MEPCO sues Ministry of Environment and National Water Company for SAR 77.3 million over expropriated land
Middle East Paper Company (MEPCO) has filed a lawsuit in Jeddah’s administrative court seeking SAR 77.3 million in compensation for expropriated land.
Key Takeaways
AIThe Middle East Paper Company (MEPCO) has announced that it has filed a new lawsuit with the Administrative Court in Jeddah (Board of Grievances) against the Ministry of Environment, Water and Agriculture and the National Water Company, seeking compensation of SAR 77,258,504.80 as rental value for the entire period during which its land was expropriated.
In a disclosure on the Saudi Exchange (Tadawul), the company stated that the lawsuit was filed on 26 Rabi Al-Akhir 1448 AH (October 7, 2026), based on updated valuations from three certified real estate appraisers.
From SAR 2.6 million to SAR 8 million—MEPCO now seeks SAR 77 million
The lawsuit follows previous claims, in which MEPCO received a final ruling from the Administrative Court of Appeal that overturned the Valuation Committee’s decision dated 10 Sha’ban 1444 AH (March 2, 2023), which had set compensation at SAR 2,601,864.
In compliance with that ruling, a new Valuation Committee was formed and issued its latest decision on 2 Dhu Al-Hijjah 1447 AH (May 19, 2026), valuing the rent at SAR 8,007,407.20 for the period from 21 Sha’ban 1428 AH (September 3, 2007) to 15 Rabi Al-Awwal 1438 AH (December 14, 2016). MEPCO noted it has not received this amount.
The company stated it did not accept this valuation and filed a grievance with the National Water Company. After more than 60 days without a resolution, MEPCO decided to proceed with the lawsuit.
Financial impact
MEPCO said it is currently unable to determine the financial impact, as it will depend on the final outcome of the lawsuit and receipt of any awarded amount. The company confirmed it does not expect the filing of the lawsuit itself to have any material negative legal, regulatory, or operational impact.
MEPCO added that it has completed all required administrative grievance procedures, appointed a lawyer to represent it before the competent court, and will announce any significant developments as they arise.