Contract on long-term lease of "Lastavica" island in Boka Kotorka Bay to be signed on Monady

Podgorica, Montenegro (20 February 2015) -- Minister of Tourism and Sustainable Development Branimir Gvozdenović and Chairman of Orascom Development Holding AG Samih Sawiris will sign the contract on long-term lease of the “Lastavica” island with the “Mamula” fortress in the Boka Kotorska Bay.

The contract will be signed in the Villa Gorica on Monday, 23 February 2015, at 15.30. Following the signing ceremony, Minister Gvozdenović and Mr Sawiris will give statements to the media.

Tender for the development of the resort was called on 6 December 2013. The goal is to turn the location into a four-star and five-star exclusive resort, with facilities for recreational activities and relaxation well integrated in the environment, which do not compromise cultural and historical character, as well as natural environment of the location.

Swiss-based Orascom Development Holding AG and Vos Investment Group from the Netherlands filed the tender offers for long-term lease of the "Lastavica" island .

Orascom Development Holding AG has offered a 49-year lease period, a lease rate of EUR 1.5 per square metre of land, and EUR 0.9 for the lease of the aquatorium, which is 50 % more than the minimum required amount. The investment project is worth EUR 15 million, creating up to 200 new jobs. The bid also contains a projection for achieving the total direct revenue for the first 10 years in the amount of EUR 7.5 million.

Negotiations with the Orascom Development Holding AG began in May 2014 and were completed at the beginning of the month, which resulted in the signing of contract.

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Journalists not in possession of annual accreditation card should request one from the Government's PR Bureau by sending a letter on official letterhead of the media signed by a person in charge at biro@gov.me or fax: +382 20 482 938.