Shapir Engineering and Industry
Full Text
שפיר הנדסה ותעשיה בע"מ
Bareket St. 12, Petah Tikva 4951780, Israel. Tel.: +972-3-9169500
Shapir Engineering and Industry is a publicly traded Israeli company engaged in the production and supply of raw materials for construction, infrastructure, franchise, logistics, real estate and residential construction.
Through its subsidiaries, the company engages in the extraction of occupied natural resources, construction on occupied Palestinian land, and providing of services to the Israeli Ministry of Defense.
Extraction of Occupied Natural Resources
Natuf Quarry
Shapir operates the Natuf quarry and concrete plant located west of Ramallah near the settlement of Nili in the occupied West Bank.
The 317,000 m2 quarry supplies concrete for construction sites in the occupied West Bank and within the Green Line. Dolomite type stone is extracted in the quarry, which is used for the production of gravel for asphalt and the concrete industry.
Through its subsidiary, Shapir holds a mining license valid until December 31, 2024, which also includes a statutory plan for the expansion of the quarry, approved in September 2017. In 2017, the Israeli Civil Administration (ICA) in the occupied West Bank approved for the company to expand the area of the Natuf Quarry by an additional 100 dunams.
The quarry and the concrete plant are operated by Shapir together with the Mateh Binyamin Development Company, which holds a 15-year mining and quarrying concession from the ICA. The Mateh Binyamin Development Company is owned by the Mateh Binyamin settlements' Regional Council, which consists of 47 settlements in the occupied West Bank.
In 2013, Shapir signed a permit agreement for limestone and dolomite quarrying in the quarry with the ICA in the occupied West Bank, which expired in October 2015.
Concrete Factories in the Occupied West Bank
Additionally, Shapir operates two concrete factories in the Atarot Industrial Zone in occupied East Jerusalem and in the settlement of Migdal Oz in Gush Etzion settlements’ cluster in the occupied West Bank.
In August 2022, Who Profits team documented a company truck at the Qalandiya checkpoint in the occupied West Bank.
Gitit Quarry
Shapir holds rights in the Gitit quarry located in the settlement of Gitit in the occupied West Bank. The quarry area is 2,264,126 m2 of land belonging to the Palestinian town of Aqraba. The quarry is currently inactive.
In 2004, the company signed a Memorandum of Understandings with the Gitit settlement for the purchase of the rights to operate the quarry. According to the agreement, Shapir would pay the settlement a total of NIS 1,000,000 plus VAT at the beginning of every five years of operation of the quarry and another NIS 1 plus VAT for every 15 tons of aggregate during the period of operation. In addition, Shapir undertook to pay the settlement NIS 100,000 as an advance, as well as to provide it with a loan of NIS 200,000.
In 2016, the residents of Aqraba petitioned the Israeli Supreme Court to cancel the seizure order of their lands, including the seizure order of the area allocated for the construction of a quarry. The case is currently pending.
The Jerusalem Light Rail
Through its subsidiaries, Shapir carries out the operation, expansion and upgrade of the Jerusalem Light Rail.
The Jerusalem Light Rail (JLR) network is a large-scale Israeli transport infrastructure project, connecting large settlement blocks in occupied East Jerusalem to the center and west of the city. The project is contingent on the expropriation of Palestinian land and the further territorial fragmentation of the city’s Palestinian neighborhoods, in order to create territorial continuity and ease settler movement on both sides of the Green Line.
Shapir, together with Spanish company CAF - Construcciones y Auxiliar de Ferrocarriles, holds 50% in CFIR Light Rail Ltd., the consortium operating the Jerusalem Light Rail network, and 50% in LAVI Light Rail O&M Ltd. (formerly J-Net O&M Ltd), the Operation and Maintenance contractor of the project.
Through their joint consortium, Shapir and CAF hold the concession for the operation and maintenance of the JLR’s Red (starting April 2021) and Green lines for a period of 15 years (extendable up to 25 years) and 25 years, respectively.
The J-Net Project
In 2019, the CFIR Light Rail consortium won a tender from the Israeli Ministry of Finance, the Ministry of Transportation and the Jerusalem Municipality for the J-Net project.
The J-Net project, estimated at NIS 11 billion, includes the extension, operation and maintenance of the JLR’s Red Line, and the construction, operation and maintenance of the new Green Line. The project includes the construction and upgrade of three depot complexes, about 30 km of double tracks, 87 new intersections and about 30 new train stations.
