Minaean SP Construction: Provides an update on the status of the projects pipeline
Vancouver, BC, Canada – November 24, 2021 – Minaean SP Construction Corp. (TSX Venture Exchange: MSP; Berlin and Frankfurt Stock Exchanges: NJA) (“MSP” or the “Company”) is pleased to provide an update on the Company’s current and future project portfolio. The Company is working to close two of its projects (please refer to the new press release dated March 25, 2021) by the end of the current calendar year, but the various issues engulfing global markets, including the rise costs due to supply chain problems, caused delays.
2021 has been an encouraging year, with the MSP continuing its efforts to resubmit and negotiate construction project closure offers worth US $ 126 million while continuing to negotiate new projects as many developing countries development efforts to restructure their financing needs after the pandemic. MSP’s partner, Shapoorji Pallonji Group (SPG), and the largest shareholder of Minaean SP Construction Corp., is a powerhouse in the construction industry across the world with annualized revenue of over $ 7 billion. US dollars. SPG has been a strong supporter of the Company in the development and negotiation of a number of projects.
MSP’s pursuit of several large-scale projects in line with the mandate given by SPG shows positive results so far, potentially leading to a good year in 2022. Projects vary in size and location, and are critical for countries in the world. which they are going to be executed. There are 11 projects under development in 9 countries which are to come.
Short-term projects include contracts in Uganda and Côte d’Ivoire. In Uganda, for the construction of an industrial park in the region called Kessesse, the draft contract is being finalized. In Côte d’Ivoire, a project study for the construction of a student campus to accommodate 5,000 students has been completed and the price offer is reworked according to current circumstances and resubmitted. SPG invested US $ 2.5 million for the realization of the project study. This is the first phase of the university project.
In Kenya, the financing structure of the 400-bed hospital project is under discussion. It is likely that this project will be broken down into phases to meet financial constraints. In Zambia, a 250 bed trauma / tertiary hospital has been proposed for construction at the request of the Zambian government which has confirmed that it will issue a financial guarantee for the repayment of funding for this project. The country is awaiting credit authorization from the International Monetary Fund (IMF) to finance itself. MSP is in talks with various export credit agencies to guarantee the sovereign risk for the financing of this project. The expression of interest issued for the hospital project in Madagascar obtained the government’s response with a land indication. Although there have been delays due to the reasons mentioned above, active discussions are expected to resume in 2022. Progress in The Gambia has been slow as the Ministry of Finance strives to improve its credit limits with support IMF – Project details for the hospital project are pending. An expression of interest has been submitted for the construction of a student campus in Ghana, a project valued at around $ 120 million, details of which are pending.
The Company thanks its shareholders for their continued support and looks forward to keeping them informed of the progress and advancement of all of these important opportunities.
About the company
Minaean SP Construction Corp. is a company well known for its pioneering efforts in manufacturing thin gauge steel components for the construction industry and modular metal buildings in India. By partnering with the well-known 156-year-old Indian construction conglomerate “Shapoorji Pallonji Group” (SP) in 2016 as an affiliate, the company changed its business model to take advantage of the expertise and experience. from its $ 7 billion partner in construction and infrastructure projects. at the World level. The Company, through its established business relationships with the commercial offices of the Government of Canada, has negotiated contracts in Africa and Latin America and is focusing more on the construction of hospitals in these countries.
SP is known for its expertise in hospital construction, having built its first hospital project in Mumbai, India in 1923. Since then, SP has established its credibility in this field by completing the construction of 45 hospitals, the the latter being the well-known 600-bed “Al Sabah” Hospital in Kuwait. The Company is establishing its ability to execute these contracts in partnership with SP and is confident to be a leader in this industry by the end of this decade.
The shares of Minaean SP Construction Corp. (parent company) are listed on the TSX Venture Exchange under the symbol “MSP” and on the Berlin and Frankfurt stock exchanges under the symbol “NJA”. For more information, please visit www.minaean.com.
On behalf of the board of directors
MINAEAN SP CONSTRUCTION CORP.
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