The contract relates to three lines - green, blue and red - stretching a total of 95 km, including 25km underground and 48km of elevated sections.
The project is part of a plan initiated over the past few years by Saudi Arabia to develop and modernise its transport infrastructure. As the second holiest city in the country, Medina has to deal with an influx of several million pilgrims each year.
The metro is due to enter into service in 2020, with the project divided up into two distinct phases.
The consortium will be tasked with carrying out the feasibility studies and the preliminary design for the metro, including the preparation of invitation to tender documentation for design and build contracts.