Hoegh FSRU Arrives in Egypt

Hoegh Gallant floating storage and regasification unit (FSRU) from Norway's Hoegh LNG arrived in Egypt on the Gulf of Suez, an official at state gas board Egyptian Natural Gas Holding Company (EGAS) told Reuters Thursday.

The news agency added that the FSRU had an initial cargo of 160,000 cubic metres of LNG.

In November last year, Hoegh LNG on finalised a five year deal with EGAS to supply FSRU by the end of first quarter of 2015.

Höegh LNG had signed a Letter of Intent (LOI) with EGAS in May for the use of one of its FSRU as an LNG import terminal in the port of Ain Sokhna, located on the Red Sea's Gulf of Suez. The FSRU was scheduled to start operations in the third quarter of 2014 but was delayed. 

The arrival of the FSRU could help Egypt ease energy crisis. Cairo has been looking to purchase LNG from various sources to meet local gas demand and has signed various deal in last few months.

The government has signed LNG import deals with Algeria and with Trafigura to import LNG. Cairo has also inked LNG deals with Gazprom, Vitol and Noble Group.