Egyptian Electricity Holding eyes $525 million banking finances

State-run Egyptian Electricity Holding Company (EEHC) is requesting banks to secure a US$525-million financing.

The financing is designated to resume works on two power plants; the first is in Assiut, located some 320 kilometres (200 miles) south of Cairo, while the second is in Damietta, situated in about 200 kilometres (120 miles) north of Cairo.

The EEHC targets a loan from a banking consortium that would pay off dues of the contractors working on the two plants; Orascom Construction (OC) and General Electric, a senior banking source told Amwal Al Ghad Tuesday.

The sources further said the company had recently received a banking financing worth US$521 million, dedicated for carrying out some construction works.

Orascom Construction is among a consortium working on build Assiut combined cycle power plant aims to deliver 375 megawatts to the national electricity network and to operate three units out of eight as the first phase, the source added. Assiut plant is with a capacity ranging between 1,000 and 1,500 megawatts.

Orascom Construction has already completed the first phase of West Damietta power plant with a capacity of 250 megawatts, the source said.