Cairo, Egypt / July 16, 2008, 10:00 AM OCI / Sorouh / Hydra / Capital Investment Establish New Construction Joint Venture in Abu Dhabi, UAE Orascom Construction Industries (OCI) announced today the establishment of a new construction joint venture, "Emirates Foundation" in Abu Dhabi, UAE. This new partnership will see OCI join together with Hydra Commercial Investments, Sorouh Real Estate (SOROUH.ADSM) and Capital Investment, an Abu Dhabi-based firm. Sorouh Real Estate is a leading Abu Dhabi-based real estate company with residential projects which exhibit innovative designs and state-of-the-art technology. The company is listed on the Abu Dhabi Securities Exchange (ADX) in the UAE. (www.sorouh.com) Royal Group is one of the leading conglomerates in the UAE and is comprised of 60 medium to large enterprises specializing in various industries such as property development and construction, real estate, infrastructure and utilities, manufacturing, technology and media. Royal Group's real estate developments include the USUSD 35 billion Reem Island Project in Abu Dhabi. (For additional information on Royal Group, please visit www.royalgroupuae.com) Emirates Foundation will specialize in geotechnical engineering and foundation works including piling, grouting and D-walls. The company will also perform substructure works up to ground level. Emirates Foundation is projected to have a capital expenditure of USUSD 80 million to be financed by a combination of debt and equity. The Company will be registered in Abu Dhabi as a "Class A" specialized contractor. OCI will own a 50% stake Sorouh Real Estate, Hydra Commercial Investments and Capital Investment are expected to support the newly established company through various foundation works on several of their large projects in the region. This will be done based on prevailing market pricing for similar work. OCI Chief Executive Officer, Nassef Sawiris commented, "we are pleased to partner with Hydra Commercial Investments, Capital Investment and Sorouh Real Estate, all of whom are world class real estate developers with a strong pipeline of projects. We believe this partnership will be a platform for further collaboration in the future on a number of new initiatives." Mr. Sawiris added, "there is a noticeable shortage in construction services for piling and foundation work in the region which is hindering the progress of many large-scale projects. The establishment of Emirates Foundation in Abu Dhabi will provide a new turnkey approach in this construction niche. It will also enable the OCI Construction Group to achieve further vertical integration for its construction services in the region." Sorouh Chief Executive Officer, Mounir D. Haidar added, "through world class partnership with OCI, Hydra and Capital Investment; Sorouh and our partners are putting our resources together to deliver our projects on time and to take the opportunity of this much needed construction specialty service to diversify revenue stream for our shareholders." For additional information contact: OCI Investor Relations Department: For additional information on OCI: Orascom Construction Industries (OCI) Omar Darwazah Nile City Towers - South Tower Email: omar.darwazah@orascomci.com 2005A Corniche El Nil Cairo, Egypt Ahmed Sultan Email: ahmed.sultan@orascomci.com www.orascomci.com Tel: +202 2461 1039/1036/0727/0914 Fax: +202 2461 9409 OCI stock symbols: OCIC.CA / ORCI EY / OCICqL / ORSD This information is provided by RNS The company news service from the London Stock Exchange END
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