Egypt’s state gas company EGAS is racing against time to secure urgent LNG shipments as the country braces for potential power cuts this summer. Saudi Aramco, UAE’s Adnoc, Algeria’s Sonatrach, and QatarEnergy have submitted bids under Egypt’s strict price cap of $14/mn British thermal units.
The desperate search comes after Egypt suffered extended blackouts last summer due to insufficient gas supplies. Officials revealed that Egypt will bear an additional cost of around $2 per MMBtu over the spot price to secure these emergency shipments.
With domestic production plummeting to 4.1bn cubic feet daily against consumption of 6.2bn cubic feet—expected to surge to 7bn during summer months—Egypt has already inked a $3bn deal with Shell and TotalEnergies for 60 LNG shipments in 2025, with an unusual one-year deferred payment plan reflecting the country’s financial strain.
Source: intellinews.com
