Egypt plans to buy at least 15 LNG cargoes to meet summer energy demand

Egypt plans to issue a buy tender for 15-20 cargoes of liquefied natural gas (LNG) to meet heavy summer demand that has led to rolling blackouts and the temporary closures of chemical and fertilizer plants- heavy users of natural gas, Reuters reports citing four industry sources.

The Arab world’s most populous country has reverted to being a net importer of natural gas, after being an exporter for the last several years.

Egypt has not imported LNG since 2018. In 2023, Egypt’s total natural gas production reportedly fell to its lowest level since 2017.

Supplies of natural gas to help generate electricity have been declining as the country’s growing population and accelerating urban development is causing energy demand to rise, with summer demand for cooling causing a seasonal spike.

Rolling power outages began in Egypt last summer, shocking Egyptians who had become accustomed to years of reliable power supplies under President Abdel Fattah al-Sisi.