Madbouly: MoPMR to Settle 20%-25% Arrears in a Week

Madbouly: MoPMR to Settle 20%-25% Arrears in a Week

Prime Minister Mostafa Madbouly instructed Minister of Petroleum and Mineral Resources Tarek El Molla and Minister of Finance Mohamed Maait to begin paying 20% to 25% of the Ministry of Petroleum and Mineral Resources’ (MoPMR) arrears starting next week, with the late amount being scheduled over a period of time in agreement with foreign partners.

Madbouly’s words came during important television statements at the conclusion of his tour of several projects in Beheira and Alexandria governorates.

The prime minister explained that Egypt’s oil and natural gas consumption, in order to meet the needs of a country with 106 million citizens, is estimated at about $55 billion annually, and this is what the state has borne during the past year. Egypt was able to secure $33 billion of that bill from Egyptian soil, through its petroleum products, which also constitutes a cost but is paid in pounds, not dollars.

Yet, the amount remaining is $22 billion are an invoice for two things: the first matter is the dues of the foreign partner who holds the concession and exploration rights in the Zohr field and other projects, and these are dues that must be paid; and the second matter is the products that are imported.

Egypt has developed a clear plan to reach an equilibrium stage by the end of the year 2025 in a gradual manner, so that it can return once again to equilibrium in the prices of petroleum products, but even after the year 2025, diesel will remain subsidized and not at its real price. However, other petroleum products will compensate for the difference, Madbouly noted.

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Sarah Samir 3501 Posts

Sarah has been writing in the oil and gas field for 8 years. She has a Bachelor Degree in English Literature. She has three years of experience in the banking sector.


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