Egypt’s Carbon Holdings hopes to sign a financing deal for the $7.2bn Tahrir Petrochemicals Complex in the second half of 2016.

Following the reauthorisation of the Import Export Bank of the United States (US Exim Bank) in late 2015, Carbon Holdings has restarted negotiations.

The $4.3bn financing deal is essentially the same as what was negotiated in 2014. US Exim Bank was expected to extend around a third of the loan, or $1.4bn. There will also be equity investors.

The TPC scheme is Egypt’s biggest-ever petrochemical project and includes the construction of a 1.5 million tonne-a-year (t/y) ethylene cracker and a polyethylene facility with capacity of about 1.4 million t/y.

The project will be financed with assistance from four national export credit agencies (ECAs):

• US Exim Bank
• Export-Import Bank of Korea (Kexim)
• Korea Trade Insurance Company (Ksure)
• Italian Export Credit Agency (Sace)

The US-based Overseas Private Investment Corporation may also lend up to $400m.

The participation of ECAs and development finance institutions means the financing will be less affected by Egypt’s foreign currency issues.

Carbon Holdings is currently targeting commissioning in 2020. It pushed ahead with negotiations with contractors while waiting for US Exim Bank to be reauthorized.

US-based Emerson Process Management won a $150m contract for automation technology and services, and will make an equity investment.

Italy’s Maire Tecnimont Group and Greece’s Archirodon Group signed a contract to carry out the $1.7bn to $1.95bn main engineering, procurement and construction contract in 2014. 

Other contractors include South Korea’s SK Engineering & Construction, Germany’s Linde Group, Athens-based Consolidated Contractors Group of Companies (CCC Group), Egypt’s Hassan Allem Construction, the UAE’s Drake & Scull International, the US’ General Electric, Vinmar International, Trammo, Univation Technologies and Bechtel International.