Egypt’s Abu Qir Fertilizers to get about $100mln loan from NBK

Egypt’s Abu Qir Fertilizers to get about $100mln loan from NBK

Abu Qir Fertilizers plans to get a loan of $80-100m that will be arranged by the National Bank of Kuwait – Egypt (NBK), to finance expansion in production capacity from 1,925 tonnes per day to 2,370 tonnes per day of urea granular, sources told Daily News Egypt.

The PDP studies and the initial engineering designs of the expansion have been completed, and the invitation to bid has been issued to EPC contractors.

The company explained that the new project to produce 1 million tonnes/year of methanol and 400,000 tonnes/year of ammonia (first phase), will be established in the Suez Canal Economic Zone in Ain Sokhna, at an investment cost of about $1.6bn. The complex is owned by Abu Qir Fertilizers (35%), Helwan Fertilizers Company (35%) and Al Ahly Capital Holding (30%).

The complex was established on an area of 2 million sqm. Al Ahly Capital Holding was assigned as a financial advisor to arrange the necessary financing for the project, which is planned to be financed by 70% debt and 30% equity. In parallel, the economic and market feasibility study for the project is being updated in light of local and global updates. Currently, the PMC contract is being finalized.

Abu Qir reported a