Shapir’s revenues from the project are estimated at approximately NIS 2.4 billion out of an estimated total project cost of approximately NIS 4 billion.
The J-Net project was financed by Hapoalim Bank.
The Red Line
The JLR’s Red Line, operational since 2011, connects the settlement neighborhood of Pisgat Ze'ev in occupied East Jerusalem to the city center, passing through the settlement neighborhoods of French Hill, Givat HaMivtar, Ramat Eshkol and Ma’alot Dafna.
Shapir’s consortium, CFIR Light Rail, carries out the extension of the Red Line including the construction of seven additional kilometers of double tracks and 12 new stations between the settlement neighborhoods of Pisgat Ze`ev and Neve Yaakov in East Jerusalem.
The project also includes the establishment of a two-story depot in the Neve Ya’akov settlement neighborhood which will include a parking structure for cars and trains with additional bus terminals, and the expansion of an already existing depot located in the French Hill settlement neighborhood, both on the Red Line route. An additional new depot is to be established in the Gilo settlement neighborhood as part of the Green Line route.
In June 2024, CFIR demanded from the Ministry of Finance about NIS 700 million for the opening of the Red Line extensions. The opening of the extensions has been postponed and is currently scheduled for November 2024.
The Green Line
The JLR’s Green Line, currently under construction, will connect the settlement neighborhood of Gilo to Mt. Scopus, passing through the city center and the settlement neighborhoods of Ramat Eshkol, Ma’alot Dafna and the French Hill, significantly easing access between the settlements and the western part of the city. The operation of the Green Line extensions is expected to open in 2025.
CFIR has carried out the laying of rails, concrete casting and electrification along the Red Line and the Green Line’s routes, and is expected to soon begin work in the Gilo settlement neighborhood area.
In 2024, CFIR Light Rail consortium received NIS 228,748,517 from the Ministry of Transport for the Green Line project.
In 2023, the consortium received NIS 353,657,895 from the ministry for the Green Line project; in 2022, NIS 136,422,910; in 2021, NIS 102,702,185; and NIS 70,909,395 in 2020. In 2021, the company received additional NIS 806,062 from the ministry for the provision of light rail public transport service in Jerusalem.
In April 2022, the Jerusalem municipality signed an agreement with Shapir and CAF to reward the companies with NIS 10 million for each month of advancement of work on the Green Line. The agreement stipulates that for every month that the company is ahead of schedule, it will receive NIS 5 million plus all income from the purchase of tickets, which is estimated at an additional NIS 5 million.
In November 2021, Shapir carried out construction work for J-Net project in the settlement neighborhoods of Pisgat Ze’ev and Neve Ya’akov, as well as the construction of the new depot in Neve Ya’akov. In January 2022, track laying and construction work were carried out in Pisgat Ze`ev and in Neve Yaakov settlement neighborhoods.
For more on the J-Net project see Who Profits Update Developments in the Expansion of the JLR Network: The J-Net Project.
Construction on Occupied Land
Shapir carries out a construction project of four eight-story buildings and 22 cottages in neighborhood 07 in the settlement of Ma'ale Adumim in the occupied West Bank.
The company also initiated a construction project of 1,300 housing units in the settlement neighborhood of Gilo in occupied East Jerusalem.
In November 2021, Who Profits documented a Shapir truck taking part in works on the expansion of Nabi Elyas bypass road in the occupied West Bank. The bypass road expropriates Palestinian land for a project aimed to benefit an illegal settler population. For more on the road, read Who Profits update Roads and Infrastructure Nabi Elyas Bypass Road (Highway 55).
Previously, Shapir carried out infrastructure projects in the settlement neighborhoods of Gilo, Ramat Shlomo and Pisgat Ze’ev in occupied East Jerusalem, and projects in the settlements of Ma’ale Adumim and Beit Horon in the occupied West Bank. In addition, the company constructed a 350 meter bridge in the Gush Etzion settlements cluster in the occupied West Bank; two bridges and an interchange in the Ramot settlement neighborhood in occupied East Jerusalem; and the Eshkol Tunnel which runs under the Israel Police national headquarters in the Kiryat Menachem Begin government buildings complex in occupied East Jerusalem.
