Egypt Confident It ‘Has The Keys To The Future’ Of East Med Gas

Speaking exclusively to MEES, Egypt’s oil minister Tarek El Molla, is confident that while complex geopolitics have held up development of East Med gas, Egypt’s resources and infrastructure are the key to unlocking the region’s potential.

Fresh from obtaining its own gas independence, Egypt harbors much grander ambitions than merely halting imports. It intends to become a hub for gas exports, not just from Egypt but from across the region. The government is confident that new legislation announced in July last year which gives private sector companies freedom to trade natural gas will be a game-changer.

BIG DISCOVERIES, NO MOVEMENT

The discovery of sizeable gas fields in the East Mediterranean over the past decade has periodically raised expectations of an export boom that will revitalize regional economies ( MEES, 1 November 2010 ). But efforts to monetize reserves in Cyprus and Israel have foundered amidst the region’s complex geopolitical scene. Cyprus’ dispute with Turkey cuts out its most obvious route to market, while Israel’s relations with its neighbors (Cyprus excluded) are fraught at best ( MEES, 27 April ). (CONTINUED - 1533 WORDS)

DATA INSIDE THIS ARTICLE

chart 1: Zohr Production Profile: Increased 3.2bn Cfd Plateau Reduces Field Lifespan By Four Years
chart 2: Egypt Gas Output At Record 6.5bn Cfd In September Following Zohr Start-Up, Consumption Also A Record In August (Bn Cfd)