Companies in Kuwait, Egypt ink US$6.8 bln MoUs for petrochemical projects

16-Feb-15

Several Kuwaiti and Egyptian companies signed memorandums of understanding (MoUs) for petrochemical and fertilizer projects worth a total of around US$6.8 bln, as per kuna.net.kw. These include the construction of a propylene production plant, a petrochemical and refinery facility, a formaldehyde production facility and a phosphate and compound fertilizer plant, read an Egyptian cabinet statement. The propylene production plant, which will make use of locally abundant propane, has an investment cost of around US$2.5 bln, with work on the project to commence in 2020. It will aim to launch products of a "high added value", said the statement. Phase 1 of the petrochemicals and refinery facility is estimated to cost US$3 bln, and will produce "petrochemical products of a high economic value." The projects are set to be announced at the Egypt Economic Development Conference due in March as part of the list of projects offered by the Egyptian petroleum sector.