The National Bank of Egypt (NBE), Banque Misr, Commercial International Bank (CIB), Arab African International Bank (AAIB), National Société Générale Bank (NSGB) and Faisal Islamic Bank of Egypt submitted their offer to grant the Upper Egypt Electricity Production Company EGP 3 billion loan.
Sources said the company granted the banks an extension till the end of this February to submit their offers to finance part of the establishment cost of South Helwan Power Plant.
The power plant will operate three natural gas-run steam turbines and will be connected to the national power grid to meet the rising demand for electricity, sources added.
OPEC (Organization of the Petroleum Exporting Countries) has approved to offer US$ 50 million finance and Islamic Development Bank (IDB) also approved to offer an additional loan worth US$ 250 million to finance the power plant. The establishment cost of the South Helwan Power Plant is 13 billion.
The electricity sector is one of the vital sectors in Egypt which receives finances from banks after 2011’s revolution. The East Delta Electricity Production Company received loan worth EGP 1.6 billion from the National Bank of Egypt (NBE), Banque Misr, Piraeus Bank Egypt, Industrial Development Bank of Egypt and Faisal Islamic Bank of Egypt to finance the establishment of four productive units at the Suez thermal power plant. The company also received loan worth US$ 110 million from the National Bank for Development (NBD), Banque Misr, Egyptian Gulf Bank, Al Baraka Islamic Bank of Egypt, Bank Audi Egypt and United Bank Egypt to finance the importing of turbine spare parts, in addition to signing EGP 4.6 billion loan agreement in 2011.
