Apache joint-venture makes new Egypt oil find
Khalda Petroleum Company, which operates concessions in Egypt for US Apache Corp, has made a new oil find in the South Umbarka concession in Egypt s Western Desert, the Oil Ministry said on Wednesday.
Khalda Petroleum is a joint-venture between Apache and the state-controlled Egyptian General Petroleum Corporation.
The discovery, Phiops-5, produces 8,350 barrels of high quality oil per day, a ministry statement said.
Oil and gas exploration company Apache is the largest producer of liquid hydrocarbons and natural gas in Egypt s Western Desert. -Reuters
Egypt s Ezz Steel says Q1 net profit down 85 pct
Ezz Steel, Egypt s largest steel producer, said on Thursday its first-quarter net profit fell 85 percent on the back of declining steel prices and a challenging export market.
The company said it made a net profit of LE 66 million ($11.8 million) in the period as net sales dropped 33 percent to LE 3.4 billion.
Although the financial performance has been heavily impacted by the fall in steel prices and the weakness of the export markets we continued to enjoy sustained demand on our steel products in the domestic market, Paul Chekaiban, Managing Director of Ezz Steel said in a statement.
Long steel products accounted for 81 percent of sales as flat steel markets slowed, the company said.
Flat steel volumes plunged to 209,000 tons in the quarter from 503,000 tons a year ago as the Ezz Flat Steel production facility shut down.
The facility is expected to remain shut for the second quarter of 2009.
Ezz Steel said it remained optimistic about demand for long steel products in the Egyptian market.
Long product demand is expected to remain on track for the rest of 2009 owing to the resilience of the private housing market and real estate projects and the impetus from the infrastructure schemes, the company said.
Ezz Steel had said on Monday it expected demand for rebars in the second half of 2009 to be 3.3 million tons, down from 3.9 million tons in the first half of the year.
The company also forecast its total production for the year would remain steady at 5.3 million tons.
Spain grants Egypt ?10 mln for transportation projects
Egypt s Minister of Transport Mohamed Mansour said that Spanish government approved to grant Egypt LE 80 million (?10 million) to finance feasibility study preparation in transportation sector which aims at improving railways, roads, bridges and ports in Egypt.
Spanish state minister for trade expressed her readiness to provide necessary financial support under Egyptian-Spanish financial protocol estimated by ?200 million, once the Ministry of Transport submits infrastructure projects. -IntelliNews
Algeria signs deal with Egypt, Italy to set up GK3 pipeline
Algeria s state energy firm Sonatrach has signed a deal with Italy s oilfield services company Saipem and Egypt s Petrojet to set up GK3 gas pipeline in Algeria.
Algerian Energy and Mines Minister Chakib Khelil stressed the importance of the deal, worth about $1.5 billion, saying it is one of the important achievements that would promote the activities of Sonatrach company at the national and international levels.
Under the deal, the two companies will set up the pipeline in 26 months, to be up and running by 2012 and 2013, Sonatrach said in a statement.
The pipeline will transport nearly 15 billion cubic meters of natural gas annually, Sonatrach added.
Algeria has already two pipelines, GK1 and GK2 from Hassi R Mel to Skikda. The GK3 pipeline will link the Hassi R Mel oil and gas distribution hub in central Algeria to sites in the north of the country. -MENA
ERC plans $2.3 bln refinery
The Egyptian Refining Company (ERC) is planning to obtain $2.3 billion from international banks and institutions to finance a new refinery in Mostorod, Cairo.
Construction of the new facility is due to start during the first quarter of 2010 and will begin operations by the second quarter of 2014.
Investment cost is estimated to hit $3.4 billion, including debts.
Eight international institutions will participate in financing the company s initiative, including the European Investment Bank with a guarantee facility of $550 million, making up 24 percent of the total value of the loan.
Other participants include Japan Bank for International Cooperation, with a loan of $540 million, Export & Import Bank of Korea with $500 million, and the Islamic Bank for Development with $100 million. -Noozz
Bank to invest $500 mln in Egypt
The Arab International Bank has dedicated $500 million for direct investments in Egypt. The new investments will target several sectors such as tourism, electricity, gas, petrol, fertilizer, cement, and infrastructural facilities through expansion or restructuring schemes. -Al-Alam Al-Youm
Cairo to host conference on nuclear power plants in Africa
Egypt will host next week a conference and two regional meetings on the future of nuclear power plants in Africa with the participation of a large number of leaderships and energy experts and professors from Egypt and the various Arab states.
Minister of Electricity and Energy Hassan Younes said Thursday the conference will probe the future of energy in Africa and future plans on nuclear power and relevant projects in the continent.
Two coordination meetings will be held to tackle planning capabilities of sustainable energy development in coordination with the International Atomic Energy Agency (IAEA), he added. -MENA
Steel demand weakens
The Chamber of Metallurgical Industries announced that steel market has been suffering from weak demand given the huge imports during the past four months, as the imported amount reached 650,000 ton.
The chamber s head announced that this situation pushed 10 steel factories of total 20 companies to stop work. On the other hand, Egyptian Customs Authority asserted that there were 367,000 ton of steel imported April 25 to May 25.
Al Ezz Steel Company accounted for 9 percent of the total imported quantity.
In addition, cement imports has reached 34,000 ton in the same period. -Al-Mal
