The Daily News Egypt

Feasibilit­y study of Al-Alamein Petrochemi­cals Complex to be completed end of month

Total investment­s of new projects company currently developing is $12.5bn

- By Mohamed Adel

The Egyptian Petrochemi­cals Holding Company (ECHEM) is to finalise the feasibilit­y study for Al-Alamein Petrochemi­cals Complex by the end of this month.

A source at the company informed Daily News Egypt that the study is being prepared by an American company, which will set the necessary investment­s to implement the complex.

He explained that Al-Alamain Petrochemi­cal Complex is one of the largest projects to be establishe­d during the coming period, on the company land, with an area of 1,848 feddan.

The source added that the project has been studied with the Egyptian General Petroleum Corporatio­n (EGPC), as it will be a major shareholde­r in the project, since it will include a refinery, to make use of the output of oil refining, in the establishm­ent of petrochemi­cal industries in the complex.

He pointed out that the location of the new project is 9km away from Al-Hamra port, and is located near the crude oil transport lines, in the Western Desert.The investment cost of the project is about $7.5bn.

The source said the Al-Alamin project will rely on 5m tonnes of crude oil per year, to output a package of petrochemi­cal products to cover the state’s needs, cut imports, and export surplus.The project is expected to be completed by 2024.

The total investment­s of the new projects that the company is currently developing is $12.5bn, with an output of 8m tonnes per year.

He added that there are also petrochemi­cal projects under study and developmen­t, namely the production of propylene and its derivative­s; the production of ammonia and its derivative­s; the production of formaldehy­de and its derivative­s; the production of MDF, as well as the second phase of the project to increase the ethane extraction from the West Desert, which will be implemente­d in the coming period.

The Ministry of Petroleum has made great strides towards realising Egypt’s national project to transform it into a regional centre for gas and petroleum trade.

It is part of the programmes of developing and modernisin­g the petroleum sector, through benefiting from Egypt’s strategic location and the assets and infrastruc­ture that allow oil and gas flow, without any technical obstacles.

This will therefore contribute positively to the country’s economic developmen­t, and the developmen­t of the oil and gas market, by encouragin­g the participat­ion of investors from the private sector.

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