GS Engineering & Construction Co., South
Korea's fourth-largest builder, said Tuesday it has resumed its stalled project to build an oil refinery facility in Egypt as a group of
international banks decided to provide funding for the project.
The US$2.2 billion project has been stopped since late 2008 due to funding problems in the wake of the global financial crisis. GS Engineering won the deal in 2007 for $1.8 billion, but the costs swelled over $2.2
billion due to delayed processing.
The plant, 20 kilometers north of Cairo, will process 80,000 barrels a day when completed.
GS Engineering will complete the project by the end of 2014, it said.
The project is a joint venture between state-run Egyptian General Petroleum Corp. and Arab Refining Co., an Egyptian refinery.
Meanwhile, the state-run Export-Import Bank of Korea said it will provide $800 million in lending to the Egyptian government to help it carry out the project.