By Nagy Rashed
Tarek Al-Molla, Minister of Petroleum and Mineral Resources, has witnessed a $100m loan signing agreement between SUMED, Arab Petroleum Pipelines Company, and National Bank of Egypt. The loan will help in financing the first stage of establishing a pier project and another project of establishing a handling and storing centre for petroleum products in Ain Sukhna.
Eng. Mohammad Abdul Hafiz, Managing Director of SUMED, signed the loan agreement with Hisham Okasha, Chairman of the National Bank of Egypt.
Al-Molla stated that this agreement will enhance the efficiency of Sumed Pipelines as one of the vital projects that contribute to Egypt as a strategic regional centre of energy. In addition, this loan agreement will move SUMED forward to be a main centre for oil products and enable it to receive liquefied natural gas to satisfy the local market need.
SUMED new project aims to receive liquefied natural gas and provide the Arab Gas National Network with it, in addition to storing and transferring mazot to the local market, Abdul Hafiz said.
The project includes two stages, the first stage aims at establishing a pier with 2.2km length, attached to it a draft of 19 meters, to receive oil products and liquefied natural gas ships. The second stage’s objective is to build a storage area to store and handle liquefied natural gas and mazot. The first stage of the project is being implemented and it will be completed by the end of March 2017. Moreover, studies concerning the project’s second stage are conducted to present the project to specialized contractors.
Okasha said that this loan agreement has been signed as a result of the excellent long-lasting strategic relations between the National Bank of Egypt and the petroleum sector. The bank has financed many petroleum projects that benefit the Egyptian economy, he highlighted.
