2 days ago
Egypt agrees to buy up to 160 LNG cargoes through 2026, say sources
Egypt has reached agreements with several energy firms and trading houses to buy 150 to 160 cargoes of liquefied natural gas, as it ramps up purchases to meet power demands despite strained government finances, industry sources said.
The world's most populous Arab country has endured rolling blackouts over the past two years as natural gas supply fell short of demand. It returned to being a net importer of gas last year, buying dozens of cargoes and abandoning plans to become a supplier to Europe as domestic production tumbled.
But the cost of keeping the lights on is pressuring the resources of a government already facing a cost of living crisis, currency woes and slowing economic growth, which have forced it to seek help from the International Monetary Fund.
The LNG deals represent Egypt's largest ever import purchases and will cost it over $8bn (R143.59bn) at current prices.
Egypt's ministry of petroleum and the Egyptian Natural Gas Holding Company did not immediately respond to Reuters' request for comment.
Agreements have been reached with global energy companies and trading houses, including Saudi Aramco, Shell, Vitol, Trafigura, BGN, SOCAR, and PetroChina, the industry sources familiar with the matter told Reuters.
