The 450-metre pipeline project, launched in April 2023, includes a new methanol transfer pump and monitoring systems.
The project will enable the direct and efficient delivery of up to 160 tons of methanol daily to SMD.
The initiative aligns with Egypt’s strategy to boost local petrochemical production and reduce import reliance.
The project is expected to raise annual methanol sales by 58,000 tons and generate 140,000 tons of specialized petrochemical products annually, according to Ibrahim Mekki, chairman of the Egyptian Petrochemicals Holding Company (ECHEM).
Moreover, Hisham Selim, SMD’s CEO, emphasized the project’s role in introducing the local production of specialized resins for industries such as construction and furniture.
He said half the production will serve domestic demand, while the rest is set for export, contributing to foreign currency inflows.
The pipeline project, part of a broader agreement signed in 2023, involves key players such as EMC (project leader), Johnson Matthey (technology provider), and ENPPI (project management consultant).
SMD’s full operations are expected to commence by October 2025.
“This project aligns with our commitment to support the Ministry of Petroleum’s vision of maximizing the value of Egypt’s natural gas resources and strengthening the country’s downstream industry," Methanex Egypt Managing Director Mohamed Shindy said.
"As a long-term partner in Egypt's petrochemical sector, Methanex remains dedicated to driving growth and creating new opportunities that contribute to the sector’s sustainable development," Shindy concluded.
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