Summary of Proposed Investment
Project Number
7044
Company Name
Egyptian Cement Company S.A.E.
Date SPI Disclosed
Feb 26, 1997
Country
Egypt, Arab Republic of
Industry
Manufacturing
Status
Completed
Sector
Cement
Department
Gbl Ind, Manufact, Agribus & Services
Environmental Category
B - Limited
Previous Events
Approved : Jun 18, 1997
Signed : Jul 16, 1998
Invested : Nov 23, 1998
Project Description
REVISED SUMMARY OF PROJECT INFORMATION (SPI)
Project Name Egypt-Egyptian Cement Company
Region Central Asia, Middle East and North Africa
Sector Cement and Construction Materials
Project No 007044
Projected Board Date March 31, 1997
Company Name Egyptian Cement Company
Description
Building and operating a 2.7 million tons per annum greenfield cement plant 93 km south-east of Cairo on the Quattamia Soukhna road.
Technical Partner and/or Major Shareholders
The project will be wholly owned by Egyptian Cement Company (ECC), a Egyptian company which has been set up to construct and operate the plant. ECC''s major shareholders are Orascom for Investment and Development of Egypt (40.5%), Holderbank Management and Consulting of Switzerland (20%), Suez Cement Company of Egypt (8%) and Commercial International Investment Company of Egypt (8%)(an affiliate of Commercial International Bank).
Project Cost Including proposed IFC investment
The total project cost is estimated at about US$340.0 million. IFC''s proposed investment will consist of an A Loan of.US$25 million; an equity investment of US$10 million; and if necessary, a B Loan of US$25 million.
Location of project and Description of site
The project will be built on a 1 million square meter (100 hectare) site, which has already been acquired from the Governorate of Suez, on the El Quatamia - Ein Soukhna road about 93 km from Cairo. The plant will be located in a desert area, 2.5 km from the main road.
Description of Company and Purpose of Project
ECC is a company which has been established under Egyptian Law 230 for the purpose of undertaking this project. The project will consist of the development of a greenfield cement plant with an annual capacity of 2.7 million tons. IFC will play a major developmental role by providing financing to build the first fully private sector owned cement project in Egypt. IFC''s association with the project has also led to a project design which complies with international environmental standards. This is particularly important
since the existing cement plants in Egypt have high levels of dust emissions.
Environmental Category and Issues
This is an environmental review category B project; principal issues are air emissions, water supply, liquid effluents and spill prevention, solid wastes including the disposal of alkali by-pass dust, transportation safety, land use, quarry development and reclamation, fire prevention and equipment safeguarding and employee protection from noise and dust. The sponsor has presented plans to address these issues and to comply with applicable governmental and World Bank requirements. The Revised Environmental Review Summary is available from the Public Information Center.
Date SPI sent to PIC
Revised
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 676-0365
Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).
Sponsor / Cost / Location
Related ESRS/ERS
