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    Ahram Online: Egypt signs deal with Norwegian firm to rent LNG import terminal

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Summary

Agreement will add over 500 milliom cubic meters for domestic consumption once unit is operational

by: Sruthi

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Press Notes

Ahram Online: Egypt signs deal with Norwegian firm to rent LNG import terminal

Egypt has signed an agreement with Norwegian Liquified Natural Gas services firm, Hoegh LNG on Monday for a Floating Storage and Regasification Unit (FSRU) which will allow Egypt to ease its energy shortages with LNG imports.

The contract entitles Egypt to rent the FSRU for a period of five years, to store and re-gasify imported LNG, providing over 500 million cubic metres of natural gas daily to the national grid, state run news agency MENA reported on Monday.

Egypt has been suffering from a mounting energy crisis as domestic production of natural gas, predominantly used in power stations, has failed to keep up with rising consumption.

The FRSU is due to start operations in Egypt's Ain Sokhna port on the Red Sea in March 2015 at the latest, according to MENA.

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