Egyptian government announces award of three new plant licences

The Egyptian Industrial Development Authority has today announced that three firms have been successful in their bids to build new cement plants, local media reports.

The licences, which will permit the construction of new integrated works with between 1.5 and 2.0Mta capacity, were awarded to El Sewedy Cement, South Valley Cement and a third firm, identified in the article as Egyptian Cement.

El Sewedy, which currently has around 2.3Mta of cement capacity, will be permitted to build a new plant in Ain Sokhna on the Gulf of Suez. South Valley will be allowed to almost double the capacity of its 2.2Mta Beni Suef facility, while the Egyptian Cement licence is for a new plant in Sohag in the south of the country.

Three other companies were in the running for licences: China’s Jushi Egypt, and domestic firms Misr Beni Suef and Royal Al Minya. Misr Beni Suef is understood to have withdrawn from the bidding just prior to the licences being awarded.