MEPCO sues Saudi ministry and water utility over SAR 77.3m land claim
Middle East Paper Co. (MEPCO) has filed suit in Jeddah's Administrative Court against the Ministry of Environment, Water and Agriculture and the National Water Company, seeking SAR 77,258,504.80 in rental compensation for expropriated land. The claim follows an appeals court ruling that overturned an earlier SAR 2.6m valuation and a revised SAR 8m valuation that MEPCO rejected. MEPCO says it cannot yet quantify the financial impact pending the outcome.
Why this mattersMEPCO is claiming nearly ten times the official May 2026 valuation, leaving an unresolved and unpaid expropriation receivable of uncertain size on its books.
- MEPCO filed suit on 7 October 2026 in Jeddah's Administrative Court (Board of Grievances)
- Claim is for SAR 77,258,504.80 in rental value for the expropriation period
- An earlier Valuation Committee decision of SAR 2,601,864 (2 March 2023) was overturned on appeal
- A new valuation issued 19 May 2026 set rent at SAR 8,007,407.20 for the period September 2007 to December 2016
- MEPCO disputed that valuation and filed a grievance with National Water Company before suing after 60 days without resolution
- The company says it cannot yet determine the financial impact pending the case outcome