EGAS to sign for the delivery of 12 shipments of LNG this summer

Last updated: May 19, 2014 3:26 pm

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EGAS has completed the technical and financial evaluation of the offers from companies applying for the tender to supply the second gasification ship (AFP photo)

Signing the contract between EGAS and Russia’s Gazprom to import LNG will be signed in two weeks. (AFP photo) — Signing the contract between EGAS and Russia’s Gazprom to import LNG will be signed in two weeks.
(AFP photo)

By Mohamed Adel

In the next two weeks Egyptian Natural Gas Holding Company (EGAS) will sign an agreement with the Russian company Gazprom and French company EDF to supply 12 shipments of liquefied natural gas (LNG) this summer, according EGAS president Khaled Abdel Badie.

Abdel Badie said Tuesday that the legal procedures for the agreement with the two companies have been completed.

Gazprom will deliver seven shipments of LNG. As for EDF, it will deliver five shipments, each of which carrying 170,000 cubic metres of LNG.

One shipment of LNG is enough to meet the needs of Egyptian power plants for six days. These plants use an estimated 500m cubic feet of gas per day, according to Abdel Badie.

This means that 12 shipments of LNG would meet Egypt’s electricity needs for about two and a half months, starting at the beginning of September. EGAS is currently also in negotiations with the Algerian company Sonatrach regarding the supply of six shipments of gas.