According to a 2012 contract signed between Shapir and Moriah Jerusalem Development Corporation, Shapir was responsible for paving work and extension as part of the expansion of Road 50 (also referred to as Begin South Road) beyond the Green Line. The expanded section connects the Gilo settlement neighborhood in East Jerusalem to Highway 60 (the Tunnels Road), which crosses the West Bank from the north to the south.
Between 2010 and 2015, the company performed infrastructure works for the construction of the Tel Aviv Jerusalem fast train (A1 train), which crosses into the occupied West Bank in two areas, with a financial scope of approximately NIS 1.6 billion.
Services to the Israeli military
Israeli military Unified Supply Center
In January 2020, Shapir’s subsidiary, Shapir Orian Logistics (60%), was awarded a tender by the Israeli Ministry of Defense (IMOD) for a financing concession agreement for the planning, construction, operation and maintenance of three logistics centers for the Israeli military for a period of 26 years, of which 5 years for the construction period, for NIS 1.25 billion.
The military Unified Supply Center project includes the construction of three new supply centers as part of a future plan to unify all the logistics centers that will provide logistics services to all army units. The total area of the project is 1,700,000 m2 including 210,000 m2 of dedicated construction and 60,000 m2 of administrative construction.
Starting from the date of operation of the project and throughout its duration, the company will receive regular payments that will reach a total amount of NIS 5.5 billion. Shapir’s estimated revenues from the project are estimated at NIS 2.359 billion.
Naqab
Petroleum Exploration
Shapir holds a land license for petroleum exploration in a land area of approximately 337,000,000 m2 in the northeastern Naqab and southern Judean desert. In 2019, the company received a license from the Ministry of Energy for a period of 3 years, which was later extended until the end of 2025.
Additionally, the company holds a license for oil shale exploration of oil shale minerals for cement production at the Oron site in the Naqab.
Highway 6
Between 2013 and 2017, the company constructed the southern section of Highway 6 near the village of Laqiya in the Naqab. The project included the construction of a new road section with two lanes in each direction, bridges with a total area of approximately 16,300 m2, retaining walls, drainage canals and landscaping works and systems in a financial scope of about NIS 311 million.
Highway 6 is one of Israeli developmental projects in the Naqab region leading to the dispossession of the Naqab’s Palestinian Bedouin communities. For more see Who Profits’ interactive map Tools of Dispossession in the Naqab: Development & Military Projects.
Shapir Engineering and Industry is a publicly traded Israeli company engaged in the production and supply of raw materials for construction, infrastructure, franchise, logistics, real estate and residential construction.
Through its subsidiaries, the company engages in the extraction of occupied natural resources, construction on occupied Palestinian land, and providing of services to the Israeli Ministry of Defense.
Extraction of Occupied Natural Resources
Natuf Quarry
Shapir operates the Natuf quarry and concrete plant located west of Ramallah near the settlement of Nili in the occupied West Bank.
The 317,000 m2 quarry supplies concrete for construction sites in the occupied West Bank and within the Green Line. Dolomite type stone is extracted in the quarry, which is used for the production of gravel for asphalt and the concrete industry.
Through its subsidiary, Shapir holds a mining license valid until December 31, 2024, which also includes a statutory plan for the expansion of the quarry, approved in September 2017. In 2017, the Israeli Civil Administration (ICA) in the occupied West Bank approved for the company to expand the area of the Natuf Quarry by an additional 100 dunams.
The quarry and the concrete plant are operated by Shapir together with the Mateh Binyamin Development Company, which holds a 15-year mining and quarrying concession from the ICA. The Mateh Binyamin Development Company is owned by the Mateh Binyamin settlements' Regional Council, which consists of 47 settlements in the occupied West Bank.
In 2013, Shapir signed a permit agreement for limestone and dolomite quarrying in the quarry with the ICA in the occupied West Bank, which expired in October 2015.
Concrete Factories in the Occupied West Bank
Additionally, Shapir operates two concrete factories in the Atarot Industrial Zone in occupied East Jerusalem and in the settlement of Migdal Oz in Gush Etzion settlements’ cluster in the occupied West Bank.
In August 2022, Who Profits team documented a company truck at the Qalandiya checkpoint in the occupied West Bank.
Gitit Quarry
Shapir holds rights in the Gitit quarry located in the settlement of Gitit in the occupied West Bank. The quarry area is 2,264,126 m2 of land belonging to the Palestinian town of Aqraba. The quarry is currently inactive.
