The National Bank of Egypt (NBE) and Banque Misr have started inviting banks to contribute to the long-term syndicated loan amounting to EGP 1.4 billion arranged for the East Delta Electricity Production Company (EDEPC) to finance the establishment of the Suez thermal power plant. Sources told Amwal Al Ghad that both banks have asked some banks including Piraeus Bank – Egypt, Al Watany Bank of Egypt and Banque Du Caire. Banque Misr, the mandated lead arranger, and NBE, the loan agent, will provide the finance shortly as the Ministry of Electricity and Energy asked both banks to offer such finance as soon as possible so as to solve the power shortage. The investment cost of the project is EGP 5.5 billion and will be met through loans from the African Development Bank and Islamic Development Bank as well as the syndicated loan arranged in Egypt. The loan will be used to finance the establishment of a 650-megawatt steam-power plant in Suez, as part of the Ministry of Electricity and Energy's five-year strategic plan for the period from 2012 to 2017. The steam-power plant in Suez is expected to be operated in December 2015. The Minister of Electricity and Energy signed two contracts worth EGP 1.5 billion with German, Italian and Egyptian companies who won the bid to supply and install the steam turbine, condenser and boiler of the steam-power plant project in Suez, sources said. The boiler will be powered by natural gas and heavy fuel (mazot). The Ministry works on assigning a number of Egyptian companies to establish the project so as to support the local production.
