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Egypt to secure natural gas supplies with three new floating storage, regasification units by July

Egypt to secure natural gas supplies with three new floating storage, regasification units by July

In televised remarks following an inspection of key energy infrastructure at Sokhna Port, Egypt’s Prime Minister Mostafa Madbouly announced that by early July, Egypt will have three Floating Storage and Regasification Units (FSRUs) operating to pump natural gas into the national grid, ensuring reliable energy supplies throughout the country.


This move is part of Egypt’s determined response to last summer’s energy shortages, when the country had only a single FSRU in operation. Since then, the government made it a priority to expand its regasification capacity to prevent similar shortages and secure energy needs for the next five years.


Prime Minister Madbouly highlighted that preparations for this effort began more than six months ago, and the project is now in its final stages. He emphasized that the decision to increase Egypt’s FSRU capacity is unrelated to the recent escalation of the Iran-Israel conflict, stressing that the planning and implementation have been ongoing for some time.


During his visit, Madbouly inspected the second FSRU, the "Energos Eskimo", which has docked in Sokhna and is being prepared to begin service at the SUMED terminal by the end of this month. Once operational, it will supply up to 750 million cubic feet of gas per day to the national grid.


A third FSRU is also being prepared at Dekheila Port in Alexandria, with operations expected to begin at the start of July. With all three vessels in place, Egypt will be able to meet peak summer demand and support industrial activity.


The Prime Minister noted the complexity and rigorous international safety requirements involved in bringing these vessels into service. He expressed his gratitude to all the teams from the petroleum sector who worked tirelessly, even forgoing their Eid holidays, to ensure the timely completion of these projects.


Madbouly underlined Egypt’s strong commitment to fulfilling its obligations to international partners and incentivizing them to boost local gas production. As a result, two new production lines from Shell and Eni will begin operating in July, including additional output from the Zohr gas field.


He clarified that while increasing LNG imports and regasification capacity is a transitional solution, Egypt aims to gradually reduce reliance on FSRUs as domestic gas production recovers and increases.



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