Egypt Touts $33bn Gas Investment, But Receivables Worry Remains

Egypt has secured almost $33bn in investment commitments from foreign operators for upstream gas projects set to hit full capacity between now and the end of the decade.

These 11 projects (see table 1) are slated to bring on 5.375mn cfd of new capacity between now and end-2019, Oil Minister Tarek El Molla says. But net gains will be substantially less than this headline figure, outlined by the minister in a recent interview with local publication Daily News Egypt.

Some of these projects already produce, and their production has been in decline. For example, Eni and BP’s North Port Said and Ras El Bar fields in the offshore Mediterranean have seen output fall by almost 200mn cfd between 2013 and 2015 (MEES, 3 June) – so the 275mn cfd of planned new output here may do no more than balance the decline. (CONTINUED - 1698 WORDS)

DATA INSIDE THIS ARTICLE

table 1: Egypt’s Planned 2016-2019 Gas Output Additions
table 2: Egypt Lng Import Deals
table 3: Egypt's Gas Price* ($/Mn Btu)
table 4: Egypt's Debts To Foreign Oil Companies ($Mn, End Period)