CAIRO: The ministry of petroleum has contracted with Algerian-owned company Sonatrach to buy three liquefied oil freights monthly at a total value of 500,000 cubic meters, a source at the Ministry of Petroleum told Youm7.
The monthly oil freights will be directed to electricity plants to meet the growing needs of power within the high temperatures and to avoid frequent power cuts, he said.
A senior committee of the Ministry of Petroleum along with Sonatrach officials will preview the Ain Sokhna port in the next weeks to assess its capability in receiving the oil ships, he said.
Egypt has suffered in the pasts few months from frequent power outages due to fuel shortages at power plants.
Hafez Salmawy, head of the Egyptian Electric Utility and Consumer Protection Regulatory Agency, told the Cairo Post, that the electricity deficit ranges between 1,000 and 1,500 megawatts, pointing out that gas supply and overload of consumptions are major contributors in the crisis.
Serious talks have been ongoing between Egyptian and Algerian governments in the last few weeks to provide liquefied oil freights starting this summer and lasting for five coming, he said.