Egypt to invest $7.5bn building the region’s largest petrochemical complex

Thank you for reading the news about Egypt to invest $7.5bn building the region’s largest petrochemical complex and now with the details

Jeddah – Yasmine El Tohamy – RIYADH: Saudi Arabian petrochemical and chemical manufacturing company Sipchem is studying SR25 billion ($6.6 billion) of projects with the Ministry of Energy in the next decade through the Shareek Program, CEO Abdullah Saif Al-Saadoon said.

Saudi Arabia launched the SR12 trillion Shareek Program in March to boost the role of the private sector in diversifying the economy, increasing resilience and supporting sustainable growth.

Saudi petrochemicals group said that month that Shareek would help it double capacity within the next 10 to 15 years.

Al-Saadoun said that Sipchem has signed an agreement with Germany’s Linde to expand into the industrial gases and clean energy sector through blue hydrogen, Al Arabiya reported.

Increased investment may see Sipchem profits decrease in the short term, but dividend distribution will be maintained, he said.

The company returned to profit in the first quarter with net income of SR411 million compared with a loss of SR53 million a year earlier as production of its main products increased, Al-Saadoun said.

It is also starting to reap the fruits of the merger with Sahara International Petrochemical Company more than 20 months ago, he said.

Europe constitutes 40 percent of the company’s sales and Asia 35 percent, including India, which alone accounts for 20-25 percent of sales, said Al-Saadoun. The Middle East, Turkey and Africa make up 20 percent, of which 15 percent are consumed inside the Kingdom, he said.

Sipchem has suspended production at two factories in Hail and Al Jubeir because of large losses, but no further actions are expected, he said.

These were the details of the news Egypt to invest $7.5bn building the region’s largest petrochemical complex for this day. We hope that we have succeeded by giving you the full details and information. To follow all our news, you can subscribe to the alerts system or to one of our different systems to provide you with all that is new.

It is also worth noting that the original news has been published and is available at Arab News and the editorial team at AlKhaleej Today has confirmed it and it has been modified, and it may have been completely transferred or quoted from it and you can read and follow this news from its main source.