The Egyptian Ministry of Petroleum has modified all the concluded contracts with foreign companies to supply petroleum products and gas shipments to the country. Among the modifications is an extension of the period of repayment to three months from the date of the shipment’s arrival, instead of the previously defined 30 days, Daily News Egypt reported.
The minister, Tarek El Molla, stated that the repayment period of the shipments was increased for all companies in order to provide them with the longest possible time frame to collect the value of the petroleum products and gas shipments. The value of the fuel shipments is being repaid regularly to meet local market needs of gasoline, diesel, and fuel oil.
The average value of monthly imports of petroleum and natural gas to cover the market’s need in Egypt is estimated at $750m.
In related news, El Molla explained that the average of local monthly consumption of petroleum derivatives and natural gas is estimated at 6.5m tons, whereas 4.2m tons are supplied by local production and the remaining 2.3m tons is imported.