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Egypt's imports of Israeli gas declined by 22% during the summer

April 22, 2024

Egypt's imports of Israeli natural gas declined by 22% to 900 million cubic feet per day during the summer. Due to rising temperatures and increased domestic consumption in Israel from June to September.

Egypt relies heavily on Israeli gas in order to meet part of its domestic demand, in addition to exporting the surplus in the form of liquefied gas to Europe mainly through liquefaction plants in Idku and Damietta, with production capacity reaching about 2.1 billion cubic feet per day.

Egypt began purchasing liquefied natural gas shipments in light of a rare step aimed at avoiding chronic power outages, and the government company EGAS purchased at least one shipment of liquefied natural gas for ongoing delivery to the Aqaba gasification station in Jordan.

Purchases of liquefied natural gas represented a major challenge for the country, which largely stopped importing fuel in 2018, and the discovery of the huge Zohr gas field resulted in enhancing local production in addition to transforming the country into an exporting country, and it is expected to increase pressure on the population who are already suffering from high inflation rates in addition to Due to high local fuel prices.

EGAS is negotiating to rent a "gasification ship" that converts liquefied gas into its gaseous form, and the Egyptian company's goal is to contract for a gasification ship for a period of 5 years, which can be extended, so that it will be a port for imported liquefied gas shipments.

Egypt did not have any floating natural gas stations before 2018, and it uses gas to fuel power stations and also uses it in cooling operations, and local production in Egypt is insufficient to cover the country’s gas needs during the summer.

Egypt began importing gas from Israel for the first time during 2020 in a deal amounting to $15 billion between Noble Energy and Delek Drilling on the one hand, and the Egyptian Dolphinus Holding Company on the other.