CAIRO: State-owned Egyptian Holding Company for Natural Gas (EGAS) signed Tuesday a two-year deal with the Hong Kong-based Noble Group Company to import seven liquefied natural gas (LNG) shipments starting April.
The chairmen of EGAS and the Noble Group signed the deal in the presence of Minister of Petroleum Sherif Ismail along with top ministry officials.
“Egypt will sign the rest of supplying LNG shipments with the global companies winning contracts offered by EGAS in the coming period,” said EGAS chairman Khaled Abdel Badie in the statement.
The government is working hard to tackle the worst energy crisis that the country has faced over the past few years. Rolling power cuts in the summer have become routine since the January 25 Revolution in 2011, caused by fuel shortfalls at power plants, and increasing demand.
Egypt recently signed a deal with Algerian state-owned energy company Sonatrach to import six LNG shipments during 2015.
Also, Egypt reached an initial agreement with Russia’s Gazprom last April to import seven shipments of LNG. It is expected to complete the agreement later this month.
As the summer approaches, the government is stepping up efforts to procure energy for running power plants. The government signed a deal with Trafigura to import 33 LNG shipments during 2014-2015, added the statement.
Correction: The original article identified the signatories of the agreement as the Noble Energy Group and EGAS. The public relations company for Noble Group issued a statement Wednesday claiming it had been the signatory company with EGAS. An informed source in the Ministry of Petroleum who requested anonymity, however, told The Cairo Post Wednesday that the deal had been signed with the Noble Energy Group.
Additional reporting by Raafat Ibrahim