Sidi Kerir Petrochemicals Company (SIDPEC) has announced the formation of a consortium aimed at importing US shale gas to Egypt. This initiative is part of a strategic response to address the country's dwindling natural gas supplies and persistent power cuts.
SIDPEC will hold a 25% stake in the $663-million consortium, which is set to be established later this year. The consortium's financial structure will see 40% of the funding sourced from shareholders within the group, while the remaining 60% will be secured through bank loans.
The consortium will consist of several key players in the petrochemical and construction sectors:
The initiative reflects Egypt's urgent need for natural gas imports, with estimates indicating that the country requires approximately $1.18 billion worth of natural gas to alleviate its ongoing power supply issues. The consortium's efforts are expected to significantly enhance Egypt's energy security and provide a reliable solution to its current energy challenges.
As the consortium prepares for its official establishment, stakeholders remain optimistic about the positive impact this initiative will have on Egypt's energy landscape and overall economic stability.
