03/ 06/1406 AH, which had been issued earlier by a royal order to own an area of 72,178,700 million square meters of the total of this land and the reason for this is due to the fact that Saudi Aramco wishes to use this land or parts of it, and based on the Royal Decree No. 40008 issued on 06/28/1443 AH, which prevents the legal authority from issuing the title deed to Asharqiyah Company based on the concession agreement signed between the government and Saudi Aramco.

The resolution also stipulates the eligibility of the company Al Sharqiya Development by making use of the land until the actual need of the Saudi Aramco company is fulfilled, and the decision also indicated that in the event that the Saudi Aramco need for this land or parts of it ends, the concerned authorities must follow the statutory procedures to issue the deed of ownership for the Company.

Asharqiyah Development Company would also like to clarify that it will obtain the approval of the Saudi Aramco to exploit parts of the grant land to implement its strategic projects And that the company, represented by its board of directors and its executive management, will continue to follow up on the matter until the company obtains guarantees that guarantee its rights according to the supreme directive.