Features / In Focus
Uncovering Egypt’s Shadowy Permits Process
Initiating oil and gas exploration projects demands close compliance with governmental authorities, particularly the military. Holding companies under the Ministry of Petroleum award blocks in bid rounds to the most competitive bidder so that eventually, commercial development can take place in that concession area. But an extensive sequence of permits and approvals must be obtained between these two points before the IOC can begin its work. Uncertainty Amid Egypt’s Mounting Debt to IOCs
Since the toppling of Mubarak, Egypt's energy sector has been in a perpetual state of disarray. The sector has suffered from declining production, pipeline attacks, an unsustainable subsidy system, and mounting debt. The current transitional government faces the daunting task of restoring the sector. One of the biggest hurdles is the government's USD 6.2 billion debt to IOCs. Company executives have repeatedly echoed their concerns to Egypt Oil & Gas over delayed payments. In this article experts and academics give their insight and opinions on the significance and impact of the arrears. Insurgency in Sinai and Suez: Threats to the Oil and Gas Sector?
Since the ouster of Morsi much of Egypt has been in a state of fluctuation. In the realm of oil and gas, the past summer has witnessed a few signs of concern. In July a consortium of Indian companies declined to sign a production sharing agreement for previously awarded concession blocks. Unconventional Gas Beyond the US: Emerging Players in Shale Exploration and Development
Technological developments in the US have recently opened access to unconventional forms of natural gas. Types of unconventional gas include shale gas, tight sands, and coalbed methane. Shale gas is currently the most discussed unconventional gas as it has been credited as revolutionizing the energy sector in the US. Through the combined use of horizontal drilling technologies and hydraulic fracturing, Mitchell Energy was able to extract shale gas at an economically viable rate in 1998. Uncertainty, Instability and Political Progress?
Egypt's unrest will undoubtedly affect the country's oil and gas sector. The publicly supported military overthrow of former President Morsi left the country in a state of political uncertainty characterized by internal power struggles, civil unrest, and localized violence. The rapid deterioration of political stability in Egypt inevitably flows over into the country's oil and gas sector. Egypt Oil & Gas spoke to experts, analysts, and operators to assess the current and potential future impacts that Egypt's unrest may have on the oil and gas sector. Egypt’s Impending Subsidy Crisis
Since the revolution, Egypt's economy has been in a state of deterioration evinced by an increasing deficit, dwindling foreign reserves, and rising inflation. Economic reform, specifically the proposed removal of energy subsidies, continues to be a contentious issue particularly when juxtaposed against current energy shortages and increasing domestic consumption. Many argue that the removal of subsidies would have catastrophic consequences for the poorer strata of Egyptian society but others are demanding reform claiming that Egypt can no longer afford the luxury of subsidization. Egypt Oil and Gas examines the issue of energy subsidies in order to assess current expenditures, attempts at reform, and the potential economic, political, and social costs of inaction. Prospects for Renewable Energy in Egypt
The consequences of Egypt's insatiable appetite for energy is becoming more pronounced. Amidst broader economic instability and reduced production rates of oil and natural gas the energy deficit is manifesting in electrical shortages throughout Cairo, Alexandria, Luxor, and Aswan. Electricity consumption in Egypt peaks during the summer months, in part due to soaring temperatures and Ramadan1. In response to recent power cuts, the state-run, National Energy Control Center issued a statement apologizing for nationwide power cuts. According to the statement, the recent blackouts stem from ''fuel shortages that have made it difficult for allocated generators to keep up with mounting consumption.'' It went on to call for citizens to conserve energy by rationing their use of electricity.. Egypts Natural Gas Dilemma: Prices, Investment, Liberalization, and Geopolitics
Ranking an impressive twelfth among global exporters in 2009, Egypt initiated natural gas production in the 1980s with a mere 30 billion cubic feet of gas to accommodate domestic consumption. These figures increased steadily over the coming years to reach 518 billion cubic feet in 1999 and 867 billion cubic feet in 2001. 
