Egyptian President Abdel Fattah al-Sisi is set to launch petrochemicals complex of Egyptian Ethylene and Derivatives Company (Ethydco) in Alexandria within the coming few days.
The complex is set to produce ethylene and its derivatives with total investments of US$1.9 billion.
The complex encompasses four projects: a project for producing ethylene with the capacity of 460,000 tonnes per year and another project for producing polyethylene with the capacity of 400,000 tonnes annually.
The complex also includes a project for producing butadiene with the capacity of 20,000 tonnes annually and other project for to produce 26,000 tonnes of butadiene derivatives per year.
By this complex, Egypt is expected to save more than US$500 million dollar per year .
35 percent of project’s total cost has been financed with U.S. fund of US$675 million while the other 65 percent has been financed through Egyptian banks, i.e. 19 banks.
Toyo Engineering Corporation and Engineering for the Petroleum & Process Industries (Enppi) are the general contractors of the project while The Petroleum Projects & Technical Consultations Co- Petrojet is responsible for executions and installation works.
Ethydco plans achieving sales of US$600 during the first year of starting operation and maximising the added value through opening new markets outside.
On other side, Ethydco has contracted with nine foreign distributers to distribute 380,000 tonnes of polyethylene ,i.e. 70 percent of the total capacity, in 40 states in Europe, Africa, and Asia. The contracts worth around US$400 million.