Contract negotiations for the civil works package on the Naga Hammadi barrage project have started between the grand barrages section of the Irrigation & Water Resources Ministry and a consortium of Vinciof France, Bilfinger & Bergerof Germany and the local Orascom Construction Industries. The consortium submitted the lowest price, at Eur 189.7 million ($168 million), in a retender that closed at the end of September. In second place, only about 1 per cent higher was a team led by Philipp Holzmannof Germany (MEED 12:10:01).
The decision to call the Vinci consortium for negotiations followed detailed evaluation of the revised offers by the client and the project consultant team of Lahmeyer Internationalof Germany, Electrowatt Engineering Servicesof Switzerland and Sogreah of France. The negotiations are expected to be concluded by mid March, project sources say.
Contracts for the other three packages, entailing the supply and installation of hydromechanical systems for the barrage, the construction of a 64-MW hydroelectric dam and the supply of electrical equipment, were awarded to German and Austrian companies at the end of 2001 (MEED 14:12:01, Power & Water).
The project is being financed by loans from Kreditanstalt fuer Wiederaufbau and the European Investment Bank.