The Minister of Petroleum and Mineral Resources, Tarek El-Molla, emphasised the need to expedite the construction of the Suez Methanol Derivatives (SMD) plant at Damietta Port to meet high domestic demand, according to the cabinet statement. El-Molla stressed the significance of the project in fulfilling the objectives of the national petrochemical plan. Hisham Salim, the company's head, highlighted the project's aim to produce specialised petrochemicals, showcasing an integrated model involving public and private sectors. The project's stakeholders include the Egyptian Holding Company for Petrochemicals (46 per cent), the National Investment Bank (26 per cent), Egypt Insurance Company (6 per cent), Egypt Life Insurance Company (4 per cent), Egyptian Arab Land Bank (3 per cent), Nasser Social Bank (3 per cent), and public subscription (12 per cent). Moreover, the plant targets annual production of formaldehyde derivatives, utilising inputs from various sources including Methanex Egypt, Mobco, and domestic and imported materials. Current production capacity stands at 140,000 tons annually, covering a range of products including liquid urea formaldehyde for fertilisers, adhesive resins for furniture and construction, and sulfonated naphthalene formaldehyde for concrete enhancement. Future capacity expansions are envisioned for specialised urea formaldehyde resins. Spanning an area of 100,000 square metres in Damietta port, the project has attracted investments totaling approximately $120 million. Despite economic challenges and raw material price hikes, the company managed to maintain project costs through value engineering and successful negotiations with stakeholders and financing entities. San Egypt Company, in alliance with Wadi El Nile Contracting Company, are the project's general contractors.
