Zamil Industrial Subsidiary Awarded SAR 120 Million Contract with AETCON for SEC Overhead Transmission Line Expansion

Tuesday, 20th May 2014

Zamil Towers & Galvanizing Company Ltd., a subsidiary of Zamil Industrial Investment Co. (Zamil Industrial), has been awarded a contract worth SAR 120 million (USD 32 million) by the Arabian Electrical Transmission Line Construction Co. (AETCON) to supply lattice transmission line towers and gantries for the 380kV Overhead Transmission Lines projects between Tabarjal Bulk Supply Point (BSP) and Waad Al Shamaal BSP, as well as between Qurayyat BSP and Waad Al-Shamaal BSP, owned by the Saudi Electricity Company (SEC), as part of the SEC's expansion projects in the northern part of Saudi Arabia.

The contract was signed on Tuesday, 20 May 2014, in Dammam, Saudi Arabia, and it is expected to have a positive impact on the company's consolidated financials upon completion of each stage during 2014 and 2015. The duration of the contract is 16 months, with the company set to begin supply of the towers and gantries in the third quarter of 2014, and to continue until the project is completed towards the end of the third quarter of 2015.

These 380 kv transmission lines will connect the entire northeastern operating area and will provide power to the King Abdullah Project for Waad Al Shamal City development.

"Zamil Towers & Galvanizing is proud to be selected for these important projects, which will expand the electrical power infrastructure of the Kingdom and create all sorts of new opportunities for development," said Osama Bunyan, COO of Zamil Industrial. 'We look forward to working with AETCON and SEC and to bringing our expertise to the endeavor in the form of top-quality steel products and solutions."

Zamil Towers & Galvanizing Company has been providing design, manufacturing and hot dip galvanizing of lattice steel structures for power transmission lines and telecom companies, gantries and support structures for substations since 1985. The company also provides type testing of power transmission line towers at independent test stations, in compliance with international standards, as well as telecom and IBS passive and active solutions.

During its 29 years of operation, Zamil Towers & Galvanizing has supplied approximately 1,000,000 MT of lattice steel structures, of which a considerable portion was exported to 35 different countries around the globe.