Egypt’s Suez Canal Insurance (SCI) has won an insurance policy tender to cover the construction works of El Hamra oil pipeline port project in New Alamein City, northwest of Cairo, according to an official source.
The port is located in 15 km (9.3 miles) from New Alamein traffic station and it is far away about 120 km (74.5 miles) from west Alexandria.
The insurance policy is with a total sum insured of 835 million Egyptian pounds ($48.9 million). It comprised of 281 million pounds to cover local machines and equipment as well as 554 million pounds or $31 million for other machines and equipment imported from abroad, the source added.
State-run oil firm Petroject earlier launched a policy tender among public and non-life insurance companies to cover the establishment of 71km oil pipeline between El Hamra port and oil refinery complex in New Alamein.
“Three Egyptian insurance companies; Misr Insurance, GIG-Egypt, and Orient Takaful Insurance were competing to win the policy tender,” the source said.
The policy includes all contractors’ risks during the period of carrying out the project as well as the mechanical, machines, and equipment failure besides the coverage of the civil liability and natural disasters,” the sources added.
Moreover, Oil Minister Tarek el-Molla earlier said there is a petrochemical and refining major complex in New Alamein City that is considered one of the most important projects that is being currently under study.
The investment cost of the new complex is estimated at around $8.5 billion, el-Molla added.
