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. Last Updated: 07/27/2016

Abu Dhabi Firm Gets Island Deal

Abu Dhabi-based Allied Business Consultants will spend 155 billion rubles ($6.2 billion) to build an artificial island off the coast of the Black Sea resort of Sochi, a company official said.

St. Petersburg-based developer M-Industria unveiled plans for Federation Island, designed by Dutch architect Erick Van Egeraat, last week. The project is part of the country's preparations to host the 2014 Winter Olympics in Sochi.

The island will contain residential, recreational and business facilities and will cover 250 hectares, Alexei Topolnitsky, a spokesman for M-Industria, said in a telephone interview from St. Petersburg.

M-Industria heads a group of Russian and foreign companies with experience in building artificial islands in the United Arab Emirates, the Netherlands and Singapore, the company said in a statement released Thursday. It added that Allied would fund the 155 billion ruble project.

An official with Allied, who spoke on condition of anonymity, confirmed the size of the company's investment in a telephone interview from Abu Dhabi.

He gave no additional details.

Sochi, where President Vladimir Putin has a vacation home, won the right in July to host the 2014 Olympics. Russia has pledged to invest more than $12 billion in public and private funds to prepare for the Winter Games.