In 2004, the company signed a Memorandum of Understandings with the Gitit settlement for the purchase of the rights to operate the quarry. According to the agreement, Shapir would pay the settlement a total of NIS 1,000,000 plus VAT at the beginning of every five years of operation of the quarry and another NIS 1 plus VAT for every 15 tons of aggregate during the period of operation. In addition, Shapir undertook to pay the settlement NIS 100,000 as an advance, as well as to provide it with a loan of NIS 200,000.
In 2016, the residents of Aqraba petitioned the Israeli Supreme Court to cancel the seizure order of their lands, including the seizure order of the area allocated for the construction of a quarry. The case is currently pending.
The Jerusalem Light Rail
Through its subsidiaries, Shapir carries out the operation, expansion and upgrade of the Jerusalem Light Rail.
The Jerusalem Light Rail (JLR) network is a large-scale Israeli transport infrastructure project, connecting large settlement blocks in occupied East Jerusalem to the center and west of the city. The project is contingent on the expropriation of Palestinian land and the further territorial fragmentation of the city’s Palestinian neighborhoods, in order to create territorial continuity and ease settler movement on both sides of the Green Line.
Shapir, together with Spanish company CAF - Construcciones y Auxiliar de Ferrocarriles, holds 50% in CFIR Light Rail Ltd., the consortium operating the Jerusalem Light Rail network, and 50% in LAVI Light Rail O&M Ltd. (formerly J-Net O&M Ltd), the Operation and Maintenance contractor of the project.
Through their joint consortium, Shapir and CAF hold the concession for the operation and maintenance of the JLR’s Red (starting April 2021) and Green lines for a period of 15 years (extendable up to 25 years) and 25 years, respectively.
The J-Net Project
In 2019, the CFIR Light Rail consortium won a tender from the Israeli Ministry of Finance, the Ministry of Transportation and the Jerusalem Municipality for the J-Net project.
The J-Net project, estimated at NIS 11 billion, includes the extension, operation and maintenance of the JLR’s Red Line, and the construction, operation and maintenance of the new Green Line. The project includes the construction and upgrade of three depot complexes, about 30 km of double tracks, 87 new intersections and about 30 new train stations.
Shapir’s revenues from the project are estimated at approximately NIS 2.4 billion out of an estimated total project cost of approximately NIS 4 billion.
The J-Net project was financed by Hapoalim Bank.
The Red Line
The JLR’s Red Line, operational since 2011, connects the settlement neighborhood of Pisgat Ze'ev in occupied East Jerusalem to the city center, passing through the settlement neighborhoods of French Hill, Givat HaMivtar, Ramat Eshkol and Ma’alot Dafna.
Shapir’s consortium, CFIR Light Rail, carries out the extension of the Red Line including the construction of seven additional kilometers of double tracks and 12 new stations between the settlement neighborhoods of Pisgat Ze`ev and Neve Yaakov in East Jerusalem.
The project also includes the establishment of a two-story depot in the Neve Ya’akov settlement neighborhood which will include a parking structure for cars and trains with additional bus terminals, and the expansion of an already existing depot located in the French Hill settlement neighborhood, both on the Red Line route. An additional new depot is to be established in the Gilo settlement neighborhood as part of the Green Line route.
In June 2024, CFIR demanded from the Ministry of Finance about NIS 700 million for the opening of the Red Line extensions. The opening of the extensions has been postponed and is currently scheduled for November 2024.
The Green Line
The JLR’s Green Line, currently under construction, will connect the settlement neighborhood of Gilo to Mt. Scopus, passing through the city center and the settlement neighborhoods of Ramat Eshkol, Ma’alot Dafna and the French Hill, significantly easing access between the settlements and the western part of the city. The operation of the Green Line extensions is expected to open in 2025.
CFIR has carried out the laying of rails, concrete casting and electrification along the Red Line and the Green Line’s routes, and is expected to soon begin work in the Gilo settlement neighborhood area.
In 2024, CFIR Light Rail consortium received NIS 228,748,517 from the Ministry of Transport for the Green Line project.
In 2023, the consortium received NIS 353,657,895 from the ministry for the Green Line project; in 2022, NIS 136,422,910; in 2021, NIS 102,702,185; and NIS 70,909,395 in 2020. In 2021, the company received additional NIS 806,062 from the ministry for the provision of light rail public transport service in Jerusalem.
