Egypt: Gradual Operation of the Fifth Regasification Vessel "Energos Winter"

SadaNews - The Egyptian Ministry of Petroleum and Mineral Resources has gradually begun the operation of the fifth regasification vessel "Energos Winter" at the end of last week, with a capacity of 70 million cubic feet of gas per day, according to a government official.

The Ministry has completed the connection of the "Energos Winter" vessel at the United Gas Derivatives Company dock in Damietta Port, with a total capacity of 450 million cubic feet of gas per day for receiving and regasifying liquefied natural gas, according to the government official.

The official stated: "There is a shipment of liquefied gas that will be directed to operate the fifth regasification unit this week, and it will be utilized in case of any emergency in the natural gas supplies coming from Tel Aviv via the land pipeline."

The rental value of the fifth regasification vessel is estimated at about 3 million dollars per month, compared to approximately 5.4 million dollars for each regasification vessel currently located at Ain Sokhna, which have production capacities of 750 million cubic feet per day each, according to the official.

Currently, Egypt has three regasification vessels at Ain Sokhna Port with a total capacity of 2.25 billion cubic feet per day, in addition to a regasification unit at the Jordanian port of Aqaba with a capacity of 300 million cubic feet, within a cooperation agreement between Cairo and Amman, aside from the fifth vessel that entered service at the end of last week.

Reducing the Import Rate

Egypt received about 52 shipments of liquefied gas in the third quarter of this year, with the cost of each shipment ranging between 54 million dollars and 57 million dollars, while the price for one million thermal units ranges between 13 dollars and 14 dollars, based on a pricing formula linked to the global market, including transportation and shipping costs.

Egypt's natural gas production has increased to 4.21 billion cubic feet per day, compared to 4.1 billion in June, according to the same source.