Egypt- Qalaa Holdings completes final $120m ERC funding round - MENAFN / DAILY NEWS EGYPT

MAY/30/2019 1:15:25 AM 

Qalaa Holdings, one of Africa's leaders in energy and infrastructure, revealed on Wednesday that it has completed a $120m funding round for its subsidiary, the Egyptian Refining Company (ERC), the final such round requested by ERC's project finance lenders, consisting of a $70m capital increase and a $50m shareholders' loan, bringing the total equity component up to $1.5bn and the total cost of the megaproject up to $4.4bn. 

According to Qalaa Chairperson and Founder, Ahmed Heikal, the new funding will be utilised to pay the first project finance debt instalment and part of the second debt instalment for ERC which is now 99.6% complete and set to begin full commercial operations during the third quarter (Q3) of 2019.

Gov’t puts pen to paper on strategy for Egypt’s energy hub ambitions - ENTERPRISE

Thursday, 3 January 2019

Gov’t puts pen to paper on EastMed energy hub strategy: A government committee has drafted a strategy to advance Egypt’s plan to become the premier energy hub in the Eastern Mediterranean region, according to a Cabinet statement. The strategy involves studying and benchmarking similar projects elsewhere, conducting a cost–benefit analysis, and devising short- and long-term action plans. We could also see our ports become the first to set up natural gas marine fuel stations along the eastern Mediterranean. The committee will hand its recommendation to cabinet for review.

This comes as friendlier oil and gas contracts are set to take effect this quarter: We had noted last October that the Oil Ministry is planning to roll out new production sharing contracts with friendlier terms for international oil companies. The new framework, which is set to take effect this quarter, would grant the companies a larger share of the output and allow them to sell their share of production to anyone they like. This would replace the current, more rigid system, which gives producers only one-third of output and sets the government as the only buyer of their share of production at preset prices. Taken with a push — emphasized last week by President Abdel Fattah El Sisi — for more refining capacity as well as for the repayment of arrears to E&P companies, the move could significantly improve an already bright climate for oil and gas players in Egypt.

Egypt lets contract for Midor refinery expansion - OIL & GAS JOURNAL

Houston, JUNE/08/2018
Robert Brelsford

The government of Egypt has let a contract to TechnipFMC PLC to provide services related to the implementation of the expansion at state-owned Middle East Oil Refinery Co.’s (Midor) 115,000-b/d refinery in El Amreya Free Zone, Alexandria, Egypt.

Signed on June 7, the $1.7-billion contract will cover construction, supplies, and engineering designs for the expansion, which aims to increase overall refining capacity at the site by 60% to 175,000 b/d, Egypt’s Ministry of Petroleum and Mineral Resources (MPMR) said.

Overall cost of Midor’s expansion project—which will include participation of Egypt’s ENPPI and Petrojet—will amount to about $2.2 billion, MOP said.

Alongside increasing Midor’s crude processing capacity, the expansion also will raise the refinery’s current LNG production by about 145,000 tonnes/year, benzene 95 by about 600,000 tpy, and jet fuel by about 1.3 million tpy.

The Midor expansion comes as part of MPMR’s integrated plan to develop, upgrade, and increase efficiency and production quality of Egypt’s refineries through implementation of a series of new projects across manufacturing sites to help meet domestic petroleum product demand as well as reduce imports from abroad, said Tariq El-Molla, Egypt’s minister of petroleum and natural resources.

Qalaa considering increasing stake in ERC - ENTERPRISE

Wednesday, 9 May 2018

Qalaa eying additional stake in Egyptian Refining Company: Qalaa Holdings announced yesterday that it is looking to increase its ownership of its greenfield Egyptian Refining Company (ERC) by acquiring or subscribing to additional shares in its subsidiary Orient Investment Properties, Qalaa said in a regulatory filing (pdf). 

ERC recently completed a project finance restructuring that saw the company take on new loans and equity commitments valued at around USD 500 mn, bringing the 4.2 mn tonne-capacity refinery’s overall cost to around USD 4.5 bn. 

The refinery is expected to go online by the end of 2018 or early 2019, with trial operations set to start as early as next month.

Egypt is ready to be an energy hub for Europe, investment chief says - CNBC

23 APRIL 2018

Holly Ellyatt

• With gas production in full swing across a number of sites in Egypt, the country is ready to become a key exporter of energy in the region and beyond, the chairman and founder of investment firm Qalaa Holdings told CNBC.
• "In the oil and gas sectors Egypt remains a very important player," Ahmed Heikal, told CNBC's "Capital Connection" on Monday.

