Dubai-listed Orascom signs $3bln deal for 1,000km Egypt rail system

The MoU covers the design, commission and installation of the railway for Egypt's National Authority for Tunnels

  
Construction machine works at the site of the future Light Rail Train (LTR) project "Al-Salam - New Administrative Capital (NAC)" to link with 10th of Ramadan and the El-Salam district in east Cairo, Egypt July 9, 2019. Image used for illustrative purpose.

Construction machine works at the site of the future Light Rail Train (LTR) project "Al-Salam - New Administrative Capital (NAC)" to link with 10th of Ramadan and the El-Salam district in east Cairo, Egypt July 9, 2019. Image used for illustrative purpose.

REUTERS/Shokry Hussien

Orascom Construction has signed a memorandum of understanding (MoU) for a 1,000-km high speed rail system for Egypt.

The MoU was signed together with Siemens Mobility and Arab Contractors with Egypt’s National Authority for Tunnels (NAT) for a 1000km rail system.

The initial 460-km line, designated for freight as well as passenger transport between Ain Sokhna, Gulf of Suez, and Al Alamein on the Mediterranean coast, holds an order value of $3 billion, the company said.

Orascom Construction, listed on NASDAQ Dubai and the Egyptian Exchange, has monorail, light railway and metro projects in its existing portfolio, the company said in a statement to NASDAQ Dubai.

Osama Bishai, CEO of Orascom Construction, said: “We continue to build on our track record as a major player in the transportation sector.

“Following our joint success with Siemens on Egypt’s mega power projects, we are pleased to partner once again with our long-term repeat partner.

“This project will connect distant parts of Egypt in a sustainable manner while contributing to the infrastructure and economic development of the country.”

(Writing by Imogen Lillywhite; editing by Daniel Luiz)

imogen.lillywhite@refinitiv.com

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