Egypt is set to continue exporting liquefied natural gas (LNG) this month as planned, Minister of Petroleum and Mineral Resource, Tarek El Molla, told Reuters on the sidelines of the ADIPEC energy conference in Abu Dhabi.
“We are still arranging and preparing for that, quantities are not yet defined,” El Molla stated.
Egypt’s LNG Mediterranean terminals have a capacity to export 12 million metric tons per year, which is a target the country aspires to achieve in 2025 to be a major LNG exporter. However, the high local demand prevented the country from exporting LNG in June.
Egypt seeks to be a regional energy hub by exporting its own gas and re-exporting Israeli gas as LNG to Europe.
However, Egypt has been facing power cuts in the summer, and its natural gas output has dropped to a three-year low.
El Molla said he expected the power cuts to ease, but did not give a firm date.
“The cause is additional demand due to the heat wave and summer times with longer summer days. I mean it’s hot you know so people consume more,” El Molla noted.
This year Egypt’s gas exports are believed to reach 7.5 million tons, with the majority destined for Europe and Turkey and the rest for Asia.