6 November 2005, Dubai, United Arab Emirates : Lootah BC Gas, a joint venture between S.S. Lootah Group and Terasen International, has again been awarded the engineering, procurement and construction (EPC) contract extension to further expand the distribution infrastructure for the supply of natural gas from the high pressure SONGAS pipeline to industrial customers in Dar es Salaam, Tanzania.

The Dar es Salaam Industrial Gas Distribution project started in December 2003 and the current expansion will be completed by February 2006. The current contract expansion consists of over 4km of predominantly 315mm pipe and the installation and commissioning of 4 industrial meter sets for 4 large industrial natural gas customers.

The project expansion raises the total cumulative project value to Dhs. 27 million.

More than 20 km of piping work and related network infrastructure as well as testing and commissioning of the pipeline system has already been completed in the earlier phases and stages. It is anticipated that an additional 9km of 315mm pipeline and a Pressure Reduction Station, worth approximately Dhs.10 million, will be installed during 2006.

'Pan African Energy, a leading energy company in Tanzania, has been supported by Lootah BC Gas on all previous stages and phases of this crucial project and we are looking forward to being involved in further expansions.' said Denis Lefrancois, Project Director, Lootah BC Gas. 'We will continue to be active in Tanzania and other countries in the region thanks to our quality engineering standards and proven performance.' He added

In the past few years, S.S. Lootah Group has developed a strong market position, predominantly in the Middle East and adjacent regions, as a leading provider of natural gas distribution infrastructure and related services. Recently, S.S. Lootah made substantial infrastructure investments to expand its regional and global reach in the energy sector. The Sharjah Natural Gas Distribution Project, the first of its kind in the Gulf region, was completed successfully in 2000, currently the regional business expansion has extended to Asia, Africa and Europe, with projects worth more than Dhs. 1 billion.

S.S. Lootah Group's latest energy initiative was the launch of International Energy Group (IEG), last September during a high profile advanced energy seminar that attracted reputable clean and renewable energy companies from all over the world. It has signaled the group's commitment to bring commercially viable clean and renewable energy applications to life in the region and beyond in partnership with a world class energy alliance operating from Dubai.

'Dubai was selected unanimously as the headquarters of IEG alliance.' said Eng. Yahya Bin Saeed Al Lootah, Vice Chairman, S.S. Lootah Group. 'The IEG alliance will help us enhance our engineering and technology capabilities to meet the rising demand on energy with commercially variable innovative advanced technologies. We focus on achieving the best business and community interests, the Tanzania project is the tip of the iceberg IEG will be carrying out new projects there soon.' He concluded.