Egyps2018 day1

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Official Publication

SHOW DAILY DAY ONE

Monday 12 February

EGYPT'S MINISTRY OF PETROLEUM AND MINERAL RESOURCES:

A YEAR OF STRIKING SUCCESS Covering local market needs and securing fuel supply for electricity and industry sectors are Egypt’s Ministry of Petroleum and Mineral Resources’ north when it comes to purchasing a modernized oil and gas industry. Under the Ministry’s Modernization Program, an integrated strategy to transform Egypt into a regional energy hub, the country has witnessed major achievements throughout 2017, which pushed ahead the oil and gas sector’s activities into wider horizons, taking into consideration all the industry’s requirements.

In order to manage licensing and distribution, the law established a Natural Gas Regulatory Authority, which further grants autonomy to the gas market and opens the way for eventual imports of natural gas by private companies. The legislation represents a bold move to encourage private investment and participation, as the measure allows private companies to ship, transport, store, market, and trade natural gas through Egypt’s pipelines and additional infrastructure.

New Natural Gas Market Regulating Law

Repayment of Arrears for IOCs

The issue of a new natural gas market law to regulate Egypt’s natural gas sector is a milestone achieved by the petroleum industry on its attempt to promote the liberalization of the market and attract investments. Signed by President Abdel Fattah El Sisi in August 2017, the new legislation enables any operating company to apply for a license to distribute natural gas.

Its commitment to promote a sustainable investment environment further led the ministry to pay a significant amount of arrears to international oil companies (IOCs) in 2017. After the payment, the country reduced its obligations with IOCs to around $2.4 billion in June, its lowest level since 2013. Continued in page 3

EGYPT'S MINISTRY OF PETROLEUM AND MINERAL RESOURCES SUMMARY OF SUCCESSES REPAYMENT OF ARREARS FOR IOCS, REDUCING THE MINISTRY’S OBLIGATIONS TO ITS LOWEST LEVEL SINCE 2013.

ISSUE OF A NEW NATURAL GAS MARKET REGULATING LAW.

PRELIMINARY GAS PRODUCTION FROM THE FIRST PHASE OF ZOHR.

83

FIRST GAS PRODUCTION FROM TAURUS AND LIBRA.

TWO PROJECTS TO COLLECT GEOPHYSICAL DATA IN THE RED SEA AND UPPER EGYPT.

CONCLUSION OF FIRST PHASE OF MIDDLE EAST OIL REFINERY (MIDOR) EXPANSION.

EXPERIMENTAL OPERATIONS AT ATOLL GAS FIELD.

E&P AGREEMENTS, WITH MINIMUM INVESTMENTS OF $15.5 BILLION.

580,000

HOUSEHOLDS CONNECTED TO THE NATIONAL GRID.

EXPANSION OF STORAGE CAPACITY.

Supplying pipes and related services to major offshore projects in the Mediterranean, including Zohr.

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