LNG oversupply? As the weather cools and so does energy demand, the country is left with a queue of LNG vessels looking to unload their supplies and get on their way. At the moment, there are three LNG tankers ready to unload but remain waiting outside the country’s import terminals, Bloomberg writes, pointing to “scheduling issues and faster-than-expected seasonal demand decline.”

The queue could get longer, with two more ships currently en route to the Red Sea terminals.

Buy, why? “The congestion arises as Egypt, which became a net importer of the fuel in 2024 and more than doubled its LNG imports this year, is struggling to correctly assess its demand and schedule deliveries,” Bloomberg reports, citing people it says are in the know.

REMEMBER- Incoming LNG shipments are set to fall by a third in the last quarter of the year, with the country expected to receive around 40 shipments in the post-peak summer period, a government source told EnterpriseAM earlier this month. But the country may not need to follow through on all these shipments, as the contracted shipments have flexible terms in the event of fluctuating local production and demand, our source told us.

ALSO- Egypt is set to receive its fifth floating storage and regasification unit (FSRU) tomorrow — the 450 mcf/d Energos Winter owned by US-based New Fortress Energy — CNN Business reports, citing an unnamed government official. The vessel will undergo preparations before moving to the United Gas Derivatives Company berth in Damietta, where it will be connected to the grid and made ready to receive cargoes starting in October, the official said.

A backup plan: The Oil Ministry aims to have four operational regasification units while keeping the fifth unit on standby in case any of the units go out of service, the official added.

ICYMI- We’re getting our very ownonshore regasification unit, which will be set up at the idle Idku liquefaction facility in partnership with Shell and Petronas. The USD 200 mn unit will begin operating in August 2027. The plant will help cut down on the cost of importing energy and will reduce the country’s reliance on leased regasification units — the cost of leasing a regasification unit exceeds USD 200 mn a year, making it more feasible to set up a permanent facility.

GOV’T HIKES GAS TRANSMISSION TARIFF-

The government has raised the tariff for transporting natural gas through the national grid, setting it at USD 0.50 per mn British thermal units (BTU), a one-third increase from 2023’s USD 0.376, a government source in the energy sector told EnterpriseAM.

REFRESHER- The transmission tariff is reviewed annually, taking into account investment costs and operating expenses.

ICYMI- The Madbouly government is looking to liberalize the natural gas market by allowing multiple suppliers to make direct sales to private-sector customers, a government source previously told EnterpriseAM. The new system would give large industrial players the option to secure their gas needs through direct contracts with suppliers if they can land better prices or terms, we were told.

TO THAT END- The country’s 12 gas distribution networks are getting restructured in a bid to adjust how gas volumes and tariffs are managed to allow more companies to enter the market, the government source told us.

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