Egypt to receive more crude from Iraq this week

CAIRO – 30 July 2017: Egypt will receive this week the fourth crude shipment from Iraq over three days, an official source in the Egyptian General Petroleum Corporation (EGPC) said Sunday.

After receiving this shipment, the total volume of Iraqi crude sent to Egypt would reach eight million barrels, the source, who requested to remain anonymous, told Egypt Today.

Under an agreement reached in April in Baghdad, 12 million barrels of oil shipments are to be delivered to Egypt from the state oil marketing company SOMO.

Egypt received to date three Iraqi shipments with a total volume of six million barrels, each shipment carrying two million barrels, the source added.

All shipments are expected to be received before the end of 2017. The agreement, which has a 90-day grace period, is subject to renewal.

Due to a shortfall in oil and natural gas production, Egypt has been importing crude and liquefied natural gas (LNG) shipments from several sources in the past few years.

To secure market needs, Egypt imports crude from Kuwait Petroleum Corporation (KPC) under a three-year agreement to supply 1.5 million tons per year, which are refined in Egyptian refineries.

It further imports refined petroleum products from Saudi Arabia at 700,000 tons per month under a five-year agreement signed with the Saudi company Aramco in April 2016.