Egypt's Gas Output Expected to Rise by 500 Mcf/d by Year End

Egypt's gas output will likely rise by 500 million cubic feet per day by December as new fields come online, country’s oil minister said on Wednesday, reports news agency Reuters citing Al-Ahram newspaper’s website. .

The increase would bring gas production to 5.2 billion cubic feet (bcf) per day by the end of December, Al-Ahram website quoted oil minister Sherif Ismail as saying.

According to Reuters, the output figure would still be lower than the 5.4 bcf/day the ministry forecasted in February for the fiscal year that begins July 1.

Egypt is witnessing a surge in demand for natural gas as demand for power grows. The North Africa nation has resorted to cut in LNG exports to supply to the domestic market. 

Last month, state owned Egyptian Natural Gas Holding Company (EGAS) said it will sign an agreement with Gazprom and French company EDF for supply of 12 shipments of LNG this summer to meet the needs of power plants, 

Also in May,  Höegh LNG (HLNG) signed a Letter of Intent (LOI) with EGAS for the use of one of its Floating Storage and Regasification Units (FSRUs) under construction at Hyundai Heavy Industries as an LNG import terminal in the port of Ain Sokhna, located on the Red Sea's Gulf of Suez.