Qalaa Holdings subsidiary Egyptian Refining Company (ERC)’s CEO, Ahmed Hassanien Heikal, stated that the production of Mostorod project will be postponed to the 2nd quarter of 2018 due to construction delays. Heikal added that the project’s production will supply 14% of the local market’s needs, reported Al Mal News.

ERC Managing Director, Mohamed Saad, had previously stated that the refinery is set to start production by the end of 2017 with investments worth $3.7m of which 87% were secured in USD through loans from international banks as well as foreign contributors, while 13% were secured from local contributors. Saad added that the proportion of foreign loans in the project amounted to about $ 2.6b, which are to be repaid over a period of up to 17 years from the start of the project.

The project is financed by Japan, Korea, The European Union, and The African Union with contributions worth of $900m, $850m, $450m, $225m, respectively. Meanwhile, the project’s contractor conributes with $20m.