USD3.7b finance secured for Egypt oil refinery 

(MENAFN) A group of investors, led by Citadel Capital and Qatar Petroleum (QP) won a USD3.7 billion financing for an oil refinery project in Egypt, Reuters reported.

Egypt Refining Company (ERC), the refinery operator, said that the cash, put together by private equity firm Citadel, includes a USD1.1 billion equity investment and is backed by a USD2.6 billion debt package.

ERC also said that the refinery will generate USD300 million in direct benefits for the government and create jobs. It is set to start operating in 2016.

The project, which also involves the Egyptian government, will have the output capacity of more than 4.1 million tonnes of refined products and oil derivatives annually, including more than 2.3 million tonnes of Euro V diesel per year, which will help halving Egyptian diesel imports.

Egypt's military rulers have sought to hike diesel imports as fuel shortages in central Cairo this year have caused long queues at petrol stations and traffic jams in some main thoroughfares, angering the public.