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April 1, 2013

Toyo awarded PE-plant contract in Egypt

Gerald Ondrey

Toyo Engineering Corp. (Toyo; Chiba, Japan; has been jointly awarded with ENPPI, an engineering company under the Egyptian Ministry of Petroleum, a contract to build a 400,000 ton/yr polyethylene (PE) plant as part of Ethydco's petrochemical complex to be established in Alexandria, the Arab Republic of Egypt, and owned by ETHYDCO, The Egyptian Ethylene and Derivatives Co. under the investment law # 8/1997 of Egypt. This will be the largest polyethylene plant in Egypt.

Toyo and ENPPI, based on the PE technology of Univation Technologies (Houston;, will execute the EPC and commissioning under a lump-sum turnkey contract. Toyo will lead the entire project execution, undertaking project management, basic engineering, and procurement of key equipment. ENPPI will be in charge of joint project management, a part of basic engineering, detailed engineering and procurement of other equipment and materials. Both companies will execute the construction and commissioning in collaboration with PETROJET, an Egyptian construction company as a subcontractor. The contract amount is approximately $400 million and the plant is scheduled for start-up in early 2015.

This award becomes Toyo’s 21st polyethylene plant project worldwide and the sixth project in Egypt in succession to Ethydco’s 460,000-ton/yr ethylene plant and 20,000-ton/yr butadiene-extraction plant, which are under project execution by Toyo jointly with ENPPI. Reflecting growing demand for petrochemical products under economic growth in the country, the Egyptian Government announced its 20-year Petrochemicals Master Plan to develop the Petrochemicals Industry in 2001 under the sponsorship and supervision of the Egyptian Petrochemicals Holding Co. (Echem). Hence, this project is to be executed as a part of the national Petrochemicals Master Plan. Toyo, through this project, will contribute to the development of the petrochemical industries in the country.



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