Ecoslops has signed a LoI with Egyptian General Petroleum Corporation's subsidiary SSCO.
France-based Ecoslops, which recycles ship slops into IFO and MDO bunkers, today announced that it has signed a letter of intent (LoI) with Egyptian General Petroleum Corporation (EGPC) subsidiary SSCO to jointly examine the feasibility of creating an oil residue collection and recycling plant in the Suez Canal region.
"This agreement is a fantastic opportunity for Ecoslops to set up a unit at the heart of one of the maritime sector's main transport routes," said Vincent Favier, Chairman and CEO of Ecoslops.
"Our unique know how also guarantees Egypt and the unit's clients a long-term and traceable solution, which will ensure the best and most sustainable treatment of the slops, above and beyond the best practices required at the environmental level."
The agreement, which aligns with Egyptian authorities' framework for improving Suez Canal services, is intended to identify slops collection and recovery services that could be implemented for use by passing ships.
Following the feasibility study, the partners intend to invest in a joint venture, with Ecoslops as a major shareholder and responsible for overseeing project management.
Vincent Favier, Chairman and CEO, Ecoslops
This agreement is a fantastic opportunity for Ecoslops to set up a unit at the heart of one of the maritime sector's main transport routes
"More than 17,000 vessels travel through the Suez Canal annually. This amounts to ten per cent of the world's maritime traffic, and with the extension of the Suez Canal in 2015, this number will rise again," said Favier.
"The agreement with Egypt must be capable of addressing the currently unmet needs of ship-owners, which will further improve the attractiveness of the Suez Canal as a global transport route."
Ecoslops began operations at the end if 2015 from a refinery in Portugal.
Suez is not the only new location the company is eyeing; in September, Ship & Bunker reported that Ecoslops the company had signed a memorandum of understanding (MoU) with Total S.A. (Total), which would see the two companies partner to develop a new processing unit in La Mède, near Marseille.