中交第一公路工程局有限公司

CHINA FIRST HIGHWAY ENGINEERING CO. LTD

Ref. No.: CFHEC/ET/AL/STADIA/2021/H221
Date: August 6, 2021
To: STADIA Engineering Works Consultant PLC
In JV with G&Y Engineering Consultant PLC
Attn: Resident Engineer

Ref: Construction of package 37- Lot`-1: R.R Junction Improvement Project, Contract
II: Lebu and Saris Intersection Projects

Subject: Financial effect on the Suspension of the project

Dear Sirs,
It is clear that, the project was suspended for significant period of time without executing any
construction at both intersections. The suspension is attributable to reasons beyond the
Contractor’s control which are:
-Lebu Intersection
▪ client’s intent to revise the bridge design, delay in provision of original design documents and
delays in the approval of traffic management plan.
-Saris Abo Intersection
▪ ROW problem due to un-relocated waterline, frequent design revisions, delay in
provision of original design documents and delays in the approval of traffic management
plan
In effect, time extension request has been submitted so as to arrive on reliable and
practicable work program as considerable time has elapsed without execution of permanent
works as a result of suspension. It was only possible to commence some part of the works very
lately at Lebu intersection.
Apart from the construction time delay, the Contractor couldn’t process procurement of the
required material such as steel formwork, pre-stressing anchorage, tendons and the like for the
execution of bridge construction (pre-cast girder). In general, additional cost will be incurred
on specified and unspecified materials due to price increment and due to continuous effect of
devaluation of Birr. There will also be overhead prolongation incurring on the Contractor.
It is quite evident that, the Contractor has committed himself and was endeavoring towards
timely commencement of the bridge construction which couldn’t be possible due to suspension
of the project arising from the reasons stated above.
Therefore, we deem this letter to be notice for financial claim pursuant to Sub-clauses 12.2 and
40.2 of the General Condition of Contract.
Please be informed detail cost implication shall be submitted in due course.
Thanking you in advance for your cooperation, we remain.

Sincerely Yours,

Sub-City, Kebele 02, House No. 793, Addis Ababa, P. O. Box 12801 Tel: 00251-11-6610 996, 6610 998
Fax: 00251-11-6615 971
 中交第一公路工程局有限公司
CHINA FIRST HIGHWAY ENGINEERING CO. LTD
Xiao ZhiQiang
Authorized Representative
China First Highway Engineering Company Ltd, (CFHEC)
Addis Ababa Office, Ethiopia

CC:
 Addis Ababa City Roads Authority;
Road Construction Contract Administration Directorate

Sub-City, Kebele 02, House No. 793, Addis Ababa, P. O. Box 12801 Tel: 00251-11-6610 996, 6610 998
Fax: 00251-11-6615 971