Airport City, Israel /PRNewswire/ - Shikun & Binui Ltd. (TASE: SKBN.TA) today announced that it has secured a new contract to build an airport in Uganda. The project will be located in a rural area of the oil-drilling region near Hoima and Lake Albert in northwestern Uganda. According to the contract, SBI, Shikun & Binui's international construction arm, will construct the airport to support the development of the region's oil industry.
The construction phase of the project is expected to last for three years, with the total paid to SBI over the course of the work estimated at approximately USD 309 million. The project will be financed by the British government (UKEF) and by a commercial bank.
The components of the project include the paving of 3.5 kilometers of runways, the carrying out of earthwork and drainage activities, the pouring of asphalt and cement, the building of electro-mechanical, communications and navigation systems, and the erection of a cargo terminal, an air traffic control tower and additional residential and service structures. To the best of the Company's knowledge, the Ugandan government intends in the future to use the facility as the country's second international airport.
Commenting on the news, Moshe Lahmani, Shikun & Binui's Chairman, said, "The selection of Shikun & Binui to carry out this project confirms, once again, the superb reputation that SBI enjoys in Africa – a reputation based on its proven operational capabilities, its deep understanding of the local work environment, and its commitment to comply with the most stringent international standards. For the past several years, we have been pursuing the twin goals of expanding our activities in the countries in which we currently do business, while also penetrating into high-potential new markets. Every project like this that we secure is a 'fact on the ground' that demonstrates the success of our efforts."
Yuval Dagim, CEO of Shikun & Binui, added, "Uganda's selection of SBI demonstrates once again the high level of trust that we have earned from our clients in Africa - their confidence in our ability to build complete complex engineering infrastructure projects with a high degree of success and efficiency. This project adds to the long list of projects that we have carried out in the past - and that we will continue to carry out in the future - to improve the infrastructure of developing countries."
About the Shikun & Binui Group
The Shikun & Binui Group is a global construction and infrastructure company that operates in Israel and internationally in seven segments: 1) infrastructure and construction contracting outside of Israel; 2) infrastructure and construction contracting within Israel; 3) real estate development within Israel; 4) real estate development outside of Israel; 5) renewable energy;and 6) concessions. The Group's activities focus on large, highly complex projects carried out for entities in private and public sectors with a focus on sustainability.
This summary announcement was prepared solely for the convenience of the reader and does not replace Shikun & Binui Ltd.'s (hereafter – "the Company") full report. The information contained in this announcement is, by its nature, incomplete. All of its contents are provided as a supplement to the Company's report, and are subject to the declarations therein stated. This announcement includes forecasts, assessments, estimates and other information relating to the Company or its subsidiaries, or to other parties or to future events and matters, the extent of whose realization is not certain and is not under the sole control of the Company (forward-looking information, as defined in the Securities Law-1968). The key facts and data serving as the basis for this information are facts and data, among others, related to the current status of the Company and its businesses, facts and data relating to the current status of the operating segments in which the Company engages in its areas of operation, and other macroeconomic facts and data known to the Company on the preparation date of this presentation.
It is understood that forward-looking information does not constitute a fact and is based solely on subjective assessments. Forward-looking information is uncertain and for the most part, is not under the Company's control. The realization or non-realization of the forward-looking information will be influenced, among others, by the risk factors that characterize the Company's operations, as well as developments in the general environment and external factors that impact the Company's operations. The Company's future results and achievements could differ significantly from those presented in this presentation. The Company is not obligated to update or modify the said forecast or assessment, and is not obligated to update this announcement. This announcement does not constitute an offer to purchase the Company's securities or an invitation to receive such offers. An investment in securities in general, and in the Company in particular, carries risk. One must take