Egypt signed an agreement to buy petroleum products from Kuwait with no discounts or grants. According to the agreement Egypt should pay in cash, reported the Middle East Monitor.
The amounts of petroleum products requested by Egypt are not confirmed yet, however, Egypt showed readiness to fulfill all the monthly requirements as per the agreement, informed Alrai.
Kuwaiti sources stated: “recent agreement was not submitted to the Kuwaiti cabinet. What will determine the size of the Egyptian requirements will be the parameters of the price agreed upon as well as Egypt’s ability to pay.”
This comes as the two countries are negotiating an agreement to refine Kuwaiti petroleum in Egyptian, as Kuwait aims to increase oil production to 4mb/d by the start of 2020.
In August, Egypt Oil&Gas reported that the crude oil imports from Kuwait had decreased from 3mb/month to 2mb/month. The payment for the imported crude stretched over nine month. The exact price was not specified in the contract as Egypt follows global oil price scheme of Brent crude.