Business / #ForbesBusiness



December 12, 2018,   7:53 PM

Egypt's Elsewedy Electric, Arab Contractors Ink $2.9 Billion Contract In Tanzania

Nermeen Abbas

FULL BIO

el sewedy electric

A joint venture between Egypt-based Elsewedy Electric and Arab Contractors (Osman A. Osman& Co.) announced that it has signed a $2.9 billion contract with the government of Tanzania.

As per the deal, the JV is to build a new dam and hydropower plant on Rufiji River on Engineering, Procurement and Construction (EPC) basis.

The latest contract is Elswedy Electric's single biggest contract ever and will add an additional 6,307 GWh of annual energy generated from hydropower in Tanzania.

The project - financed through direct funding by the government of the United Republic of Tanzania - is located approximately 200 kilometers west-south of Dar es Salaam, and scheduled to start producing energy by April 2022.

The entire project will be executed by the joint venture in which Elsewedy Electric holds 45% and the Arab Contractors holds 55%.

The contract covers the engineering civil works as well as the procurement, installation and commissioning of all hydro-mechanical, electromechanical and electrical equipment.

The project includes the construction of a RCC (roller compacted concrete) gravity dam with 131 meter height, a spillway, a diversion tunnel, a water conveying system with three power tunnels and a bridge on Rufiji River.

Based in Egypt, Elsewedy Electric as EPC contractor– independently and in consortiums- has built and in process of building during the last five years more than 8,800 MW of conventional and renewable energies in Africa and the Middle East.

The company has constructed more than 10,000 kilometers of overhead transmission lines and numerous substations, equipping several countries in the region with high voltage and ultra-high voltage transmission systems.

In 2017, Elsewedy Electric saw its net profit grow by 65% to $360 million due to organic growth in the company’s main two segments, wires & cables and turnkey projects.

Furthermore, the company said that it has signed an agreement with the African Bank for Import and Export to fund its future projects in Africa worth $500 million.

 



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