In April 2022, the Jerusalem municipality signed an agreement with Shapir and CAF to reward the companies with NIS 10 million for each month of advancement of work on the Green Line. The agreement stipulates that for every month that the company is ahead of schedule, it will receive NIS 5 million plus all income from the purchase of tickets, which is estimated at an additional NIS 5 million.
In November 2021, Shapir carried out construction work for J-Net project in the settlement neighborhoods of Pisgat Ze’ev and Neve Ya’akov, as well as the construction of the new depot in Neve Ya’akov. In January 2022, track laying and construction work were carried out in Pisgat Ze`ev and in Neve Yaakov settlement neighborhoods.
For more on the J-Net project see Who Profits Update Developments in the Expansion of the JLR Network: The J-Net Project.
Construction on Occupied Land
Shapir carries out a construction project of four eight-story buildings and 22 cottages in neighborhood 07 in the settlement of Ma'ale Adumim in the occupied West Bank.
The company also initiated a construction project of 1,300 housing units in the settlement neighborhood of Gilo in occupied East Jerusalem.
In November 2021, Who Profits documented a Shapir truck taking part in works on the expansion of Nabi Elyas bypass road in the occupied West Bank. The bypass road expropriates Palestinian land for a project aimed to benefit an illegal settler population. For more on the road, read Who Profits update Roads and Infrastructure Nabi Elyas Bypass Road (Highway 55).
Previously, Shapir carried out infrastructure projects in the settlement neighborhoods of Gilo, Ramat Shlomo and Pisgat Ze’ev in occupied East Jerusalem, and projects in the settlements of Ma’ale Adumim and Beit Horon in the occupied West Bank. In addition, the company constructed a 350 meter bridge in the Gush Etzion settlements cluster in the occupied West Bank; two bridges and an interchange in the Ramot settlement neighborhood in occupied East Jerusalem; and the Eshkol Tunnel which runs under the Israel Police national headquarters in the Kiryat Menachem Begin government buildings complex in occupied East Jerusalem.
According to a 2012 contract signed between Shapir and Moriah Jerusalem Development Corporation, Shapir was responsible for paving work and extension as part of the expansion of Road 50 (also referred to as Begin South Road) beyond the Green Line. The expanded section connects the Gilo settlement neighborhood in East Jerusalem to Highway 60 (the Tunnels Road), which crosses the West Bank from the north to the south.
Between 2010 and 2015, the company performed infrastructure works for the construction of the Tel Aviv Jerusalem fast train (A1 train), which crosses into the occupied West Bank in two areas, with a financial scope of approximately NIS 1.6 billion.
Services to the Israeli military
Israeli military Unified Supply Center
In January 2020, Shapir’s subsidiary, Shapir Orian Logistics (60%), was awarded a tender by the Israeli Ministry of Defense (IMOD) for a financing concession agreement for the planning, construction, operation and maintenance of three logistics centers for the Israeli military for a period of 26 years, of which 5 years for the construction period, for NIS 1.25 billion.
The military Unified Supply Center project includes the construction of three new supply centers as part of a future plan to unify all the logistics centers that will provide logistics services to all army units. The total area of the project is 1,700,000 m2 including 210,000 m2 of dedicated construction and 60,000 m2 of administrative construction.
Starting from the date of operation of the project and throughout its duration, the company will receive regular payments that will reach a total amount of NIS 5.5 billion. Shapir’s estimated revenues from the project are estimated at NIS 2.359 billion.
Naqab
Petroleum Exploration
Shapir holds a land license for petroleum exploration in a land area of approximately 337,000,000 m2 in the northeastern Naqab and southern Judean desert. In 2019, the company received a license from the Ministry of Energy for a period of 3 years, which was later extended until the end of 2025.
Additionally, the company holds a license for oil shale exploration of oil shale minerals for cement production at the Oron site in the Naqab.
Highway 6
Between 2013 and 2017, the company constructed the southern section of Highway 6 near the village of Laqiya in the Naqab. The project included the construction of a new road section with two lanes in each direction, bridges with a total area of approximately 16,300 m2, retaining walls, drainage canals and landscaping works and systems in a financial scope of about NIS 311 million.
Highway 6 is one of Israeli developmental projects in the Naqab region leading to the dispossession of the Naqab’s Palestinian Bedouin communities. For more see Who Profits’ interactive map Tools of Dispossession in the Naqab: Development & Military Projects.
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Shapir Engineering and Industry
שפיר הנדסה ותעשיה בע"מ
Bareket St. 12, Petah Tikva 4951780, Israel.
