Orasqualia awarded $472m Egyptian water PPP(5)

The Egyptian-Spanish joint venture has been awarded the PPP contract to develop a wastewater treatment facility in Cairo. The 20-year project has an estimated overall contract value of around $472m.

A joint venture between Egyptian engineering group Orascom Construction Industries and Spanish water management specialist Aqualia has been awarded the PPP contract to develop a wastewater treatment facility in Cairo, according to the companies involved.

The OCI-Aqualia 50/50 partnership, entitled Orasqualia, had last month been provisionally been selected as the best financial bidder for the New Cairo wastewater project, which is the first water PPP to be awarded in Egypt. The scheme will entail the engineering, procurement, construction, operation and maintenance of the new plant over a 20-year concession period.

The project, which is being procured by the Egyptian Ministry of Housing, Utilities & Urban Developments in conjunction with the Egyptian Ministry of Finance, has an estimated overall contract value over the concession period of EGP2.6 billion (€330 million; $472 million).

Upon completion the plant is set to have a capacity of 250,000 m3 per day.

Construction of the plant is now expected to commence during the fourth quarter of this year, and should finish in 2011. Orasqualia will then operate and maintain the plant for the remaining 18 years of the contract.