LNG
The shipments, which total between 160,000 and 180,000 cubic meters of LNG, will be directed to the "Höegh Gallon" regasification vessel for delivery into the country's national gas grid.
Since April, Egypt has resumed LNG imports to meet rising domestic demand, particularly from the electricity sector, and to compensate for the shortfall caused by declining local production
Both nations are currently engaged in studies for the joint procurement of a gasification vessel to meet their import requirements.
These upcoming LNG shipments serve as a notable addition to the existing stock of LNG already received by the Egyptian Natural Gas Holding Company (EGAS).
According to a statement released by Hoegh LNG Holdings, the FSRU Hoegh Galleon is expected to be stationed in Ain Sokhna, Egypt, for approximately 19 to 20 months
The move comes as Egypt works towards increasing gas availability within the country during the second half of this year, aiming to meet the rising electricity demands
Egypt does not own facilities for liquefying natural gas, a process known as liquefaction, having previously operated a floating station in Ain Sokhna for gas imports before 2018. Egypt utilizes gas to fuel power plants as well as for cooling operations.
The official indicated that the new shipment will depart from the Idku station as part of a series of LNG shipments the government aims to export abroad before the start of the summer season.
The EU received supplies from 27 countries, with the share of LNG exceeding that of natural gas delivered through pipelines for the first time.
In an infographic published Tuesday, the IDSC said that Egypt’s liquefied natural gas exports rose 35.7 percent year-on-year in the second quarter of 2022, recording 1.9 million tons.
The figures reflect a growth as the country exported seven million tons of LNG to European markets in 2021.
The declaration of intent was signed by the Egyptian side, Tarek El-Molla, Minister of Petroleum and Mineral Resources, by the German side, Robert Habeck, German Vice-Chancellor and Federal Minister for Climate Action and Economic Affairs.
The Egyptian state supports the trend towards maximizing the use of clean energy and attaches great importance to it, he added.
The government has implemented a plan to rationalize electricity consumption in order to provide natural gas used in the stations in order to export it abroad in light of the high global prices.
He said the plant was re-opened after eight years of closure following a settlement agreement reached in December 2020 by Eni, the Egyptian General Petroleum Corporation (EGPC), the Egyptian Natural Gas Holding Company (EGAS) and Naturgy.
The deal aims at making the optimal use of Egypt's natural gas reserves by maximizing production capabilities in a way that enables EGAS to explore new opportunities to increase production.
This came in a report published Monday by the Cabinet media center including an infograph shedding light on Egypt's efforts to join the list of the biggest LNG suppliers to major markets consuming gas after it achieved self-sufficiency rates.
“This is the first LNG cargo produced by the terminal after it was shut down in 2012.” it clarified in a statement.
The company's annual report of the fiscal year 2018/2019 said that 45 gas shipments were exported during the last fiscal year.
The deal signed early last year will bring natural gas from Israeli offshore fields Tamar and Leviathan into the Egyptian gas grid.
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