Egypt Starts Construction of a $3.7Billion Refinery in 2013

EGYPT Refining Company(ERC) hopes to begin construction of a new 100,000BOPD green field refinery in 2013 and expects it to be fully operational by the end of 2016.
Cairo Oil Refinery Company (CORC), the nation’s largest refinery with 20% of Egypt’s current refining capacity, will provide ERC with fuel oil as feedstock. The new refinery will be an import substitution project delivering diesel and other high-value products to the state hydrocarbon company, EGPC at the heart of the consumption market in Greater Cairo.
ERC is a special purpose vehicle including Citadel Capital and EGPC. In August 2010, it signed a $2.35 billion senior financing package in provided by Export Credit Agencies and Development Finance Institutions including the Japan Bank for International Cooperation (JBIC), Nippon Export and Investment Insurance (NEXI), the Export-Import Bank of Korea (KEXIM), the European Investment Bank (EIB) and the African Development Bank (AfDB). In addition, a total of $ 225 million of subordinated debt financing is being provided by Mitsui & Co. and AfDB.