Egypt to Get Five LNG Cargoes from Algeria

Algeria has agreed to deliver to Egypt five LNG cargoes of 145,000 cubic metres each before the end of the year, a source at Algerian state energy company Sonatrach told news agency Reuters earlier this week.

Although no agreement had been reached regarding the price, the source said the deal was almost done.

The announcement was made after a visit by President Abdel Fattah al-Sisi to Algiers on Wednesday, Reuters said.

Gas production in Egypt has been declining over the years amid steadily rising demand. Many new gas projects in the country have been stalled as the government has found it difficult to pay foreign companies.

Egypt has been looking to source gas from various sources. Last month, state owned Egyptian Natural Gas Holding Company (EGAS) said it will sign an agreement with Gazprom and French company EDF for supply of 12 shipments of LNG this summer to meet the needs of power plants, 

Also in May, Höegh LNG (HLNG) signed a Letter of Intent (LOI) with EGAS for the use of one of its Floating Storage and Regasification Units (FSRUs) under construction at Hyundai Heavy Industries as an LNG import terminal in the port of Ain Sokhna, located on the Red Sea's Gulf of Suez.