China Railway Says Six Dubai Projects Are Progressing Normally

China Railway Construction Corp. (1186) said the projects it has in Dubai are not connected to the state holding company of the Middle Eastern emirate that is struggling with $59 billion in debt, and are operating normally.

China Railway has six projects valued at more than $91 million in Dubai, accounting for 0.27 percent of the company’s revenue in 2008, according to a statement to the Shanghai Stock Exchange today.

Dubai’s government said Nov. 25 that Dubai World would seek a standstill agreement with creditors and an extension of loan maturities until at least May 30, 2010. The announcement led to the biggest declines in Asian shares in three months last week and Europe’s worst rout since April.

--Luo Jun. Editor: Ben Richardson.

To contact Bloomberg News staff of this story: Luo Jun in Shanghai at jluo6@bloomberg.net

To contact the editor responsible for this story: Philip Lagerkranser at lagerkranser@bloomberg.net

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