EGAS notified energy intensive factories that they will reduce gas supply by 15% from the contracted quantity due to the current low pressure of gas in the National Grid, reported Al-Borsa.
An EGAS official explained that the full natural gas needs of the industrial sector would be re-pumped of by the middle of this month, after the pressure in the network returned back to normal.
He added that Egypt’s total gas production amounted to 4.15bcf/d and supplied another 850mcf from imports to bridge the gap between domestic production and consumption.
A source at AlexFert (Alexandria Fertilizers) confirmed receiving this notification for a 15% reduction in supply, commenting that his company will reduce production in two phases, until it reaches 85% of its operating capacity.
A source at Helwan Fertilizers Company (HFC) expressions fears of a new crisis in the natural gas supply, to the detriment of factory production rates.
He added that the company had not been compensated for the losses incurred due to stalled production over the previous period when gas was transferred from factories to power plants.
He said that HFC had suffered heavy losses last year thanks to this, especially after the cessation of gas for more than 40 consecutive days.
President Abdel Fatah el Sisi announced at the beginning of November that shortages in supply faced by factories will end by the end of the month. A statement that was shortly followed by EGAS confirming to Egypt Oil & Gas a decision to pump 700 mcf of gas to factories that are suffering from gas shortages.