Tel.: +972-3-9169500
Shapir Engineering and Industry is a publicly traded Israeli company engaged in the production and supply of raw materials for construction, infrastructure, franchise, logistics, real estate and residential construction.
Through its subsidiaries, the company engages in the extraction of occupied natural resources, construction on occupied Palestinian land, and providing of services to the Israeli Ministry of Defense.
Extraction of Occupied Natural Resources
Natuf Quarry
Shapir operates the Natuf quarry and concrete plant located west of Ramallah near the settlement of Nili in the occupied West Bank.
The 317,000 m2 quarry supplies concrete for construction sites in the occupied West Bank and within the Green Line. Dolomite type stone is extracted in the quarry, which is used for the production of gravel for asphalt and the concrete industry.
Through its subsidiary, Shapir holds a mining license valid until December 31, 2024, which also includes a statutory plan for the expansion of the quarry, approved in September 2017. In 2017, the Israeli Civil Administration (ICA) in the occupied West Bank approved for the company to expand the area of the Natuf Quarry by an additional 100 dunams.
The quarry and the concrete plant are operated by Shapir together with the Mateh Binyamin Development Company, which holds a 15-year mining and quarrying concession from the ICA. The Mateh Binyamin Development Company is owned by the Mateh Binyamin settlements' Regional Council, which consists of 47 settlements in the occupied West Bank.
In 2013, Shapir signed a permit agreement for limestone and dolomite quarrying in the quarry with the ICA in the occupied West Bank, which expired in October 2015.
Concrete Factories in the Occupied West Bank
Additionally, Shapir operates two concrete factories in the Atarot Industrial Zone in occupied East Jerusalem and in the settlement of Migdal Oz in Gush Etzion settlements’ cluster in the occupied West Bank.
In August 2022, Who Profits team documented a company truck at the Qalandiya checkpoint in the occupied West Bank.
Gitit Quarry
Shapir holds rights in the Gitit quarry located in the settlement of Gitit in the occupied West Bank. The quarry area is 2,264,126 m2 of land belonging to the Palestinian town of Aqraba. The quarry is currently inactive.
In 2004, the company signed a Memorandum of Understandings with the Gitit settlement for the purchase of the rights to operate the quarry. According to the agreement, Shapir would pay the settlement a total of NIS 1,000,000 plus VAT at the beginning of every five years of operation of the quarry and another NIS 1 plus VAT for every 15 tons of aggregate during the period of operation. In addition, Shapir undertook to pay the settlement NIS 100,000 as an advance, as well as to provide it with a loan of NIS 200,000.
In 2016, the residents of Aqraba petitioned the Israeli Supreme Court to cancel the seizure order of their lands, including the seizure order of the area allocated for the construction of a quarry. The case is currently pending.
The Jerusalem Light Rail
Through its subsidiaries, Shapir carries out the operation, expansion and upgrade of the Jerusalem Light Rail.
The Jerusalem Light Rail (JLR) network is a large-scale Israeli transport infrastructure project, connecting large settlement blocks in occupied East Jerusalem to the center and west of the city. The project is contingent on the expropriation of Palestinian land and the further territorial fragmentation of the city’s Palestinian neighborhoods, in order to create territorial continuity and ease settler movement on both sides of the Green Line.
Shapir, together with Spanish company CAF - Construcciones y Auxiliar de Ferrocarriles, holds 50% in CFIR Light Rail Ltd., the consortium operating the Jerusalem Light Rail network, and 50% in LAVI Light Rail O&M Ltd. (formerly J-Net O&M Ltd), the Operation and Maintenance contractor of the project.
Through their joint consortium, Shapir and CAF hold the concession for the operation and maintenance of the JLR’s Red (starting April 2021) and Green lines for a period of 15 years (extendable up to 25 years) and 25 years, respectively.
The J-Net Project
In 2019, the CFIR Light Rail consortium won a tender from the Israeli Ministry of Finance, the Ministry of Transportation and the Jerusalem Municipality for the J-Net project.
The J-Net project, estimated at NIS 11 billion, includes the extension, operation and maintenance of the JLR’s Red Line, and the construction, operation and maintenance of the new Green Line. The project includes the construction and upgrade of three depot complexes, about 30 km of double tracks, 87 new intersections and about 30 new train stations.
