SOURCE: Orascom Construction Industries

July 07, 2005 05:20 ET

Orascom Construction Industries announces ACC Line II Begins Production

Cairo -- (MARKET WIRE) -- July 7, 2005 --

Orascom Construction Industries
Nile City Towers - South Tower
2005 A Corniche El Nil
Cairo, Egypt 11221
Phone 20-2-461-111
Fax 20-2-461-9400

ACC Line II Begins Production

ACC launches its second 2.5 million tons per year production line on time

Cairo, Egypt - 6 July 2005: Orascom Construction Industries (stock symbols: OCIC.CA / ORCI EY / OCICq.L / ORSD LI) announced that its wholly owned subsidiary Algerian Cement Company (ACC) has successfully launched its second cement production line in M'sila, Algeria, with a total annual production capacity of 2.5 million tons per year. The construction of the second line was undertaken at a world record pace of 18 months by an F.L.Smidth / OCI consortium. Total investment cost for the second line was US$ 192 million which was financed through a 60:40 debt/equity structure. In December 04, ACC also announced its plans to de-bottleneck its first production line which will increase total annual production capacity of the plant to 5 million tons by year end. De-bottlenecking of the first production line will be executed during the regular maintenance shutdown period.

OCI Chief Executive Officer, Nassef Sawiris commented "The world record construction pace of the second line exemplifies the unique synergies between our two core business groups. ACC is the largest cement producer in Algeria and is well positioned to capitalize on healthy domestic consumption growth with the possibility of some strategic export opportunities down the road to certain African and South European markets."

For Details, Contact:
Hassan H. Badrawi
Investor Relations Manager
Phone: 20-2-461-1039
Fax:     20-2461-9409

                      This information is provided by RNS
            The company news service from the London Stock Exchange