State-owned Delta Fertilizers is already putting EUR 60 mn to work for phase one of the company’s rehabilitation plan, which will be followed by a second phase that will total EUR 450 mn, an official from the Public Enterprises Ministry told EnterpriseAM. Work is currently underway to kick off the first phase of the total EUR 510 mn plan — up from initial USD 450 mn estimates — to restart and upgrade its factories that have been idle for more than five years, we were told.

The first phase will involve restarting ammonia and urea production, with a targeted daily production capacity of 1.2k tons of ammonia and 1.7k tons of urea.

The second phase will see Delta bring in a strategic investor to help it modernize its equipment and increase production capacity.

The company will fund the initial cost of the project from its own resources and from the sale of shares in companies under the government’s privatization program, our source told us. However, unconfirmed reports in February also claimed the upgrade would be funded through bank loans.

The original plan was to sell the company under a USD 450 mn redevelopment plan to a strategic investor, but despite interest from five local and Gulf firms, the company changed course earlier this year.

The government is also currently working to revive El Nasr Fertilizers in partnership with the private sector, our source told us. The plant is expected to produce ammonia with a production capacity of 1k tons per day. The Madbouly government also reportedly had plans to onboard private players to help Egyptian Chemical Industries fund development by 1Q 2025 in exchange for a share of the project under development, according to unconfirmed reports in 2024.

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