Eatco’s scheme will entail using natural gas to make methanol, which will then be processed, using MTO technology, into ethylene and propylene. The end-products will be 300,000 tonnes a year (t/y) of polyethylene and 200,000 t/y of polypropylene. Several prospective licensors have been identified for the methanol stage, says El-Komi. Dow Chemicaland PhillipsChevron, both of the US, and the European Basellare among the candidates for the polyolefin stages.

El-Komi says Eatco has held talks with Lurgi of Germany about a strategic partnership deal, and with Vinmar of the US about an offtake agreement.

The company has been allocated a 720,000-square-metre site in Damietta. Eatco is also a partner in Spanish Egyptian Gas Company, which is building a liquefied natural gas (LNG) export terminal in Damietta.