SNC-Lavalin Signs Major Water Concession Agreement
MONTREAL, QUEBEC--DECEMBER 13, 2000 - 11:08 EST
The New Urban Communities Authority (NUCA), an
agency of the Ministry of Housing, Utilities and Urban Communities
of the Egyptian Government, has signed a Letter of Agreement with
a consortium formed by SNC-Lavalin, International Group for
Investments, Egypt Kuwait Holding Co. S.A.E. and International
Environmental Technology Co. for a Build, Own, Operate and
Transfer (BOOT) contract for the Cairo/Suez Water Supply Project.
The total value of the project is US$180 million. SNC-Lavalin
Capital and London-based MedInvest are the financial advisors,
with BNP-Paribas as Lead Arranger.
In February 2000, the consortium led by SNC-Lavalin was designated
"First Ranked Bidder" after a successful public bid in competition
with major international firms. Signature of the Letter of
Agreement marks the successful completion of the first phase of
negotiations, and approval of the project by the Egyptian Cabinet.
Attending the signing ceremony were Egyptian Prime Minister, Dr.
Atef Obeid, the Minister of the Housing, Utilities and Urban
Communities, Dr. Mohamed Ibrahim Soliman, and Jacques Lamarre,
President and Chief Executive Officer of SNC-Lavalin.
"The treatment, transportation and distribution of potable water
will represent high-growth sectors in the next few years in
several African countries," said Sami Bébawi, Executive
Vice-President of SNC-Lavalin. "This concession agreement with
the Egyptian Government bears testimony to both its commitment to
better serving its urban communities, and the expertise our
company has developed in the treatment and transportation of
potable water."
The project involves the operation and management of two existing
water treatment plants and the construction of a third plant for a
total output of 766,000 m3/day, of which 200,000 m3/day will be
transported from the East Cairo to the Suez area via a 120-km
pipeline. The duration of the concession agreement is 33 years.
SNC-Lavalin Group is one of the leading engineering and
construction firms in the world, and a key player in the ownership
and management of infrastructure. The group and its companies
have offices across Canada and in 30 other countries, and are
currently working in some 100 countries. The company is listed on
the Toronto Stock Exchange (symbol: SNC). |
