Production is expected to commence by H2 2027.

Alamein Silicon Products Company (ASP) has signed a US$140M long-term joint financing agreement to launch the first phase of its silicon metal and derivatives production complex. The project aims to process local high-quality quartz into 45ktpy of silicon metal in phase one.

Subsequent phases include the production of siloxane intermediates (60–100ktpy), a 25ktpy polysilicon plant, and downstream facilities for silicone rubber and oil.

Established under the Egyptian Petrochemicals Holding Company (ECHEM), the project was recently granted a golden licence by the Egyptian government to expedite construction and operations, with a total initial investment of US$200M for its first phase.

According to a statement by the Ministry of Petroleum and Mineral Resources, the banking consortium supporting the deal is led by Qatar National Bank Egypt, Commercial International Bank, and Banque du Caire, with the National Bank of Egypt acting as financial advisor.

The project not only reflects Egypt’s strategy to localise high-value industries but also correlates with the MENA region’s desire to develop silicon product manufacturing for export. For instance, United Solar Polysilicon (FZC) SPC’s 100ktpy polysilicon facility in Oman is scheduled to begin operations in Q1 2026.

By Project Blue’s estimate, continued robust growth in silicon metal demand with greater exposure to the energy transition will see silicon metal demand exceed that of ferrosilicon (in terms of contained silicon) as early as 2037, reaching around 6.5Mtpy versus 4.9Mtpy in 2025.