Company Announcement to the Danish Financial Supervisory Authority
No. 17-2009, 22 September 2009
FLSmidth has agreed to supply expertise and spare parts to the
company SSBIL in connection with their operation and maintenance
contract for the state-owned Arab Union Contracting Company's (AUCC)
Al Burg cement plant in Libya. The equipment for the cement plant's
two production lines was designed and supplied by FLSmidth.
The activities will over a period of four years amount to
approximately DKK 330m for the FLSmidth group.
The main activities related to production and maintenance at the
cement plant include, recruitment of key staff, training of up to 200
local employees, sourcing and inventory control of spare parts and
lubricants, control and management of clay and limestone quarry
operations and optimisation of the plant's two production lines.
"When cement and minerals producers entrust FLSmidth with the
operation and maintenance of their plants, they gain access to a
global network of expertise whilst minimising their operational and
financial risks. For FLSmidth, operation and maintenance activities
provide an ongoing activity and make us less vulnerable to cyclical
changes in the sales of new cement and mineral plants. This large
task demonstrates the strength of the concept for both parties,"
Group CEO Jørgen Huno Rasmusssen comments.
The activities will contribute beneficially to FLSmidth's earnings
until 2013.
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Please address any questions regarding this announcement to Group
Chief Executive Officer Jørgen Huno Rasmussen, FLSmidth & Co. A/S at
+45 36 18 18 00.
For further information about FLSmidth, please visit
www.flsmidth.com.
Yours faithfully
Pernille Friis Andersen
Corporate Communications & Investor Relations
