THIS EVENING: Fertilizer companies cease production due to disrupted gas supply

Good afternoon, folks, and happy almost-Thursday. We are excited for the weekend coming around the corner for a chance to escape the heat.

THE BIG STORY TODAY

Fertilizer companies halt production amid gas supply disruptions: Pressure fluctuations in the natural gas pipeline network have forced several companies in the fertilizer and petrochemical sector to suspend production until the gas flow stabilizes. Sidi Kerir Petrochemicals (Sidpec), Misr Fertilizers Production Company (Mopco), Abu Qir Fertilizers, Egyptian Chemical Industries (Kima), and EgyFert were among the companies impacted, the EGX-listed companies said in separate disclosures to the bourse today.

ICYMI: The Oil Ministry reportedly reduced the natural gas supplies to energy-intensive fertilizer companies by 20-30% earlier this week. The cut supplies were set to be redirected to feed power plants during a time of heightened demand.

Gov’t to ramp up LNG shipments to address the supply gap: The government plans to import between 15-18 shipments of LNG to cover the electricity needs of the industrial sector and households, a government source told Enterprise without providing a timeframe for the shipments’ arrival.

THE BIG STORY ABROAD

Indian Prime Minister Modi’s victory at the polls is a net loss for his party. Early projections of the election results put Narendra Modi far ahead of the competition, expecting the PM to serve for a third five-year term. But poll results had a different story to tell, showing the PM’s Hindu-nationalist, right-wing party losing their supermajority for the first time in a decade. Instead of the 400 parliament seats Modi expected to secure, the party only kept 240 — 32 seats shy of a parliamentary majority. Opposition parties occupy 235 seats, and an ally for Modi secured 52. Political commentators in India are breathing a sigh of relief, hoping that this “[prick] in the bubble of Modi’s authority” will halt the party’s unchecked domination. (CNN | Reuters)

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

• A new 44-k seat home stadium for Al Ahly will anchor a world-class city in Sheikh Zayed that is being brought together by a consortium of more than a dozen international and Egyptian companies under the name of Al Qalaa Al Hamra Co. and exclusively advised by our friends at Beltone Investment Banking.
• FX reserves blow past pre-pandemic levels: Net foreign reserves increased by a little over USD 5 bn in May, up from USD 41.1 bn in April, and hitting a record USD 46.1 bn.
• Business activity inches closer to growth: Egypt’s non-oil private sector activity picked up to its highest level in almost three years in May, with cooling inflation and growing confidence pushing it to the verge of growth.

☀️ TOMORROW’S WEATHER- The mercury is peaking at a high of 42°C and dipping to a low of 29°C, according to our favorite weather app.