15JULY1988 MEED 25 Ramazarnanpour Ramazanianpour held talks Denktash. says he is ready for financial aspects of its offer. The group — with the ccfnmerce, heavy and light industry unconditional talks with Greek Cypnot Impreqilo, Cogefar and Gruppo m ministers arid visited the Iranian pavilion at the President George Vassiliou about the Industrie Elettromeccaniche per 24th Algiers international fair. future of the divided island. Impiantl all'Estero (GIE)—plans to start • The Mauntanian towns ot Ak|ou|t and Zouerat In March. Denktash insisted any talks work on the diversionary canal for the dam have received equipment including trucks, must be based on a proposal put forward m September (MEED 24:6:88). trailers, water tanks and tractors from their by UNSecretary-General Javier Perez de Bids for construction of the dam, which Algerian twin towns of Staoueli and Ouenza. Cuellar. The proposal has been reacted will replace the old Esna barrage, were by Greek Cypnots. submitted by 12 international groups in Denktash issued his statement on 6 July December 1986. The field was eventually after a three-day visit to Ankara, where he narrowed to three bidders — the Italian BAHRAIN met Turkey's President Evren and Prime group, Yugoslavia's Energoprojekt, and a Minister TurgutOzal. Canadian consortium of The SWC Group • Bahrain National Gas Company (Banagaa) Vassiliou has refused previous offers to and Canadian International produced 3.2 million barrels a day (b/d) ot Construction Corporation. liquefied petroleum gas (LPG) in 1987. This was meet Denktash on the grounds that the highest daily average since 1979 — its first unacceptable preconditions have been The Italian group brought in Switzerland's year of operations — and 5 percent up on the attached to any meeting. Sulzer-Escher Wyss to design the six 1986 average of 3.06 million b/d. Sales 14.6-MW turbines for the dam's increased by 19 per cent to $37 6 millionand hydroelectric plant after the Egyptian operating profitwas steady at |ust above $5 ElectricityAuthorityexpressed million. The increases are attributed to higher reservations about the original designs. production and greaterefficiency. Banagas EGYPT The consortium also agreed to comply with plans to expand daily processing capacity at its the requirement that prices in tenders plant to 7 million cubic metres from4.8 million COVER STORY see page 2 should bequoted either in dollars or in the cubic metres (MEED 9:4:88). currency of the equipment's country of Italy takes EsriIsna~^> origin. The bulk of the foreign currency dam contract component in the original bid was in An Italian consortium has finally been Deutschmarks, but is now in dollars. CYPRUS awarded a letter of intent for an estimated Financing includes mixed credits and a $170 million contract to build a dam across IL 25,000 million ($18 million) grant for Denktash offers to meet the Nile at Esna, m Upper Egypt. The technical services. A formal contract Vassiliou award follows months of negotiations, in award is expected soon, subject to the The leader of the self-proclaimed Turkish the course of which the Italian group approval of the government's higher policy Republic of Northern Cyprus, Rauf agreed to make changes to technical and committee. THE SPECIAL-PURPOSE CARRIER OF PIPE JOINTS PV-203 THE ' made of the powerful cross-country " the Tractor is complete with a device for KrAZ-260 Tractor and a pole trailer carrying its own pole trailer 0FF-THE-R0A0 specifically devised for hauling pipes for gas OR ANYROAD and oil pipelines, 12m long, 530 to 1420mm The pipe joint carriers significantly speed up in diameter - in double or triple loints up to pipeline construction TRAM 36m long, along the path of a pipeline being constructed 26 MEED 15JULY 1988 Civil works valued at $80 million are to be Benha Electronics Company at itsfactory same day to amend the bank's articles in done by Imp/egilo and Cogefar. The $90 50 kilometres north of Cairo. The order is the light of the capital increase and the millionpower plant is to be built by GIE, part ofa pilot project to prepare the way for introduction of new shareholders. with Ansaldo, Franco Tosi Ingegneria introducing computer learning throughout The new capital will be £E 45 million and Riva Calzoni—all of Italy—and the school system. ($19.5 million), up from£E 15 million ($6.5 Romania's Romenergo. The contracts — valued at about $ 1 million). The main change inthe equity The earth and rockfill dam will be 20 million intotal — call forthe supply of structure will be the introductionofBanque metres high and 800 metres wide. Itwill components for 1,000 Leanord computers du Caire, whichwill take a 17 per cent impound 7,000 million cubic metres of and 650 BBC micro computers from Acorn. stake. Two other state-owned concerns — water, to be used to irrigate 125,000 The computers will be programmed in Misr Insurance Company and the hectares of farmland. Construction is set to Arabic. The French and British DevelopmentIndustrial Bank—will each be complete infive years. Theexisting k governments will provide training through have 17 per cent. Bank of America will barrage has been eroded because of the their educational and cultural missions in retain its40 per cent stake. The remaining reduction of silt carried downstream Cairo. 