Orascom-built power plant in Giza attacked by vandals, says firm

Bassem Abo Alabass, Monday 9 Jan 2012

Egypt's largest listed company tells stock exchange that local residents caused up to LE10 million worth of damages on its construction site


A power plant being built by Orascom Construction Industries (OCI) in northern Giza was stormed by nearby residents who set fire to equipment and caused damages of around LE10 million (US$1.7m), the company said on Monday

OCI, Egypt's largest listed company, sent a statement to the stock exchange which gave details about the incident but downplayed its importance.
"The site saw little damage and there is no impact on the project," Hassan Badrawy, a spokesman for OCI, told Ahram Online. Neither he nor the statement to the Bourse offered any explanation for the event.
OCI was awarded the $181 million contract for the combined-cycle power plant last August, with constructon due to take 32 months to complete.  
Badrawy told Ahram One that the Cairo Electricity Company, the client on the project, has been notified of the damages and will probably co-ordinate with its insurance company to cover any losses.
"We did not ask the electricity company for compensation," added Badrawy.
OCI reported third-quarter 2011 consolidated net income rose of $182.9 million, in line with expectations, up from $147.5 million a year earlier.
Orascom stock gained 1.35 per cent during Monday trade on the Egyptian exchange as foreign investors returned to the market after a two-week holiday.
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