DSI wins Dh2.2bn Egypt contract

Drake & Scull International (DSI) has signed an agreement with Egypt’s Carbon Holdings as part of the Tahrir Petrochemical Corporation (TPC) project located at the entrance of the Suez Canal in Ain Sokhna, Egypt.

DSI will join the international consortium of companies comprising Maire Tecnimont and Archirodon Group.

The scope of work for DSI will encompass the complete OSBL construction works and civil works, including storage facilities and ancillary buildings for an approximate contract value of Dh2.2 billion, it said in a media statement.

Egypt’s Carbon Holdings is aiming to commence construction of its $5bn-plus TPC Project in 2015.

TPC is seeking to secure in excess of $3.4bn of funding and loan guarantees from the Export-Import Bank of the United States, The Export-Import Bank of Korea, the Korea Insurance Corporation and the Italian Export Credit Agency, SACE.

The megaproject which includes Egypt’s first naphtha cracker will create in excess of 20,000 jobs during the construction phase, Carbon Holdings said.

Once complete, the project will comprise a 4 million tonne-a-year (t/y) naphtha cracker and related downstream facilities  with the capacity to produce 1.4 million t/y polyethylene, 900,000 t/y propylene, 250,000 t/y butadiene, 350,000 t/y benzene and 100,000 t/y hexene-1.

In December last year, TPC signed the EPC contract for the ISBL with Linde and SK ENC.

Carbon Holdings anticipates the Project will be a driving force for other petrochemical and downstream projects in Egypt and could create up to 100,000 direct and indirect jobs in related industries.

Khaldoun Tabari, CEO of Drake & Scull International, said: “Egypt is our key market in North Africa and the project will enable us to further strengthen our position in the country where we already have a significant presence across the Oil & Gas, Waste Water and Water treatment and Hospitality sectors.”

DSI has been awarded Dh1.68bn worth contracts year-to-date in UAE, Saudi Arabia, Kuwait, Algeria, India and Europe. The Tahrir Petrochemical Complex deal takes the total value of DSI’s project awards portfolio to Dh3.88 billion as of May 2014.

 

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