PM follows up on $5.4B debt cut, new gas discovery

CAIRO - 4 May 2026: Prime Minister Mostafa Madbouly met with Petroleum Minister Karim Badawi to review several key files, including a significant reduction in arrears owed to international oil and gas partners.

In a Monday statement, cabinet spokesperson Mohamed El-Homsany noted that accumulated debt to investment partners dropped from $6.1 billion in June 2024 to approximately $714 million by the end of April 2026.

The ministry aims to reach "zero arrears" by the end of June to boost international investor confidence.

The meeting also addressed measures to secure fuel for the electricity sector during the summer months. This includes increasing natural gas and mazut supplies to power plants, supported by the arrival of liquefied natural gas (LNG) shipments via a regasification ship to ensure grid stability.

Additionally, the prime minister was briefed on a new natural gas discovery in the Nile Delta with an estimated production rate of 50 million cubic feet per day.

Regarding legislative updates, the meeting touched on the executive regulations for the Mineral Resources Law. The changes aim to transform the Egyptian General Mineral Resources Authority into an independent economic entity to increase the mining sector’s contribution to the gross domestic product to a target of 5% to 6%.

The prime minister also reviewed the "Energy Future Leaders" roundtable for youth and emphasized the importance of placing new discoveries on the production map quickly to secure the needs of the local market and power stations.