Haifa tunnel diggers add Israeli firm

Sources inform ''Globes'' that Carmel tunnels franchisee Carmelton is bringing in a new contractor for digging a section of the tunnels Y. Lehrer Engineering Ltd. Lehrer Engineering has already obtained a permit to begin work at the Check Post end of the tunnels. Lehrer Engineering is one of Israel's oldest engineering companies, and is experienced in tunnel work.

The Carmelton consortium comprises Housing and Construction Holding Co. Ltd. (Shikun u'Binui) (TASE: HUCN) unit Solel Boneh Building and Infrastructure Ltd. and Ashtrom Properties Ltd. (TASE:ASPR).

A few months ago, the Ministry of Industry, Trade and Labor forbade Carmelton contractor China Civil Engineering Construction Corporation (CCECC) from bringing in 120 more foreign workers. As a result, the consortium decided to hire a second contractor. In the wake of a dispute with CCECC, the consortium decided to advance the entrance of the new contractor's work in the project in order to carry out part of the work originally due to be handled by the Chinese.

The two Carmel tunnels are due to be completed by the end of 2009 and they are scheduled to be opened to traffic by mid-2010. CCECC has completed two-thirds of the tunnels on time.

A Carmelton spokesman said in response that Lehrer Engineering was brought into the project in order to complete it on time.

Published by Globes [online], Israel business news - www.globes-online.com - on September 14, 2008

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