Egypt is planning to develop a new petrochemical complex to produce polyethylene, polyesters, polypropylene, bunker fuel, and other products.
The terminal will be developed in the Ain Sokhna industrial zone, on the Gulf of Suez (southern gateway) to the Suez Canal.
On behalf of the government, the main development company (MDC) of the Suez Canal Economic Zone and the Red Sea Refining and Petrochemical Co. (RSNRPC) concluded the agreement.
The refining and petrochemical complex will span across an area of 3.56 million sq meters.
The capital expenditure required for the project completion is estimated at $7.5 billion.
The complex is estimated to have a capacity of 4 mtpa (crude intake) and an output of around 2.7 mtpa of petrochemicals and 1.2 mtpa of refined oil products.
In addition to catering to domestic market requirements, the refined products from the complex will be exported, predominantly to customers in Europe, the Asia Pacific, the Middle East, and Africa
Earlier in February 2020, Egyptian Petrochemicals Holding Co. (ECHEM) signed an HOA for EPC (engineering, procurement, and construction) agreement with Bechtel Corporation.