Egypt Sets Price for Shale Gas

Egypt has set $5.45 per million British thermal units (mmBtu) as the price for shale gas extracted by foreign firms, news agency Reuters reported Monday.

In December, Cairo signed its first shale gas exploration agreement with Apache and Shell Egypt. 

"The shale gas agreement signed with Shell Egypt and Apache Corporation provides for a price of $5.45 per mmBtu of gas extracted," an official, who declined to be identified, told Reuters.

Under the contract, three horizontal wells in Western Sahara fields will be drilled.

"The shale gas agreement is at an experimental stage for a year while we make sure the search for shale gas is feasible," the official said.