Egypt begins basic design phase for Red Sea Petrochemical Complex project in Ain Sokhna
4/21/2025 2:00:00 PM
Egypt's Ministry of Petroleum and Mineral Resources announced the signing of contracts for the Egyptian-Chinese joint venture contractor to implement the basic designs for the first phase of the Red Sea Petrochemical Complex project in Ain Sokhna, Egypt.

Dr. Mostafa Madbouly, Prime Minister, witnessed the signing ceremony of a package of contracts for the Egyptian-Chinese joint venture contractor to implement the basic designs for the first phase of the Red Sea Petrochemical Complex project in Ain Sokhna. The contracts were signed between the Red Sea National Petrochemical Company, the Chinese company CNCEC, ENPPI, and Petrojet. The signing ceremony was attended by Eng. Karim Badawi, Minister of Petroleum and Mineral Resources.
The contract was signed by Eng. Mohamed El Saadawy, Executive Managing Director of the Red Sea National Petrochemical Company, Mr. Li Tijin, President of CNCEC, Eng. Wael Lotfy, Chairman and Managing Director of ENPPI, and Eng. Walid Lotfy, Chairman and Managing Director of Petrojet.
Following the signing, it was noted that the Red Sea Petrochemical Complex project in the Suez Canal Economic Zone, located 10 kilometers from Sokhna Port, aims to produce various petrochemicals through an advanced oil refinery and steam cracking units for ethylene and propylene. This comes within the framework of efforts to achieve a green transformation in the petrochemical industry, environmental sustainability, reducing the carbon footprint, and supporting energy conservation in accordance with the sustainable development strategy and Egypt's Vision 2030.
The Red Sea Petrochemical Complex project in Ain Sokhna comes as part of the Egyptian state's efforts to support major national projects in the petrochemical sector, and to strengthen partnerships with major international and local companies. This aligns with the state's drive to localize industry and increase the added value of the national economy. This, in turn, will enhance the confidence of financial institutions and investors, helping secure the necessary funding for the next phases of implementation and enhancing the chances of adhering to timetables and achieving desired goals.
It was noted that the completion of the design work aims to more accurately determine the actual cost of the project, given its close connection to securing the necessary financing and financial closure, in preparation for the start of the implementation phase in 2026 and the project's commercial operation. This achievement is the culmination of the Red Sea Company's efforts, which included receiving the project's land with a total area of 5 million square meters, contracting for the basic facilities, obtaining the approval of the Supreme Council for Energy, and contracting with the Egyptian General Petroleum Corporation and Aramco to supply crude oil, given their capabilities to efficiently manage the project's supply. Furthermore, SUMED and Sonker will be contracted to handle product trading, given their expertise in handling products to and from the project. This is in addition to what has been signed with local and global product distribution contractors, as well as benefiting from the Chinese side, given its tremendous financing and marketing capabilities for petrochemical products.
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