NBE Contributes EGP 360 Mln To Loan For El Nasr Coke

The National Bank of Egypt (NBE), Banque Misr and National Société Générale Bank (NSGB) are expected to sign the agreement of the €85 million (EGP 720 million) loan with El Nasr Company for Coke and Chemicals, subsidiary of the Metallurgical Industries Company within the coming few days.

Mahmoud Montasser, member of NBE’s board of directors, said the loan arrangers wait the approvals of their board of directors to sign the loan agreement before the end of 2012. NBE plans to provide 50% of the loan (EGP 360 million), while Banque Misr and NSGB will provide the remaining value, he added.

After signing the loan agreement, NBE will ask other banks to contribute to the loan which will be used to finance the rebuilding of the third battery of the company to comply with the new standards as El Nasr Company for Coke has four batteries with 230 ovens which have annual production capacity of 1.6 million tons.

The company rebuilt its first battery in 2000 and the second one in 2006. It targets to rebuild the third battery which has 65 ovens with annual production capacity of 560,000 tons. The third battery is slated to be in service in 2013. The loan will finance 68% of the project’s investment cost which is €125 million.