Regulations of Egypt's new Gas Law expected 'in weeks'

CAIRO - 18 December 2017: The executive regulations of the new Gas Market Law will be issued 'in weeks', Minister of Petroleum Tarek El-Molla said Monday during the first Al-Ahram Energy Conference.

Appointments in the executive board of the Natural Gas Market Regulatory Authority, which will be established under the law, is currently being finalized, El-Molla added.

With regards to exporting gas produced from giant offshore field on the Mediterranean, Zohr, El-Molla said Egypt can allow foreign oil companies working on gas projects to export their production share after five years, in case the domestic market does not need it.

"Egypt will keep buying shares off oreign partners in Zohr field because the market needs it," the minister added.

The Parliament ratified the Gas Law in July, which will allow the private sector to import natural gas from several countries, such as Cyprus, via pipelines or ships.

Egypt has consumed 78 million tons of petroleum products and natural gas in the previous fiscal year, while the petroleum sector has refined 25 million tons of crude oil and condensates in Egyptian refineries.

The country's natural gas output rose to about 5.1 billion cubic feet per day in 2017 from 4.4 billion cubic feet in 2016 on the back of the start of production from the first phase of BP’s North Alexandria project.

Egypt has been seeking to speed up production from recently discovered fields, with an eye to halt imports by 2019 and achieving self-sufficiency.