Worked project case study · Saudi Arabia

Cold room project case study in Saudi Arabia: 2,600-pallet frozen and chilled distribution centre, Riyadh industrial zone

A new-build distribution centre replacing three leased sites. Extreme design ambient, not electricity price, was the cost driver: plant capacity had to be sized for 47 °C peaks.

Direct answer

A 2,600-pallet −18 to −25 °c frozen facility in Saudi Arabia of roughly 11,800 m³, built with ammonia (r717) industrial plant, models at about USD 16,579,830 installed (USD 13,263,864USD 21,553,779 planning range) and USD 1,038,788 a year to run, over a 68-week programme from brief to handover. Figures are indicative planning estimates from ColdMatch Group's country cost model — not a quotation.

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Project profile

What was built, and for whom

Buyer
National food logistics operator
Product
Frozen bakery, chilled dairy and ambient-sensitive pharma overflow
Capacity
2,600 pallets · 11,800 m³
Temperature class
−18 to −25 °C frozen
Refrigeration system
Ammonia (R717) industrial plant
Site status
New build including civil works
Design ambient
48 °C peak

Dry / arid — low defrost load, high condensing temperatures

Grid
Stable grid — backup sized for short interruptions

~40 generator hours modelled per year

Indicative tariff
0.050 USD/kWh

Local band 0.040–0.080 USD/kWh

Zones

  • Frozen store −24 °C, 1,900 pallets, semi-automated pallet shuttle
  • Chilled store +2 °C, 700 pallets
  • Conditioned dispatch corridor and dock airlocks
Costs

What a project like this costs in Saudi Arabia

Derived from the same indicative country cost model used by the public ColdMatch calculators: local construction cost index, design ambient, humidity, grid reliability, diesel price and electricity tariff. Planning-grade estimates, never a quotation.

Installed CAPEX
USD 16,579,830

Planning range USD 13,263,864–USD 21,553,779

CAPEX per pallet
USD 6,377

USD 1,405 per m³

Annual OPEX
USD 1,038,788

30% of it is energy

OPEX per pallet / year
USD 400

694 kW average refrigeration load

CAPEX breakdown
Envelope, plant, electrical and installationUSD 11,641,035
Standby generationUSD 814,872
Monitoring and alarmsUSD 49,560
Automation / storage systemsUSD 4,074,362
Total installedUSD 16,579,830
Annual OPEX breakdown
Grid electricity (6,078,761 kWh)USD 303,938
Standby diesel (6,606 litres)USD 4,096
Maintenance and sparesUSD 530,555
Operations labour (14 staff)USD 196,000
Monitoring and complianceUSD 4,200
Total per yearUSD 1,038,788

Running the same facility on legacy fixed-speed plant models at USD 1,200,318 a year — about USD 161,530 more, which is the efficiency decision this project turned on.

Constraints

What made this project difficult in Saudi Arabia

These are the local realities that change the design, the price and the supplier shortlist.

  • Design ambient above 45 °C in summer forces oversized condensers
  • Very low industrial tariffs make efficiency payback slower than in Europe
  • Ammonia charge triggers safety engineering and operator training obligations
Engineering decisions

The decisions that shaped the result

  • Low-charge ammonia central plant with evaporative condensers sized on the 1% design day
  • Automation on the frozen side to cut door openings and staffing in a hot climate
  • Heat rejection water treatment budgeted from day one
Timeline

Programme: about 68 weeks from brief to handover

Phases overlap in practice. This sequence shows where the schedule risk sits in this market.

  1. 1

    Brief and feasibility

    Weeks 13 · 3 weeks

    Product, temperature, capacity, site status, electrical supply, budget band and timeline confirmed. ColdMatch reviews the brief and flags missing data before anyone is approached.

  2. 2

    Concept design and RFQ preparation

    Weeks 47 · 4 weeks

    Zone layout, load estimate, system shortlist and a single bid form so every supplier quotes identical scope, exclusions and assumptions.

  3. 3

    Supplier review and tendering

    Weeks 813 · 6 weeks

    Suitable suppliers are approached only after internal approval, then proposals are normalised on scope, energy assumptions, spares, commissioning and warranty.

  4. 4

    Civil works and building envelope

    Weeks 1433 · 20 weeks

    Slab, drainage, docks and structure, including under-floor heating detail where freezer rooms sit on grade.

  5. 5

    Equipment manufacture and delivery

    Weeks 3449 · 16 weeks

    Plant and panel manufacture with delivery sequenced to the installation programme.

  6. 6

    Installation and insulation

    Weeks 5063 · 14 weeks

    Panel erection, pipework, electrical and automation installation with a written interface responsibility matrix between refrigeration and automation scopes.

  7. 7

    Commissioning, pull-down and handover

    Weeks 6468 · 5 weeks

    Leak and pressure testing, staged pull-down, performance verification against the specified duty, operator training, spares handover and documentation.

Outcomes

What the project delivered

  • Three leases consolidated into one operation with room for expansion
  • Peak-day dispatch capacity met without emergency chilled trailers
  • Ammonia safety plan and operator competency documented before commissioning
Lessons

What buyers in this market should take from it

  • In Gulf climates, plant sizing on the design day is worth more than tariff optimisation
  • Automation pays for itself faster where door openings are expensive in energy terms
Model your own numbers

Tools and market data for Saudi Arabia

Change the capacity, temperature and system and the numbers above move. These tools use the same country model.

FAQ

Cold storage project costs and timelines in Saudi Arabia

How ColdMatch Group works — independent B2B procurement and sourcing platform ColdMatch Group is an independent B2B procurement and sourcing platform for industrial refrigeration, cold storage and cold-chain projects from USD $250K+, connecting buyers with qualified third-party suppliers, EPC contractors and independent financing providers.

Have a comparable project in Saudi Arabia?

Submit your product type, temperatures, capacity, site status, power situation, budget band and timeline. David and the ColdMatch team review the brief, structure the RFQ so every supplier quotes the same scope, and approach suitable suppliers only after internal approval.

This is a worked project example built from ColdMatch Group's indicative country cost model — local electricity tariff, design ambient, humidity, grid reliability and construction cost index. It is a planning-grade illustration, not a client transaction, an engineering design or a quotation. Supplier and manufacturer listings on this site are provided for research, transparency and discovery only. ColdMatch Group does not provide automatic buyer-supplier introductions. Every cold chain project request is reviewed manually by David / ColdMatch Group, and supplier introductions are made only after internal approval.

Supplier and manufacturer listings are provided for research, transparency and discovery only. ColdMatch Group does not provide automatic buyer-supplier introductions. Every cold chain project request is reviewed manually by David / ColdMatch Group, and supplier introductions are made only after internal approval.

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