Fire fighters were seen rushing to a residential apartment in Darsait near Lifeline hospital to douse a fire. Watch the video.
The plant will produce around 50,000 cubic meters of water during its trial run while gradually increasing its production until it reaches its maximum capacity of 42 million gallons per day.
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The Public Authority of Civil Defences and Ambulances has reported that one person has been critically injured in the incident.
More than 100 people were killed when hardline militants attacked several checkpoints in Egypt's North Sinai on Wednesday.