29/09/2014
Seeks to increase the rates of refined products between 5 and 10% per annum
Egypt is aiming to invest 14.5 billion dollars in the refining and petrochemical sectors
Sherif Ismail Egyptian oil Minister said ' investment carried his country facing major problems in energy of approximately $ 14.5 billion in refining and petrochemical sectors during the next five years, other than investments in exploration and research '. According to ' Reuters ' Minister said that his country is seeking to increase the production of refined petroleum products between 5 and 10 percent annually amid continued exploring and implementing projects on time. Egypt is facing the worst energy crisis in years and has many areas almost daily interruptions in electricity, and the country suffers rising energy costs because of the considerable support of the fuel prices in a country with a population of over 85 million people, which is about Egypt from the energy source to a net importer over the past few years. And to Egypt in the current fiscal year 2014-2015 production 5.4 billion cubic feet per day of gas and 695 thousand barrels of oil and condensate and import 6.5 million tons/year of gas and products.
The Minister said that total investments carried out during the next five years is about $ 14.5 billion, including $ 12.5 billion in refining sector and 1.9 billion dollars in the project ithidko, and most of the targeted State investments, already started being self-financed firms, with partial funding from the local banking sector. The oil Minister said that the ithidko project for the production of ethylene is one of the largest projects undertaken by Egyptian oil sector, expected to start during the fourth quarter of 2015. The project aims at the 175 acres in Alexandria to produce 460,000 tons a year of ethylene and 400,000 tons of polyethylene, and it would be ' ithidko ' largest producer of ethylene and polyethylene in Egypt once the actual production, the country will provide more than $ 500 million a year currently spent on the import of ethylene and polyethylene from the outside, and the Petro all compositions in the project. Ismail pointed out that his country is already working on developing a number of projects, notably the refinery upgrade midor to increase production capacity of 100,000 barrels a day to 160,000 Barrels, will contribute to the expansion of the US to provide 20,000 tons of gasoline annually and 1.8 million tons of LPG to diesel and jet fuel, is scheduled to begin production of the new extensions in the us during the last quarter of 2017. The oil Minister said, ' we are also working on two projects for the production of gasoline, in the Alexandria to produce 500,000 tons of gasoline annually at a cost of about $ 220 million to start production in the fourth quarter of 2017 and added a unit in Asyut to produce 400,000 tons of gasoline annually at a cost of approximately $ 258 million to start production in the second quarter from 2018 to provide gasoline to the level of Egypt '. Ismail said that his country is working to establish a gas recovery units, first in Asyut and will begin production in the second quarter of 2016 and the second in oil processing and production will begin in the third quarter of 2016 '. Ismail said that his country will create complex oils in Suez instead of obsolete compound that is currently worth $ 430 million to start production in the second quarter of 2018. He said that Egypt is working on creating two units for the production of asphalt, the first In Suez, at a cost of $ 50 million and will begin production in the fourth quarter of 2016 and the second in $ 35 million will commence work in the last quarter of 2016 '. The aim of creating two asphalt is helping to provide asphalt for road implementation project by about 3500 km, and the expectation that rising production of Egypt of some 4.5 million tons of diesel annually after completion of expansions midor and start a project to develop the Egyptian refining company in the first quarter of 2017 to contribute with the Citadel and the Egyptian ' will cover the needs of the local market of diesel '. Egypt's current production of around eight million tons of diesel annually, according to the data of the General Petroleum Authority monthly Egypt consumes about 500,000 tons of diesel and 300,000 tonnes of Gas and 150,000 tons of gasoline and 500,000 tons of fuel oil ' fuel oil '. The oil Minister said that investments in research and exploration in the country last year amounted to about $ 8.2 billion, and may increase this year to $ 8.3 billion. ' Egypt hopes to increase oil and gas production to meet the growing demand for energy in recent years, foreign companies controlled activities Oil and gas exploration and production in Egypt, including the ' BBC ' and ' g ' outskirts are those BBC and ' ENI ' Italian. Egypt last year started to repay some of their debt to foreign oil companies that exceeded $ 6 billion, and this year has made two payments of its debt to foreign companies. The Minister said that Egypt signed last year 35 Convention investments reached a minimum of $ 2 billion, and the legislation signed this Convention on 18 with a minimum investment of $ 1 billion '. Egypt is the production of oil and gas declined since the mid-1990s, especially from old fields in the Gulf of Suez and the Nile Delta. But new discoveries and increased natural gas production contributed to the partly offset part of the decline. In order to attract investment and foreign Arabic for the recovery of its economy, held Egypt in February next economic summit involving leaders and investors from around the world.
The Ministry is studying the Economic Summit put the refinery of the fourth generation of petrochemical and other projects for the use of agricultural residues, in bio-methanol production, and consider asking the supplementary industries projects for the petrochemical industry and pipeline projects, warehouses, and all these ideas are placing on the top. The Government aims to achieve economic growth of 5.8 percent in the next three years while keeping the deficit within 10 per cent of GDP. Ismail disclosed that his Ministry is currently talking with local investment banks to put up portions of ownership of public companies whether the goal of corporate development or restructuring and improved financial position. The Minister declined to go into the names of investment banks that talk with it for study and promotion of IPOs, said ' the idea to raise part of the shares in the IPO for Egyptians received, the idea may be aimed at development, restructuring and improved financial structure, an idea began to study and started talking with investment banks '.
