Egypt Hydrocarbon Company

SEDCO Holding has invested in the Egypt Hydrocarbon Company (EHC), which has an ammonium nitrate plant currently under construction in the industrial zone at Ain Sokhna, inland and west of the Gulf of Suez.

Ammonium nitrate is a petrochemical derivative used in commercial mining; and EHC will supply mining companies across Africa, Europe, and Asia with the product. The location of the plant, with convenient access to Mediterranean and Red Sea shipping, creates a significant cost advantage by reducing the freight overheads that are a major component of product export pricing.

By 2016, 200,000m2 of production facilities had been completed on a 500,000m² site, with the plant moving to the commissioning stage. Trail tests have seen the plant achieve full specifications at 100% capacity.

Once fully operational, the EHC plant is expected to have an annual production capacity of 386,000 tons of mining-grade ammonium nitrate.

On commissioning, the plant will operate 24/7, with inspection and maintenance shutdowns scheduled every two years. The major components of the plant have been designed with an operational life of over 30 years. An administration building has been designed to accommodate skilled manpower on-site to monitor the plant.