Drake & Scull signs Egypt deal for US$ 598m
Drake & Scull International (DSI) has signed an agreement with Egypt-based company Carbon Holdings as part of the Tahrir Petrochemical Corporation (TPC) Project development at Suez Canal
Drake & Scull International (DSI) signed an agreement with Egypt-based company Carbon Holdings as part of the Tahrir Petrochemical Corporation (TPC) Project development located at the entrance of the Suez Canal in Ain Sokhna, Egypt.
Under the terms of the agreement DSI will exclusively join the international consortium of companies comprising Maire Tecnimont and Archirodon Group. The scope of work for DSI will encompass the complete OSBL construction works and civil works, including storage facilities and ancillary buildings for an approximate contract value of US$ 598m.
Egypt’s Carbon Holdings is aiming to commence construction of its $5bn-plus TPC Project in 2015. TPC is seeking to secure in excess of $3.4bn of funding and loan guarantees from the Export-Import Bank of the United States, The Export-Import Bank of Korea, the Korea Insurance Corporation and the Italian Export Credit Agency, SACE. The megaproject which includes Egypt’s first naphtha cracker will create in excess of 20,000 jobs during the construction phase, according to Carbon Holdings.
Once complete, the project will comprise a 4 million tonne-a-year (t/y) naphtha cracker and related downstream facilities with the capacity to produce 1.4 million t/y polyethylene, 900,000 t/y propylene, 250,000 t/y butadiene, 350,000 t/y benzene and 100,000 t/y hexene-1.
In December last year TPC signed the EPC contract for the ISBL with Linde and SK ENC.
Carbon Holdings also anticipates the project will be a driving force for other petrochemical and downstream projects in Egypt and could create up to 100,000 direct and indirect jobs in related industries.
Khaldoun Tabari, CEO of DSI, said, “DSI is pleased to be part of this international consortium delivering this vital project which will transform Egypt’s petrochemical sector. Egypt is our key market in North Africa and the project will enable us to further strengthen our position in the country where we already have a significant presence across the oil & gas, wastewater and water treatment, and hospitality sectors.”
DSI continues to enhance and strengthen its services offering with unmatched vertical integration and global footprint. The collaborative capabilities of the Engineering services (MEP and Water and Power), General Contracting, Oil and Gas, Rail and Infrastructure development continue to deliver strong performance quality work on project sites across MENA, South Asia, and Europe.
Year to date the company was awarded a series of prestigious projects in the UAE, KSA, Kuwait, Algeria, India and Europe for a combined value of US$ 457 m. The Tahrir Petrochemical Complex deal takes the total value of DSI’s project awards portfolio to US$ 1bn as of May 2014 further cementing the company’s position as one of the leading multi-discipline construction experts in the region.
