Riyadh – Mubasher: Red Sea Housing Services said that it has been a delay in executing construction workers community in Qatar due to certain financial challenges.
Red Sea is working in the project as per a signed contract with Daruna for Real Estate Company at a value of QAR 144.07 million, according to a bourse filing.
The company noted that the reason behind the delay is that Daruna facing in regards to securing the required financing to execute this project specifically, adding that completion percentage is approximately 1%.
The project is expected to resume execution in 2017 once the required financing has been secured by Daruna, the statement added.
The Saudi-listed firm noted that total costs incurred to date for this project amounts to SAR 830,000, which were paid for preliminary works, and were recorded in FY2016.
Red Sea added that it has finalised all the necessary plans and drawings for the project, in addition to finalising the necessary logistics to start the execution process upon receiving the scheduled payments.
