Orascom Construction announced on Sunday that it has signed, together with Siemens Mobility and Arab Contractors, a Memorandum of Understanding with Egypt's National Authority for Tunnels (NAT) to design, install and commission Egypt's first high-speed rail system.

The first high-speed line will stretch across 460 kilometres (km) and has an order value of around $3 billion, the company said in a press statement. The line, which will also be operable for freight transport, will connect Ain Sokhna to Al Alamein while passing through the New Administrative Capital.

The MoU encompasses a rail system with a network of 1,000 km, the statement noted.

Osama Bishai, CEO of Orascom Construction, said: "Following our joint success with Siemens on Egypt's mega power projects, we are pleased to partner once again with our long-term repeat partner. This project will connect distant parts of Egypt in a sustainable manner while contributing to the infrastructure and economic development of the country."

In November 2020, Orascom Construction had announced that its consortium with Mitsubishi Corporation had signed an $800 million turnkey contract with the National Authority for Tunnels (NAT) to execute the CP411 package of Cairo Metro Line 4.

(Writing by Syed Ameen Kader; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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