Minister of Petroleum and Mineral Resources, Tarek El Molla, witnessed the signing of the founders’ agreement for the Misr Methanol and Petrochemicals Company, the ministry said in a statement.

The agreement was signed by Saad Abou El Maaty, Abu Qir Fertilizers Company Chairman, Hassan Abdel-Alim, Helwan Fertilizer Company Chairman, and Karim Saada, Al Ahly Capital Holding Company’s Managing Director, in the attendance of Abed Ezz El Regal, chairman of the Egyptian General Petroleum Corporation.

Helwan Fertilizer and Abu Qir Fertilizers companies will own a 35% stake for each, while Al Ahly Capital Holding Company will hold the remaining 30% stake.

The investment cost of the first phase amounts to 1.6 billion, and it will have a production capacity of 1 million tons of ethanol and 400,000 tons of Ammonia per year.

The project is set to be established in the Suez Canal Economic Zone (SCZone), in Ain Sokhna.