Business & Industry

May 1, 2016

ENVIRONMENTAL COMMITMENT

The chemical industry in Egypt has been facilitated in its development by the country's strong oil industry sector which is able to provide raw materials, feedstocks and manufacturing infrastructure. Key chemical industry sectors include fertilisers, petrochemicals, polymers and other chemical products.

Egypt consumes approximately seven million tonnes of nitrogenous and phosphate fertilisers per year. Due to its extensive fertiliser production capabilities, the country is largely self-sufficient in this area.

The country has five main fertiliser plants which use hydrocarbon feedstocks to produce fertiliser intermediates and components, such as sulphuric acid, nitric acid, ammonia, urea, ammonium nitrate, and finished, blended nitrogenous fertilisers.

Egypt is carrying out a one billion dollars plan to increase the output of fertilisers from six to nine million tonnes a year. This locally funded project will enable this northern African Nation to double its export of fertilisers over the next three years.

Over the last few years, Egyptian petrochemicals industry has been expanding its range of products and its production capacity. The industry is based around the petrochemical complex at Amera, which is planned to be extended and complemented with two projects. The first is a polypropylene plant with an output capacity of 120,000 tonnes per year. Its output is expected to cover the needs of the local carpet and plastic manufacturers, and save USD$150 million on imports.

The availability of local feedstocks will integrate with local producers, such as the production of packages of the modern Technopac, which produces 4,500 ton/year of granulated polypropylene, near the city of Cairo.

The second project is an ethylene production plant with a planned capacity of 100,000 tonnes, expandable to 200,000 tonnes per year. The ethylene will satisfy downstream raw material requirements for products which are used in agriculture, irrigation, packaging and insulation of electric cables.

KIMA

The Egyptian Chemical Industries – KIMA, is an Egyptian joint stock company founded in 1956, in a decree passed by the Ministers Council, which focuses on the chemical industries, producing nitrogenous fertilizers and chemical materials.

The factories of KIMA and its residential city are established on a 1.107-acre property, approximately four kilometres south east of Aswan city. Establishing in Aswan city allows the use of the power generated by the electric station of Aswan Dam, and the possibility of exploiting its power surplus of approximately 280 MW. The complex itself consumes approximately 200 to 220 MW. The main use of energy is made in the electrolysis operations.

The environmental policy of KIMA comes from a deep and honest faith in the importance of conservation, on the elements of the environment and the importance of taking responsibility in the permanent development.

Future Vision

KIMA has presented a study for feasibility of energy reduction. The company's plan is to reduce electrical energy consumption in 150MW, for the entire industrial complex, by replacing electrical sources with natural gas.

This plan from KIMA allows to save energy, create more job opportunities (2000 new jobs) and increase fertiliser production for the Upper Nile region. Also, this action will fill the gap between demand and supply for nitrogen fertilizers. With this expansion plan, KIMA's factory will be upgraded with new technologies, in order to become nature friendly and stop the excessive pollution.

Establishing a new factory - KIMA 2 - is the next goal. The company expects to produce 1200 ton/day of ammonia, 22 000 ton/year of nitrate fertilizer and 530 000 ton/year of urea.

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