Egypt's Environment Min. seeks compensation from Orascom Development amounting to $33.9M

CAIRO – 3 August 2021: Orascom Development Egypt (ODE) announced Tuesday receiving a letter from the Environment Protection Agency, a department of Egypt's Ministry of Environment, claiming an environmental compensation in the amount of $ 33.9 million in relation to ODE's Egyptian destination El Gouna.

ODE added that the Environment Protection Agency has not substantiated the claim or provided any information on the background and the reasons, and it has failed to respond to ODE's request for further information.

Furthermore, ODE has not been given the opportunity to respond, whether technically or legally, to the alleged allegations before issuing the claim. “ODE is therefore currently unable to provide any further background on the matter,” it noted.

“ODE has always been strongly committed to the environment and compliance with all environmental laws in all of its destinations. This is evidenced by the fact that El Gouna was the first destination in the Africa and Arab region to receive the Global Green Award under the United Nation's Environment Programme,” it added.

Orascom Development Egypt operates within the consumer services sector focusing on hotels, resorts and cruise lines with 52 subsidiaries operating across Northern Africa, Middle East and southern Europe.