The Egyptian Ministry of Petroleum and Mineral Resources, along with the Egyptian Petrochemicals Holding Company (ECHEM) and Sidi Kerir Petrochemicals Company (Sidpec), plans to establish a new polypropylene factory in Sidpec’s headquarter in Alexandria, reported Al Borsa.
The new factory will be built on 40 acres land with investments between $800m and $1b.
Sidpec’s CEO, Osama El Mahdy, stated that the factory is planned to be launched in 2021 with production capacity reaching 450,000 tons/y.
El Mahdy added, during the meeting of the plastics department at the Chamber of Chemical Industries, that the company is finalizing the feasibility studies and issuing the required licenses. Sidpec is further considering the opinions of the companies that are members at the plastic department in order to know their needs.
El Mahdy pointed out that Egypt will import the factory’s required propane, yet the imports will be decreased due to the gas discovered in the Western Desert.
The Egyptian local market’s demands of polypropylene are varying between 800,000 tons to 900,000 tons/y, of which the factory will cover 50%.