Dubai-based contractor Drake & Scull International has announced that it has secured contracts worth $102.3 million to construct projects in India, Tunisia, and Palestine.
The company said that the contracts will be used to build wastewater treatment projects as well as oil and gas pipeline extensions.
Mr. Shafiq Abdelhamid, Chairman of DSI remarked that “we continue to build our footprint, not just in the region but also in key international markets. This will drive the growth of our company in the coming months, as we successfully navigate the impact of the pandemic and focus on creating value for our stakeholders.”
The contractor agreed to construct a wastewater treatment plant in south Méliane, Tunisia, for $48.4 million, and another in India for $9.2 million.
Drake and Scull also said that it had completed work on a $20.6 million wastewater treatment plant and the $23.9 million Tubas or Al Tayaseer treatment station in West Bank Palestine.
The company, which is looking to expand its operations in core markets, stated that it is bidding on projects in Iraq and Kuwait worth $0.47 million.
New projects are a key part of Drake and Scull’s turnaround strategy, which saw the company return to profitability in 2020 following many years of losses. In 2020, the contractor made a net profit of $29.6 million to shareholders, compared to a net loss of $23.6 million the previous year.
However, profit from continuing operations dropped 45 percent to $34.8 million as revenue fell 68 percent to $58.8 million.
Drake and Scull have mentioned that the restructuring process is well advanced. As of the end of last year, the company’s liabilities outweighed its assets by around $1.06 billion, prompting discussions with lenders about a capital reorganization.