With gas production in full swing across a number of sites in Egypt, the country is ready to become a key exporter of energy in the region and beyond, the chairman and founder of investment firm Qalaa Holdings told CNBC.

"In the oil and gas sectors Egypt remains a very important player," Ahmed Heikal, told CNBC's "Capital Connection" on Monday.

Heikal said there was impetus for Egyptian gas to flow to European markets via terminals in Idku and Damietta.

Egypt's new oil refinery to begin test run in third quarter - REUTERS

MARCH 5, 2018 / 8:16 PM

Reporting by Ehab Farouk; Writing by Arwa Gaballa; Editing by Susan Fenton

CAIRO, March 5 (Reuters) - A new oil refinery near Cairo which has been delayed by financing problems will begin a test run in the third quarter of 2018, its managing director said on Monday.

The refinery, called Egyptian Refining Co (ERC), is a joint venture between state-controlled Egyptian General Petroleum Corporation (EGPC) and Arab Refining Company and will have the capacity to produce 4.7 million tonnes of refined products per year when fully operational.

It is expected to start actual operations by the end of 2018 or early 2019, Managing Director Mohamed Saad said at a news conference.

Jordan refiner lets contract for expansion project - OIL & GAS JOURNAL

HOUSTON, Nov. 1, 2017
Robert Brelsford

Jordan Petroleum Refinery Co. Ltd. (JPRC), the sole refining company of Jordan, has let a contract to KBR Inc. to provide basic engineering for a residue hydroprocessing unit to be built as part of the proposed expansion of its 100,000-b/d refinery at Zarqa, 35 km east of Amman.

KBR’s scope of work will include delivery of the basic design package for the unit, which will be based on its proprietary Veba Combi-Cracking (VCC) slurry phase hydrocracking technology to enable the refinery to process a wider range of feedstocks and produce fuels meeting environmental specifications without further upgrading, the service provider said.

The unit will be at the core of the refinery’s proposed fourth expansion project, which aims to increase crude processing capacity at the site to 120,000 b/d, KBR said.

This latest contract follows JPRC’s previous selection of KBR to deliver licensing of its VCC technology for the project.

While KBR disclosed neither values nor durations of either of its contracts with JPRC, the service company did confirm revenues associated with the project will be booked into backlog of unfilled orders for its technology and consulting business segment in this year’s fourth quarter.

Blast at Tupras refinery in Turkey kills four - HYDROCARBON PROCESSING / REUTERS / DAILY SABAH

October/11/2017Writing by Daren Butler; Editing by Dominic Evans

ISTANBUL (Reuters) — An explosion in a storage tank at a Tupras refinery in the western Turkish province of Izmir on Wednesday killed four people but had no impact on production, the company said.

Tupras said in a statement that the explosion occurred following maintenance work on Wednesday morning.

Television footage showed black smoke rising from the site of the blast.

DAILY SABAH, October 11, 2017

The refinery, operated by Turkey's only oil refiner in the Aliağa district, is the country's second-largest in terms of its annual processing capacity of 11 million tons.

Egypt- Petroleum Minister looks into expanding Midor refinery with Italian Technip - MENAFN - DAILY NEWS EGYPT

September 26, 2017 2:15:08 PM 

Minister of Petroleum Tarek El Molla and Chairperson of Technip Marco Villa, an Italian project management and construction company, looked into the expansions of the Middle East Oil Refinery (Midor) and the project to establish a new complex for fuel oil hydrogenic cracking in the Assiut petroleum refinery, according to a report issued by the Ministry of Petroleum on Tuesday.

The expansion project of Midor aims to increase its refining capacity from 115,000 barrels to 175,000 barrels per day.

The minister pointed out that it is necessary to adhere to the schedule agreed upon for the implementation of the two projects as well as placing them on the production map for their significance in securing the supply of fuel to the local market and in limiting imports.

EGPC pays $6.2 billion in arrears to foreign oil firms - EGYPT TODAY

Thu, Sep. 21, 2017

CAIRO – 21 September 2017: The Egyptian General Petroleum Corporation (EGPC) paid $6.2 billion to foreign companies in arrears during the fiscal year (FY) 2016/2017, which in turn prompted companies to accelerate their activities in the oil and gas fields, EGPC Chairman Abed Ezz el-Regal said Thursday.

He added that EGPC paid a total amount of $19.3 billion and LE 38 billion (in local currency) to the companies, during the same period, to buy oil and repay loans.

Hellenic advances turnaround at Elefsina refinery - OIL & GAS JOURNAL

HOUSTON, July 28 2017
Robert Brelsford

Hellenic Petroleum SA has decided to bring forward major planned maintenance at its 100,000-b/d Elefsina refinery in Elefsis, Greece, following an unexpected shutdown of the plant’s hydrogen production unit in early July.

