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FLSmidth receives second O&M contract from Egyptian cement customer


Company Announcement to the Danish Financial Supervisory Authority No. 32-2010, 11 November 2010

FLSmidth has been awarded a contract from Arabian Cement Company (ACC) for operation and maintenance of the second line at their cement plant near the city of Suez in Egypt. The second line is designed and supplied by FLSmidth (see Company Announcement no. 28-2008).


The parties have agreed not to disclose the value of the contract which covers five years of operation and maintenance of a clinker production line with a capacity of 6,000 tonnes per day. 


FLSmidth is already operating and maintaining the first line at the plant which was built by FLSmidth (see Company Announcement no. 22-2007). Included in the new order is an extension of the operation and maintenance of the first line so that both contracts will run concurrently for five years after start-up of the second line.    


The scope of services includes recruitment and training of local employees who will be in charge of operating and maintaining the plant, as well as spare parts and technical support.  The objective of the contract is to ensure a high level of production while maintaining the asset value of the plant through a first class operation and maintenance of the plant.   


"This order from Arabian Cement Company underlines the strength of our position on the Egyptian market and in particular our good relations with ACC. The North African cement market continues to hold local business opportunities and in 2010 alone we have received three large orders in the region prior to the current contract," Group CEO Jørgen Huno Rasmussen comments.


The contract will contribute beneficially to FLSmidth's earnings until the contract expires in early 2016.




Please address any questions regarding this announcement to Group Executive Vice President Bjarne Moltke Hansen, FLSmidth & Co. A/S at +45 36 18 18 77.


For further information about FLSmidth, please visit



Yours faithfully

Pernille Friis Andersen
Corporate Communications & Investor Relations