Egyptian-based Arab-Swiss Engineering Company (ASEC) has contracted F.L.Smidth & Co. A/S to modernise a cement plant in Cairo that is owned by Helwan Portland Cement Company. The value of the contract exceeds DKK 100m (in excess of EUR 13m).
Having received this order, F.L.Smidth-Fuller Engineering A/S, the parent of F.L.Smidth & Co., is now involved in seven different projects in Egypt, which is currently the FLS Group's largest single market for cement-making machinery and equipment.
The order is included in F.L.Smidth & Co.'s sales budget for the second half of 2000 and will be taken to income in step with the deliveries of machinery, equipment and engineering until the end of 2001.
ASEC has entrusted F.L.Smidth & Co. with the modernisation of the two production lines at the Helwan plant, raising their total capacity to 10,600 tonnes cement clinker per day or nearly 3.3m tonnes per year. Once the upgrading project is completed, mainly privately-owned Helwan Portland Cement Company's two pyroprocessing lines will be Egypt's largest in terms of production capacity.
The project entails modernising four existing raw mills, upgrading two dry-process kilns including a separate calciner and upgrading four existing dedusting filters for the kilns and raw mills. In addition, two new grate coolers served by new FLS miljø electrostatic precipitators are to be supplied. The improvement of the electrostatic precipitators will have a highly beneficial effect on the plant's environmental impact.
The contract with ASEC was recently signed in Cairo. The preceding negotiations took place within a few months, reflecting the strong relationship between the end user, Helwan Portland Cement Company, and F.L.Smidth & Co. which began in 1928 when the latter helped to form the company and build its first production plant 20 km south of the city centre. Helwan also controls the country's hitherto only white cement plant situated 250 km south of the capital.
ASEC, an Egyptian-based e
ngineering company, has been a close partner of F.L.Smidth & Co. since 1997. The contract recently signed is their sixth joint assignment in Egypt.
With a population of 65 million people, Egypt currently consumes 29m tonnes of cement per year or some 400 kg per capita. Demand is rapidly increasing at the rate of 10-12 per cent per annum. Domestic net capacity amounts to 25m tonnes per year, so for the time being the country is having to import 3-4m tonnes per year which leaves scope for continued investment by the industry.
FLS Industries A/S
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