The European Bank for Reconstruction and Development (EBRD) is extending a $ 72m senior loan and a $ 22mi mezzanine loan to the company.
In addition, the International Finance Corporation (IFC), a member of the World Bank Group, is providing a $70m senior loan along with a $22m mezzanine loan and mobilizing $52.5m from other investors.
Sonker will use the funding to build and operate a bulk-liquids terminal for the import and storage of gasoil, liquefied petroleum gas (LPG) in the third basin of Ain Sokhna Port on the Red Sea.
The terminal will help to dock two floating storage and regasification units and manage LNG imports to the national gas grid.
Sonker managing director Ossama Al Sharif said: "Foreseeing the growing local demand for energy, the Egyptian authorities, supported us in developing this first bulk-liquids terminal on the Red Sea, as a successful public-private partnership project.
"The Sonker Project will ensure a constant supply of energy to our burgeoning economy and will certainly transform the Red Sea area into a regional hub for trading petroleum products, not only for the Egyptian market, but also for East Africa and Europe."
Sonker already operates oil and gas storage and bunkering facilities at the Ain Sokhna Port.
Additionally, the loan is expected to support Sonker in adopting the highest standards of corporate governance and business conduct.
IFC Egypt country manager Nada Shousha said: "IFC’s financing will help create vital energyinfrastructure for Egypt at a time when the demand for power is growing.
"Our aim is to spur job creation and minimize infrastructure gaps by increasing private sector participation in the economy."
Image: The funds are expected to contribute to the energy security in Egypt. Photo: courtesy of European Bank for Reconstruction and Development.