9 per cent will be shared equally between following the construction of the Aswan Kuwait Real Estate Bank and High Dam. The new Esna dam will improve Saleh Kamel unveils Luxembourg-based RedSea Enterprises. water management and navigation. This is investment drive Red Sea — part-owned by the Saudi of particular importance because of the fall political and business figure Kamal Adham Jeddah-based business magnate Saleh •Jalhe level ofjhe Nile. — has taken over the shares of First Kamel is pressing ahead with plans to set Arabian Corporation. Paris Club deals all signed— up three giant holding companies, with a Inearly 1987, the Central Bankof Egypt exceptwith Japan combined capital of £E 600 million ($230 turned down a bid by Al-Rayan Islamic million), to channel investment into Aflurry of bilateral rescheduling investment company to participate in industry, agriculture and tourism. raising MAIB'scapital (MEED6:6:87). agreements signed in late June and early National Bank of Egypt is acting as July means that Japan is now the only one agent for the foundation of the companies, of the 17 Club of Paris creditors yet to 40 per cent of whose capital will be publicly Profits steady at Barclays finalise itsdebt deferment package. A subscribed. Work has already started on dispute about the interest rate to apply to issuing the founders' capital Each founder BanqueduCaire BarclaysInternational: the rescheduling held up agreement with will have to take at least 500 £E 50,000 results, 198647 six creditors for several months. But ($21,700) shares. (£E million) agreements were finally reached as the 1987 1986 18-month period covered by the Paris Club The companies are: Assets/liabilities 475.2 329.3 deal ended on 30 June (see page 2). D Al-Multaqa Arab Company for Loansand advances 290.3 239.7 The latest agreements — to reschedule Industrial Investment, being set up with Deposits 322.4 195.5 about $1,000 million intotal — were signed £E 300 million ($130 million) capital by Capital 10.0 10.0 Pre-tax profit 0.53 0.57 with Australia, Switzerland, the UK, Jeddah-based Al-Baraka Company for Investment &Development. The venture Canada, Sweden and Norway. Bilateral Exchange rate:$1 =£E 1.87(1987); $1 = terms were earlier agreed with 10 other has identified 26 projects to pursue in £E 1.36(1986) OECDcreditors—including France, the engineering, electronics, chemicals, US, West Germany, Spain, Austria and textiles and food industries. Source: Banquedu Caire Barclays Italy—to reschedule more than $5,000 D Al-Multaqa Arab Company for International, Cairo million in total. Agricultural Investment, being set up with The Japanese package is put at about £E 200 million ($87 million) capital by $300 million. Untilterms are agreed with Cairo-based Dalian International Profits fell slightly at Barclays Bank's Tokyo, the Paris Club will not be able to Holding Company. Itwill invest in land Cairo-based jointventure in 1987, discuss the 18-month extension the reclamation, livestock and fishfarming. reflecting the general downturn in government has requested. A meeting with business and the constraints on lending a Japanese team is expected inearly D Al-Multaqa ArabCompany for Real imposed by the banking authorities. August. Estate & Touristic Investment. This will be Loans and advances rose by 21 per cent Diplomats say both sides compromised capitalised at £E 100 million ($43.5 compared with the previous year, but to secure the six new bilateral agreements. million). Itis being set up by the Jeddah- much of this increase was attributable to However, most creditors insisted that the based Dalian Group. the local currency's devaluation interest rate should be no lower than V2 per Al-Baraka and Dallah — both parts of Exchangeratefactorsalso playeda large cent above the prime rate applicable. Kamel's business empire—already have part inthe 65 per cent rise in deposits, as Some other forms of concessions were a strong presence in Egypt. Al-Baraka the bulk ofthese are held inforeign made by the creditors, such as agreeing recently received Central Bank of Egypt currency. not to charge compound interest in the approval for its bid to take a substantial Thebank's shareholders are Banque du case of arrears being run up. stake in the troubled Pyramids Bank. Caire (51 per cent) and Barclays Bank (49 Dallahis involved inseveral agricultural percent). schemes (MEED5:12:87). France, UK to supply computer IN BRIEF kits for schools • Prime MinisterAtefSedki led a high-ranking The Education Ministry has selected MAIB increases capital team, including nine ministers, on an early-July standard French and UK systems fora Bank ofAmerica's Cairo-based joint visit to Iraq to discuss strengthening economic scheme aimingeventually to equip 10,000 co-operation Itwas agreed to increase trade to venture has decided in principle to treble $400 milliona year The team also discussed a schools with computers.