Shapir’s revenues from the project are estimated at approximately NIS 2.4 billion out of an estimated total project cost of approximately NIS 4 billion.
The J-Net project was financed by Hapoalim Bank.
The Red Line
The JLR’s Red Line, operational since 2011, connects the settlement neighborhood of Pisgat Ze'ev in occupied East Jerusalem to the city center, passing through the settlement neighborhoods of French Hill, Givat HaMivtar, Ramat Eshkol and Ma’alot Dafna.
Shapir’s consortium, CFIR Light Rail, carries out the extension of the Red Line including the construction of seven additional kilometers of double tracks and 12 new stations between the settlement neighborhoods of Pisgat Ze`ev and Neve Yaakov in East Jerusalem.
The project also includes the establishment of a two-story depot in the Neve Ya’akov settlement neighborhood which will include a parking structure for cars and trains with additional bus terminals, and the expansion of an already existing depot located in the French Hill settlement neighborhood, both on the Red Line route. An additional new depot is to be established in the Gilo settlement neighborhood as part of the Green Line route.
In June 2024, CFIR demanded from the Ministry of Finance about NIS 700 million for the opening of the Red Line extensions. The opening of the extensions has been postponed and is currently scheduled for November 2024.
The Green Line
The JLR’s Green Line, currently under construction, will connect the settlement neighborhood of Gilo to Mt. Scopus, passing through the city center and the settlement neighborhoods of Ramat Eshkol, Ma’alot Dafna and the French Hill, significantly easing access between the settlements and the western part of the city. The operation of the Green Line extensions is expected to open in 2025.
CFIR has carried out the laying of rails, concrete casting and electrification along the Red Line and the Green Line’s routes, and is expected to soon begin work in the Gilo settlement neighborhood area.
In 2024, CFIR Light Rail consortium received NIS 228,748,517 from the Ministry of Transport for the Green Line project.
In 2023, the consortium received NIS 353,657,895 from the ministry for the Green Line project; in 2022, NIS 136,422,910; in 2021, NIS 102,702,185; and NIS 70,909,395 in 2020. In 2021, the company received additional NIS 806,062 from the ministry for the provision of light rail public transport service in Jerusalem.
In April 2022, the Jerusalem municipality signed an agreement with Shapir and CAF to reward the companies with NIS 10 million for each month of advancement of work on the Green Line. The agreement stipulates that for every month that the company is ahead of schedule, it will receive NIS 5 million plus all income from the purchase of tickets, which is estimated at an additional NIS 5 million.
In November 2021, Shapir carried out construction work for J-Net project in the settlement neighborhoods of Pisgat Ze’ev and Neve Ya’akov, as well as the construction of the new depot in Neve Ya’akov. In January 2022, track laying and construction work were carried out in Pisgat Ze`ev and in Neve Yaakov settlement neighborhoods.
For more on the J-Net project see Who Profits Update Developments in the Expansion of the JLR Network: The J-Net Project.
Construction on Occupied Land
Shapir carries out a construction project of four eight-story buildings and 22 cottages in neighborhood 07 in the settlement of Ma'ale Adumim in the occupied West Bank.
The company also initiated a construction project of 1,300 housing units in the settlement neighborhood of Gilo in occupied East Jerusalem.
In November 2021, Who Profits documented a Shapir truck taking part in works on the expansion of Nabi Elyas bypass road in the occupied West Bank. The bypass road expropriates Palestinian land for a project aimed to benefit an illegal settler population. For more on the road, read Who Profits update Roads and Infrastructure Nabi Elyas Bypass Road (Highway 55).
Previously, Shapir carried out infrastructure projects in the settlement neighborhoods of Gilo, Ramat Shlomo and Pisgat Ze’ev in occupied East Jerusalem, and projects in the settlements of Ma’ale Adumim and Beit Horon in the occupied West Bank. In addition, the company constructed a 350 meter bridge in the Gush Etzion settlements cluster in the occupied West Bank; two bridges and an interchange in the Ramot settlement neighborhood in occupied East Jerusalem; and the Eshkol Tunnel which runs under the Israel Police national headquarters in the Kiryat Menachem Begin government buildings complex in occupied East Jerusalem.
According to a 2012 contract signed between Shapir and Moriah Jerusalem Development Corporation, Shapir was responsible for paving work and extension as part of the expansion of Road 50 (also referred to as Begin South Road) beyond the Green Line. The expanded section connects the Gilo settlement neighborhood in East Jerusalem to Highway 60 (the Tunnels Road), which crosses the West Bank from the north to the south.
