Two important contracts awarded for the
expansion of the Suez Canal (Egypt)

      

On 18 October 2014, two important contracts have been awarded by the Suez Canal Authority (SCA) to two different consortia for the expansion of the Suez Canal in Egypt.

The first contract has been awarded to a consortium consisting of Royal Boskalis Westminster NV (Boskalis), Van Oord, NMDC (Abu Dhabi) and Jan de Nul (Belgium).
The total contract value amounts to USD 1.5 billion, with each partner entitled to an equal share of USD 375 million.

The 'new' Suez Canal will partially run in parallel to the current waterway and partially entail widening and deepening of existing parts thereof.
The contract includes the construction of the parallel section of the canal with a length of approximately 50 kilometers to allow ships to simultaneously transit in two directions as well as the widening and deepening of a number of existing sections to a depth of 24 meters.
The majority of the dredging activities for the canal expansion will be executed with 17 cutter suction dredgers.
The project will commence in 2014 and is expected to be completed in 2015.

The second contract has been signed by prime minister of Egypt, Ibrahim Mahlab and the chairman of the Suez Canal Authority, Mohab Mohamed Hussein Mameesh, in Cairo with the Consortium Dredging International - Great Lakes Dredge & Dock Company for lot number 6 of the deepening and widening of the Suez Canal.

The consortium Dredging International NV (75%) - Great Lakes Dredge & Dock Company, LLC (25%) has been awarded the assignment to deepen and widen the western branch of the Suez Canal at Great Bitter Lake, Deversoir Reach and Kabreet Reach (lot number 6), for the account of the SCA (Suez Canal Authority).
Dredging International is leader of the consortium.
The scope of works, awarded to the joint venture, include the widening and deepening of the Suez Canal over a length of 25 km and until a depth of -24m.
The consortium has committed to execute the works within a very short time frame in accordance with the requirements of Egypt's president, Abdul Fatah al-Sisi.
Six cutter suction dredgers (4 DI CSD's and 2 GLDD CSD's) and two hopper dredgers (DI) including some auxiliary equipment will be mobilized to perform the job.
Works will start immediately.
The contract amounts to 540 million USD (421.3 million EUR).

Source: Royal Boskalis Westminster, Van Oord and DEME Group, 18 October 2014