An equal stake joint venture (JV) between Orascom Construction and FCC Aqualia, a subsidiary of FCC, has bagged an EPC contract worth $320m to build Abu Rawash Wastewater Treatment Plant in Egypt.
Orascom Construction, an Egyptian engineering and construction company, has won a $100m contract to construct a steam turbine power plant in Egypt.
Water innovation firm Crystal Lagoons has inked a deal with Egypt-based real estate company Tatweer Misr for a $117m development in Ras Al Hekmah, Egypt.
The European Bank for Reconstruction and Development (EBRD) has agreed to provide a loan of up to €186m to the Fayoum Water and Wastewater Company for the development and expansion of its wastewater services in Egypt.
US-based engineering services firm Bechtel has secured two contracts from Carbon Holdings to provide project management services for the Tahrir Petrochemicals Complex and construct two new polypropylene units in Egypt.
The European Investment Bank (EIB) has signed a €115M loan agreement with the Arab Republic of Egypt for a wind farm project in the Gulf of Suez.
Youssef Ouchagour, construction industry analyst at Timetric’s Construction Intelligence Center, looks at the current state of the healthcare construction market and presents five of the largest healthcare projects currently under construction in the Gulf Cooperation Council (GCC) region.Building adequate and effective healthcare facilities has become an urgent priority in the GCC region as the pressure continues to grow on the existing healthcare infrastructure due to a number of regional factors, including rapid population growth, higher life expectancy, a higher per capita income and a rise in lifestyle related diseases. GCC healthcare construction market outlookAccording to Timetric’s Construction Intelligence Center (CIC) project database, there are 119 active healthcare projects in the GCC countries with a combined value of $46bn. As expected, the majority of these projects are located in Saudi Arabia, the country with the largest population in the GCC, followed in order by the United Arab Emirates, Kuwait, Oman, Qatar and Bahrain. 40% of active projects in the GCC region, with a combined value of $21bn) are under execution, with the remaining 60% of projects at various pre-execution stages, with a combined value of $25bn. This shows that there is a wealth of future opportunities within the healthcare sector for the GCC construction industry.The expected growth of the Healthcare Sector in the GCC region over the next few years will be mainly driven by the GCC governments’ efforts to strengthen and modernise their healthcare system — 68% of the active Healthcare projects in GCC countries are publicly funded projects; these have a combined value of $39bn. Privately funded projects represent 25% of the total number of active healthcare projects in the region and have a combined value of $4.5bn. The total investment in healthcare projects through public/private partnership is around $2.2bn. The number of projects funded by the private sector is set to grow over the next few years due to the high demand for high quality healthcare facilities and services and the rise of the medical tourism trend in the region. The same is expected for projects funded through public/private partnerships as the GCC governments are looking for alternative ways to fund healthcare projects due to budget restraints.
Subsea 7, a provider of subsea EPC services, has won a contract from Pharaonic Petroleum Company for work at Egypt’s Atoll gas field.
Dubai-based healthcare provider Thumbay Group has announced the construction of 6 hospitals and 12 clinics in the UAE and beyond. The healthcare facilities, part of Thumbay’s AED1.2bn ($326M) expansion plan, will be located in the UAE, Qatar, Egypt and India, as well as in other countries. The group’s healthcare and retail division vice president Akbar Moideen Thumbay has said that the group expects to build 420 new medical facilities — including hospitals, medical universities, clinics and pharmacies — over the next four years. The number of staff is also expected to increase from the current 4,000 employees to around 15,000 by 2021.
Italian company Saipem has secured EUR1.5bn in contracts and variation orders for engineering and construction (E&C) at offshore projects, including the field development project for the Zohr gas field. Saipem bagged an engineering, procurement, construction and installation (EPCI) contract from Petrobel for the accelerated start-up of the Zohr gas field project off the Egyptian coast in the Mediterranean Sea. The scope of the work includes the installation of a 26-inch gas export trunkline as well as 14-inch and 8-inch service trunklines. The company will also carry out EPCI work for the field development in deep water — up to 1700m — of 6 wells as well as installation of the umbilical system. Petrobel, a joint venture between Eni and Egyptian General Petroleum Corporation, is responsible for the development of the Zohr project on behalf of PetroShorouk — a joint venture between Egyptian Natural Gas Holding Company and Eni.Saipem’s CEO Stefano Cao said: “We are very pleased to have been selected for the important objective of delivering first gas from Zohr before the end of 2017. “We will mobilize a fleet of vessels with last-generation capabilities, and leverage on our proven expertise and consolidated presence in the area, in order to ensure our clients achieve their targets.”Work on the project is expected to commence in July 2016 and be completed by the end of 2017.