Between 2010 and 2015, the company performed infrastructure works for the construction of the Tel Aviv Jerusalem fast train (A1 train), which crosses into the occupied West Bank in two areas, with a financial scope of approximately NIS 1.6 billion.
Services to the Israeli military
Israeli military Unified Supply Center
In January 2020, Shapir’s subsidiary, Shapir Orian Logistics (60%), was awarded a tender by the Israeli Ministry of Defense (IMOD) for a financing concession agreement for the planning, construction, operation and maintenance of three logistics centers for the Israeli military for a period of 26 years, of which 5 years for the construction period, for NIS 1.25 billion.
The military Unified Supply Center project includes the construction of three new supply centers as part of a future plan to unify all the logistics centers that will provide logistics services to all army units. The total area of the project is 1,700,000 m2 including 210,000 m2 of dedicated construction and 60,000 m2 of administrative construction.
Starting from the date of operation of the project and throughout its duration, the company will receive regular payments that will reach a total amount of NIS 5.5 billion. Shapir’s estimated revenues from the project are estimated at NIS 2.359 billion.
Naqab
Petroleum Exploration
Shapir holds a land license for petroleum exploration in a land area of approximately 337,000,000 m2 in the northeastern Naqab and southern Judean desert. In 2019, the company received a license from the Ministry of Energy for a period of 3 years, which was later extended until the end of 2025.
Additionally, the company holds a license for oil shale exploration of oil shale minerals for cement production at the Oron site in the Naqab.
Highway 6
Between 2013 and 2017, the company constructed the southern section of Highway 6 near the village of Laqiya in the Naqab. The project included the construction of a new road section with two lanes in each direction, bridges with a total area of approximately 16,300 m2, retaining walls, drainage canals and landscaping works and systems in a financial scope of about NIS 311 million.
Highway 6 is one of Israeli developmental projects in the Naqab region leading to the dispossession of the Naqab’s Palestinian Bedouin communities. For more see Who Profits’ interactive map Tools of Dispossession in the Naqab: Development & Military Projects.
Ownership
The company is publicly traded on the Tel Aviv Stock Exchange under the ticker symbol: SPEN
Major shareholders include: Harel Shapira (15.07%), Israel Shapira (15.07%), Gil Shapira (15.07%), Chen Shapira (15.07%), Clal Insurance Enterprises Holdings Ltd. (9.16%), Migdal Insurance and Financial Holdings Ltd. (5.77%), The Phoenix Holdings Ltd. (5.01%)
Chair of the Board of Directors: Yehuda Segev
CEO and Director: Harel Shapira
Subsidiaries
Fully owned subsidiaries: Shapir Housing and Building Ltd., Shapir Structures 1991 Ltd., Shapir Civil & Marine Engineering Ltd., Super N.G. Natural Gas Distribution Company Ltd., Super N.G. Hadera and the Valleys Natural Gas Distribution Company Ltd., Shapir Operation and Maintenance Ltd., Derech Nof Netivei Hatsafon Ltd., Derech Nof – Road 16 Ltd., Highway 16 to Jerusalem Operation & Maintenance Ltd., Shapir Government Center Project Ltd., Shapir Energy Ltd., Shapir Quarries and Industries Ltd., Shapir Industries Ltd., Dasel Spaces in Bulk Limited Partnership, Roichman Brothers (Shomron) Infrastructures 1993 Ltd., Lipsker & Co. Engineering Services Ltd., Fritz Logistics and Forwarding Ltd., Shapir Energy Ashdod Ltd.
Additional subsidiaries: The Fast Lane Ltd., 6 – Cross North Ltd. (80%), Shapir Orian Logistics Ltd. (60%), Avrot Industries Ltd. (54.85%), AD 120 Residence Centers for Senior Citizens Ltd. (53%), CFIR Light Rail Ltd. (50%), Lavi Light Rail – Operation and Maintenance Ltd. (50%), Shapir – Nativ Ltd. (50%), Shapir-GES Ashdod Desalination Ltd. (50%), Light TLV NTA Ltd. (50%), Packer Shefi – Steel Construction Ltd. (50%), Ashdod Refinery Ltd. (10%).
Partners
CAF - Construcciones y Auxiliar de Ferrocarriles
* This section refers to the company's general business partners