Planned maintenance works at all of the refinery’s units originally scheduled to take place from late-September 2017 through March 2018 will now be carried out during the current shutdown period, Hellenic said.

MIDOR increase refining capacity by 109% y-o-y in 1Q2017 - ENTERPRISE

Wednesday, 7 June 2017

Middle East Oil Refinery (MIDOR) raised its refining capacity by 109% y-o-y in 1Q2017 to 3.9 mn bbl of refined crude, a source tells Al Shorouk. The increase is fueled by the USD 20 mn spent on the first phase of its expansion plan, which started in January. 

MIDOR targets bringing its refining capacity up by another 15% y-o-y in FY2017 to 39 mn bbl of refined crude. MIDOR produced 150,000 tonnes of butane and 1.7 mn tonnes of diesel last year, according to preliminary results.

Jordan refiner lets contract for facility upgrade - OIL GAS JOURNAL / HYDROCARBON PROCESSING

HOUSTON, 05/08/2017

By OGJ editors

Jordan Petroleum Refinery Co. Ltd. (JPRC), the sole refining company of Jordan, has let a contract to Honeywell UOP to facilitate a $1.6-billion expansion of its refinery at Zarqa, 35 km east of Amman.

The expansion will increase the capacity of the facility to 120,000 b/d and will allow JPRC to upgrade the quality of its product to meet Euro-V emissions specifications.

JPRC Chief Executive Officer Abdul Karim Alaween said the upgrade is vital as it “will help us meet the rising demand for fuel, which is growing at an average of 3% every year.”

MIDOR raises refining capacity by 15% - ENTERPRISE

Wednesday, 8 February 2017

MIDOR has raised its daily refining capacity by 15% to 115k bbl in January 2017, an unnamed official at the company told Reuters. The increase is attributed to the USD 20 mn first phase of the company’s expansion plan, he added.

The second phase begins in 2H2017 to raise the daily capacity to 160k bbl, the official said.

The Oil Ministry has reportedly hinted last week that it is looking at using excess capacity at MIDOR to refine imported Iraqi crude.

Egypt has 6.7 mn tonnes of unused refining capacity - Oil Minister - ENTERPRISE

Wednesday, 30 November 2016

Egypt’s refineries are working at less than 80% of their capacity, Oil Minister Tarek El Molla told Al Borsa. The refineries have an annual capacity of 33 mn tonnes, but only process 26.3 mn tonnes, including 3.4 mn tonnes of Kuwaiti crude, he said.

Amarinth delivers API 610 VS4 pumps for STAR refinery in Turkey - HYDROCARBON PROCESSING

9/23/2016

Amarinth, a company specializing in the design, application and manufacture of centrifugal pumps and associated equipment to the oil and gas, petrochemical, chemical, industrial and power markets, has delivered its first order to the Indian operation of Aquatec consisting of exotic alloy API 610 VS4 pumps for use in the SOCAR Turkey Agean refinery (STAR) in Turkey.

The STAR project, set for completion in 2018, will be the first oil refinery to start operations in Turkey since the early 1970s and will process an estimated 10 MMtpy of crude oil. Located five kilometers from Aliaga, Izmir Province, the project also includes the construction and operation of three marine shipping terminals and a new stand-alone wastewater treatment plant for managing refinery by-product.

Egyptian Refining Co to start output at country’s largest refinery in Q1 2017 - ENERGY EGYPT / REUTERS

January 24, 2016

The Egyptian Refining Company, a subsidiary of one of Egypt’s largest investment companies Qalaa Holdings, will start production at its $3.7 billion oil refinery in the first quarter of 2017, managing director Mohammed Saad said.

The refinery, which has a capacity to produce 4.2 million tons of refined products annually, the largest in Egypt, will start trial production by the end of 2016, Saad said.

“We have completed so far 80 percent of the construction work and we will complete the rest in November then start trial operations before we start production in the first quarter of 2017,” he said.

Egypt negotiates with Kuwait to renew contract to supply 3m barrels per month | Daily News Egypt

Crude oil imported from Kuwait Petroleum Corporation helps save fuel in local market, says official

Mohamed Adel, January 21, 2016

The Egyptian General Petroleum Corporation (EGPC) is negotiating with the Kuwait Petroleum Corporation (KPC) to renew a contract to supply 3m barrels of crude oil to Egypt per month with payment facilitations for the value of the shipments.

The contract is expected to be finalised by the conclusion of next September.