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AmeraMex International and Marchetti Construction Meeting With ETHPE, the Second Largest Construction Company in Algeria
Group Expects to Break Ground for the First Five-Star Hotel in Late Spring 2010
| Source: AmeraMex International
CHICO, CA--(Marketwire - November 20, 2009) - AmeraMex International, Inc. (PINKSHEETS : AMMX ),
a provider of heavy equipment to infrastructure construction, stevedoring
and commercial construction, today announced that it has reached an
agreement in principle with San Francisco-based Marchetti Construction,
Inc. to form a new Algerian company with ETHPE, the second largest
construction company in Algeria. Sixty percent of the new company (NewCo)
will be owned by ETHPE, 30 percent by Marchetti Construction and 10 percent
by AmeraMex. AmeraMex President and CEO Lee Hamre and Marchetti
Construction President Joseph Marchetti will be meeting with Abdelbaki
Talbi, Vice President of ETHPE Construction, the second week of January, at
which time the agreement is expected to be finalized.
"There are currently two projects approved for funding by the Algerian
Government," said Hamre. "The first project, a five-star hotel with a
convention center to be built in Algiers, is expected to break ground in
the spring of 2010. The approximate value of the project is $60 million.
The second project, another five-star hotel and convention center, will be
built in Boughazoul, Algeria. We expect to break ground on this project
beginning 2011. In addition to our 10 percent ownership in NewCo, AmeraMex
will be providing all heavy equipment for NewCo's projects," added Hamre.
NewCo will have strong relationships and expertise in all phases of
commercial and infrastructure construction, which will allow the company to
bid on a wide variety of complex projects, including new bridges and
highways, sewage treatment facilities, office buildings, and hotels
throughout Algeria and other North African countries.
After 10 years of political instability and economic stagnation in Algeria,
many large-scale development projects are now underway and will begin to
bring the country into the 21st century and give it a new and modern face.
Approximately 10 percent of the population is employed in the construction
and public works sector, which has become a significant motor for economic
growth, accounting for eight percent of GDP. About 70 percent of the $145bn
2005-09 Programme for the Support of Economic Growth is allocated for
housing and infrastructure. Although the construction sector is almost
exclusively led by public investments, it seems likely that this will
change with time. The liberalization of the Algerian market will certainly
help the construction sector, as will the arrival of foreign companies.
About Marchetti Construction
Marchetti Construction is a general contractor active in new construction
and specializes in renovation projects with emphasis on negotiated
fast-track commercial work. Offerings range from feasibility studies,
conceptual estimating and contract management to quality and cost controls.
The company is known for its work with large hotel chains including the
Hilton and Marriott. Well-known projects include the Westin St. Francis
Hotel in San Francisco, the Claremont Hotel in Berkeley, and the remodel in
New York of the world famous Plaza hotel.
About AmeraMex International
AmeraMex International sells, leases, and rents heavy equipment to
companies within four industries: construction (light and infrastructure),
shipping, mining and logging. AmeraMex's largest product line
is specialized container handling equipment that enables stevedoring
companies to quickly and efficiently load and offload container and general
freight ships dockside. AmeraMex, with customers in North America, South
America, Asia, and Eastern Europe, has over 30 years of experience in heavy
equipment sales and service and inventories top-of-the-line equipment from
manufacturers such as Taylor Machine Works Inc. and Terex Heavy Equipment.
For more information visit the AmeraMex website, www.AMMX.net.
Safe Harbor Statement
This press release contains forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended (the "Exchange Act"),
and as such, may involve risks and uncertainties. Forward-looking
statements, which are based on certain assumptions and describe future
plans, strategies, and expectations, are generally identifiable by the use
of words such as "believe," "expect," "intend," "anticipate," "estimate,"
"project," or similar expressions. These forward-looking statements relate
to, among other things, expectations of the business environment in which
the Company operates, projections of future performance, potential future
performance, perceived opportunities in the market, and statements
regarding the Company's mission and vision. The Company's actual results,
performance, and achievements may differ materially from the results,
performance, and achievements expressed or implied in such forward-looking
statements.