A new chief executive officer has been named for Saudi Arabia’s $500bn (SAR1.9tn) Neom mega-city project amid a high-level shuffle under way in the organisation.

Effective 1 August, Eng Nadhmi Al-Nasr will take over as Neom’s CEO from Dr Klaus Kleinfeld.

In a tweet, Neom said Kleinfeld “is taking on a new role as advisor to chairman of the Neom founding board, HRH Crown Prince Mohammed bin Salman”.

Kleinfeld will also join Neom’s board in August, the organisation confirmed.

Neom said Al-Nasr was “a key driver during the development of Neom Bay”, one of the megaproject’s initial phases, adding he has “decades of experience in managing and delivering ambitious projects in Saudi Arabia”.

READ: Saudi Arabia's top 10 projects under construction in 2018

Kleinfeld has previously served as CEO of American industrial firm, Alcoa, and German conglomerate, Siemens.

Before joining Neom in October 2017, Kleinfeld was chairman and CEO of metal engineering firm, Arconic, his LinkedIn profile shows.

Al-Nasr, meanwhile, is prominent within Saudi’s business community for his work with King Abdullah University of Science and Technology (KAUST) as executive vice president of finance and administration, and previously its interim president.

Before he joined KAUST, Al-Nasr was part of Saudi Aramco, where between 1978 and 2006, he held various roles such as project manager, executive director of community services, and vice president of engineering services.

Contracts for palaces to be built as part of the massive Neom development in Saudi Arabia have been awarded, it was reported this February. 

The palaces for the King, the Crown Prince, and other senior royals will be located on the Red Sea coast 150km west of Tabuk city, according to Reuters.

Saudi Binladin Group (SBG), one of the kingdom’s most high-profile contractors, was said to have won the government contracts.

Neom was introduced at the Future Investment Initiative conference in Riyadh by Saudi Crown Prince Mohammed bin Salman.

The project includes the construction of a bridge spanning the Red Sea, connecting the proposed city to Egypt and the rest of Africa.