Egypt’s state-owned Middle East Oil Refinery Company (Midor)`s chairperson and CEO, Mohamed Abdel Aziz, has signed a $1.7bn contract with the chairperson of Technip Marco Villa, an Italian project for its management and construction, to maximise the production of the central petroleum products, according to a press statement by the Ministry of Petroleum.
The expansion project of Midor aims to increase its refining capacity from 115,000 barrels to 175,000 barrels per day.
The contract is worth about $1.7bn of the total project cost of about $2.2bn, and includes construction, supplies, and engineering designs.
Noteworthy, the ENPPI and Petrojet petroleum companies will also participate in the Midor refinery expansion project.
The project will increase the design capacity of the refinery by 60%, as it will increase the quantities of the current production of LNG by about 145,000 tonnes per year.
In addition to that it will increase the production of gasoline 95 by about 600,000 tonnes per year and increase the production of solar fuel by about 1m tones annually.
Meanwhile, it will increase the production of jet fuel by 1.3m tonnes per year.
Earlier, Egypt’s Minister of Petroleum Tarek El Molla declared that the oil sector’s 2018 plan includes the competition of the second phase of the expansion project of the Midor refinery in Alexandria, in order to increase the production capacity of the plant from the petroleum products.
Previously in 2017, the chairperson of Technip, looked into the expansions of Midor and the project to establish a new complex for fuel oil hydrogenic cracking in Assuit petroleum refiner, estimating the total investments of the project at $3.7bn.