A joint venture of Orascom Construction and Arab Contractors has secured a €590M contract to deliver Phase 4B of Cairo Metro Line III in Egypt.Under the contract, awarded by the National Authority for Tunnels, the JV will be responsible for the full scope of the new phase that will stretch 6.1km across a viaduct and five elevated stations.Orascom Construction’s share of the contract is valued at about €295M. Phase 4B follows the group’s previously-announced contract awards for the third line of Cairo Metro.The group is currently executing contracts amounting to about €375M for Phase III and €90M for Phase 4A.
The Government of Egypt and the Kuwait Fund for Arab Economic Development have signed a loan agreement of $98.6M for the construction of five desalination plants in Southern Sinai, Egypt.The project will aim to meet the demand for potable water in some towns in the South of Sinai, as well as in existing residential settlements, and other settlements due to be established, in the Sinai Peninsula.The five plants will process water from the Red Sea and other related works.One of the plants, to be located in the town of El Tor, will have a daily capacity of 20,000cb m, while the other four plants, to be located in Ras Sidr, Abu Zenima, Dahab and Nuwaiba, will each have a capacity of 10,000cb m per day.The development includes the supply of electricity to the plants and the installation of pipelines with a total length of about 42km and diameters ranging between 500–800mm for transmission of the desalinated water to storage tanks, and pipelines with a total length of about 183km and diameters ranging between 200–500mm for transmission of water from the tanks to the nearby settlements.Additionally, it will also involve the construction of eight pumping stations and the necessary networks for distribution of water inside the settlements. The project is expected to be complete by the end of 2019.
The European Bank for Reconstruction and Development (EBRD) has agreed to provide $250M for infrastructure projects in Egypt.EBRD has signed two memorandums of understanding (MoU) with Egypt’s Ministry of International Cooperation (MOIC) aimed at improving services in the transport and water sectors.Under the first MoU, EBRD will support the refurbishment of the Heliopolis tram link between the Ramsis and Almaza areas in Cairo. The entire cost of the project is estimated to be $500M.The second MoU is the bank’s first formal engagement in developing a water irrigation system — part of a programme developed by the Ministry of Water Resources and Irrigation (MWRI) of Egypt for the modernisation of the irrigation system to increase efficiency and quality of services.
Orascom Construction has won two more contracts for the third phase of Cairo Metro Line III, to execute the civil and track work. Stretching across 18km of tunnelling and viaduct works, the third phase will include 15 elevated, grade and underground stations. The contracts, with a combined value of about €270M, will bring the company’s share of the third phase of Cairo Metro Line III to €375M.Orascom will deliver the civil package in a consortium with VINCI, Bouygues and Arab Contractors, and the track works package in a consortium with TSO — the railway subsidiary of NGE Group — and ETF, a subsidiary of Eurovia. Orascom Construction CEO Osama Bishai said: “We are pleased to expand our market share in the transportation sector and particularly the Cairo Metro program.“We remain focused on adding quality contracts to our backlog that will lead to healthy returns for our shareholders.”
A joint venture (JV) of Vinci Construction Grands Projets and Bouygues Construction subsidiary Bouygues Travaux Publics, along with Egyptian partners Orascom Construction and Arabco Contractors, has bagged the €1.1bn Phase 3 contract for Line 3 of the Cairo metro from the National Authority for Tunnels.
An Egyptian-Chinese alliance has broken ground on Egypt’s new administrative capital which is estimated to cost $45bn.
Hyflux has received a letter of intent for a contract from the General Authority for the Suez Canal Economic Zone (SCZone) to build the Ain Sokhna Integrated Water and Power Project in Egypt.
Orascom Construction has secured three industrial and infrastructure projects worth $200m in Algeria and Egypt.