DIRECT EQUITY INVESTMENT Within the framework of its overall objectives, APICORP seeks to identify, evaluate and invest in viable businesses in petroleum and related industries. This includes upstream and downstream sectors of the oil and gas industry and embraces production, processing, refining, petrochemicals and service industries. Priority is given to business opportunities in shareholders’ countries. The Corporation selects its projects based on sound commercial and economic criteria to ensure their ability to meet their financial obligations and achieve a satisfactory return on equity, in addition to their contribution to the socio-economic development of the local and regional economies. In undertaking this role, our Projects Department collaborates closely with local, regional and international companies involved in the promotion of petroleum-related projects and aims to identify investment opportunities across the Arab region. At the end of 2005, APICORP held 12 direct equity investments totaling US$ 234.3 million in 7 Arab companies. The portfolio includes companies with issued capital ranging from less than $10 million up to $1,500 million. The operations of these companies covers a wide array of activities: drilling and related services, seismic services, extraction of LPG, storage and distribution of refined oil products, production of polypropylene, MTBE, polyethylene, ethylene glycol, aromatics, PTA, polyester, acrylic fibers, LAB, carbon black, ammonia, and urea. The Corporation has taken an active role in the formation of all of these companies and is currently represented on the Board of Directors of ten of them. This clearly reflects APICORP’s broad strategy to be a long-term investor, committed to the successful establishment of sound and profitable ventures. Extensive experience in opportunity assessment, project initiation and development, and business operations has provided us with a depth of knowledge, skill and competency in all areas required launching a successful company. This includes knowledge and understanding of the technology, product markets, and the region’s economies; economic forecasting and financial modeling; procedures for company formation and the development of feedstock supply agreements, off-take agreements, supporting project agreements and other related documentation; construction contracts and asset development. The combination of this expertise with a financing capability and a strong presence in the region enables APICORP to continue playing a leading role in the establishment of petroleum-related industries in the Arab world.     APICORP's Current Equity Investments Company Name Paid-up Capital (million) APICORP Participation Other Major Shareholders Activities Bahrain National Gas Company (BANAGAS), Bahrain BD 8 12.5% Government of Kingdom of Bahrain Caltex Trading and Transport Co., Bahrain Extraction and marketing of LPG and condensates from associated gas. Arab Drilling and Workover Company (ADWOC), Libyan Arab Jamahiriya LD 12 20% Arab Petroleum Services Co. (APSC), Libya Santa Fe, USA Drilling and related services in the Arab world. Arab Company for Detergent Chemicals (ARADET), Iraq ID 36 32% Government of the Republic of Iraq Government of the Kingdom of Saudi Arabia Government of the State of Kuwait Arab Mining Company, Jordan The Arab Investment Company, Saudi Arabia Production and marketing of linear alkyl benzene (LAB). A sodium tripolyphosphate (STTP) project is under implementation. Tankage Mediterranee (TANKMED), Tunisia TD 12 20% Societe Tuniso Seoudienne d'Investissement et de Dveloppement (STUSID) Banque Tunisio Koweitienne de Developpement (BKTD) I'Enterprise Tunisienne d'Activities Petrolieres (ETAP) Storing, trans-shipping and handling petroleum and petrochemical products at La Skhirra terminal. Arab Geophysical Exploration Services Company (AGESCO), Libyan Arab Jamahirya LD 4 10% Arab Petroleum Services Co., (APSC) Halliburton Petroleum Services, USA National Oil Co., Libyan Arab Jamahiriya Providing advanced seismic services in the Arab world. Saudi European Petrochemical Company (IBN ZAHR), Saudi Arabia SR 1,025 10% Saudi Basic Industries Corporation (SABIC), Saudi Arabia Ecofuel, Italy Fortum Oy, Finland Production of gasoline octane booster (MTBE) and polypropylene. Jordan Phosphate Mining Company (JPMC), Jordan JD 75 0.76% Government of the Kingdom of Jordan Government of the State of Kuwait Arab Mining Company, Jordan Islamic Development Bank, Saudi Arabia, and others Mining phosphate rock, production and marketing of chemical fertiliser compounds. Alexandria Carbon Black Company (ACBC), Egypt LE 99.5 12% Indian Industrial Investment Group (BIRLA), India Transport and Engineering Company (El Nesser Tire Co.), Egypt Pirelli Tire Company, Italy Alexandria Tire Company, Egypt Al-Nasr Coke Company, Egypt Saudi-Egyptian Industrial Investment Company, Egypt International Finance Corporation (IFC), USA Continental Carbon Company, USA Production and marketing of carbon black The Arab Company of Industrial Fibers (IBN RUSHD), Saudi Arabia SR 3,550 8.28% Saudi Basic Industries Corporation (SABIC), Saudi Arabia Gulf Investment Corporation (GIC), Kuwait Saudi Pharmaceuticals Company (SAFCO), Saudi Arabia, and others Production of aromatics, PTA and polyster chips and fibers Oriental Petrochemicals Company (OPC), Egypt LE 120 14% Oriental Weavers Group, Egypt Arab International Investments Co., Libya National Bank of Egypt (Al-Ahli Bank), Egypt Egyptian Petrochemicals Co., Egypt Misr Insurance Co., Egypt Orient Insurance Co., (AlSharq), Egypt, and others Production and marketing of polypropylene Alexandria Acrylic Fiber Company (AFCO), Egypt LE 150 10% Aditya Birla Group, India Sidikrier Petrochemical Co., Egypt Alexandria Carbon Black Co., Egypt The Saudi Egyptian Industrial Investment Co., Egypt Production and marketing of poly acrylic fibers Yanbu National Petrochemical Company (YANSAB), Saudi Arabia US$ 1500 1.57% Saudi Basic Industries Corporation (SABIC), Saudi Arabia Gulf Investment Corporation (GIC), Kuwait Saudi Pharmaceuticals Company (SAFCO), Saudi Arabia, and others Production of Ethylene, Propylene, Ethylene Glycol, Linear Low Density Polyethylene (LLDPE), High Density Polyethylene (HDPE), Polypropylene, Butene-1 and Butane-2, Benzene, Xylene, MTBE, Toluene and Xylene Mixture