Japan's Toyo Engineering Corp and Egypt's Engineering for Petroleum and Process Industries will jointly construct a 400,000 mt/year polyethylene plant in Alexandria, Toyo said Tuesday.
The joint contract is for $400 million and Egyptian construction company Petrojet is a subcontractor for the project.
The plant -- scheduled for a startup in early 2015 -- will be owned and run by Egyptian Ethylene and Derivatives Company, or Ethydco, Toyo said in a statement. "This will be the largest polyethylene plant in Egypt, and is a 100% Egyptian local investment," Toyo said.
The plant will be part of a larger petrochemicals complex being built by Ethydco in Alexandria. Toyo is constructing a 460,000 mt/year steam cracker and a 20,000 mt/year butadiene extraction unit for Ethydco at the complex.
Contracts for constructing the cracker and butadiene production units were awarded a year earlier. The entire complex is scheduled for completion in Q3 2015.
The Egyptian General Petroleum Corp. is the principal shareholder in Engineering for Petroleum and Process Industries, or Enppi, owning 97% of its total shares, the Enppi website said.
