Eng. Tariq Al Mulla, Minister of Petroleum and Mineral Resources, stressed the continuation of the Egyptian petrochemical industry in its vital role in achieving sustainable economic development and increasing both production and added value.
He explained that the petrochemical industry in Egypt has good competitive advantages following a sound economic and marketing approach that qualifies it to deal with the unprecedented challenges the world is witnessing. Affirming that in the last years, Egypt’s economic reforms have formed a strong support for the Egyptian economy facing the international challenges and changes.
This came during a video conferencing meeting of the General Assembly of The Egyptian Ethylene and Derivatives Company in Alexandria in the presence of the hemist Saad Hilal, ECHEM President, and the Accountant Nermin Abdel-Fattah, ASA first agent.
During the meeting, Al-Mulla stressed the importance of maintaining the safety of workers and taking precautions and health and preventive measures against Coronavirus in its entirety, as well as the importance of taking into account the determination to implement projects and the new expansion of petrochemical production for its vital role in the supply of raw materials and major inputs to many local industries and increasing Egyptian exports to petrochemicals abroad.
The goal of ETHYDCO Petrochemical Complex in Alexandria, since the opening of the Sisi complex and its activity, has been to continue to follow marketing policies capable of achieving the company’s objectives and facing challenges, and to highlight the outstanding performance and export output of ETHYDCO Petrochemical Complex in Alexandria.
After the opening of the Sisi President of the complex and its operation, it has highlighted the important role of petrochemical companies in contributing to the supply of local market needs and supporting exports.
Stressing the importance of continuing to expand in these ventures, given the enormous challenges currently facing them, illustrated by the low prices on the global market for petrochemical products, pointing out the role of the petroleum sector in achieving a balance between competing activities in order to boost pricing for all parties to respond to the changes taking place on the market Global petrochemical.
From his side, the Chemist Abdel Mugied Higazi; ETHYDCO President, clairifed that the company bas achieved outstanding exports rate during the period of 2017-2019 values at $929Million; which represents about 9.6% from the total Egyptian Petroleum Exports.
In addition, they achieved the production plan for 2019; as the company produced about 367 thousand tons of ethylene to fulfill its contracts and the needs of the sister petroleum companies from this product. Moreover, about 363 thousand tons of polyethylene was produced to satisfy the local demand and export.
Also, Higazi pointed out to the success of the signing marketing contracts for Butadiene exclusively from ETHYDCO’s range of products, which maximizes thr added value of the holding’s products, especially the non-main secondary products, such as Butadiene and raffinates.
Hence, a $1.3 billion in total sales achievement for ETHYDCO, from its various products since its operation in 2017, is a strong indication of what has been achieved from a distinguished commercial and marketing performance during that period.
Regarding its future plans including the production expansion, he clarified that they are going forward towards building the first of its kind project in Egupt, Middle East and Africa to produce the synthetic rubber; Polybutadiene. In which, the investment cost is valued with $180 Million, after awarding a tender for the implementation works and selecting the general contractor, last May, on the alliance of the Egyptian Petrojet and the Italian Saipem.
He mentioned that the implementation will take about two years, pointing to the success of the study of raising the production capacity of the new project to 26 thousand tons and signing two contracts to market its production with international distributors.
He pointed out that ETHYDCO is currently taking the required measures to incorporate the Petrochemical Logistics Services Program, an infrastructure supporting the requirements of the Petrochemical Industrial Complex in Alexandria, Explaining that it is currently working on securing the requisite funding after its recent completion of providing new land and annexing it to the project and expanding the company’s facilities, and a report has also been completed.
Moreover, Environmental impact and the mechanism of public consultation, Project approvals are being completed.
He pointed out the completion in the last year of the connecting of the company’s permanent power station to the unified electricity network at the Republic level and the signing of energy supply contracts for ANRPC and AMOC companies, emphasizing its continuing adherence to the highest standards and procedures for occupational health and safety and environmental protection, and its commitment to the precautionary measures and preventive measures against the Coronavirus in order to preserve On the safety of workers.
It also confirmed that it had received 7 detailed quality certificates (ISOs) from the start of operation, the most recent of which was a certificate of anti-bribery management systems from Tuv Austria, the first Egyptian company to receive that certificate, and that a certificate of performance assessment of the process safety systems is currently being received.
