Czech synthetic textiles maker Pegas Nonwovens has struck a deal with a major customer allowing it to go ahead with its plans to build a new production line in Egypt, the company says.

The new production line in Egypt is expected to produce 20,000 tons of textiles a year and should be launched in the second half of 2013, according to reports.

The agreement should be signed within two weeks, Pegas says, without giving any details of the new customer. The company says the client will take nonwoven textiles from the new Egypt production line to supply its own plants in the Middle East.

On September 21, Pegas signed a contract with the production technology supplier Reifenhäuser Reicofil GmbH & Co. KG. Concurrently, PSG International a.s. was selected as the general contractor for the building works part of the project. The contract with PSG International a.s. is expected to be signed in the next few days.

“We are well aware that the historically first international investment by Pegas demands the cooperation of experienced and proven suppliers and so we have given their selection our maximum attention. Reicofil is our long-term partner and the supplier of all our currently installed production lines. We have good experience with PSG International from the construction of the production plant building built for our latest production line in the Czech Republic, which we are currently putting into operation. We believe that the selection of these two companies guarantees the successful completion of the entire investment,” says František Řezáč, member of the Board of Directors of Pegas Nonwovens SA and CEO of Pegas Nonwovens s.r.o.