Egypt: Oil And Gas Firms Look To Sisi For Improvements

Stability could help Cairo push through reforms and reduce its debt to gas producers. Receivables rose in Q1 but some IOCs look to the future with optimism.

Gas producers that are owed billions by Cairo hope the election of Abdel Fatah al-Sisi as president will improve the flow of payments.

Field Marshall Sisi swept to victory in last week’s presidential election, consolidating the rule of the army that was weakened by the Arab Spring three years ago. The political turmoil has further undermined government efforts to pay producers for the gas delivered to the domestic market, and the mountain of debt is piled high in spite of repayments late last year. According to the government, outstanding receivables currently stand at $5.9bn, a figure it seeks to reduce by dishing out $1.5bn to producers soon. (CONTINUED - 669 WORDS)