An official with the Egyptian Natural Gas Holding Company (EGAS) stated that Egypt will postpone contracting a third floating and storage regasification unit (FSRU) for one month. This delay is pending the Egyptian Ministry of Electricity to decide on its needs of liquefied natural gas (LNG) used for power generation, reported Reuters.
The third FSRU is an import terminal that transfers LNG to natural gas in order to feed the power grid. It was expected to arrive to Egypt by the end of June 2017 to address increased LNG demand as new power plants come online.
In related news, Egypt Oil&Gas reported that EGAS had launched the world’s biggest tender for LNGduring October, with a price tag of several billion dollars. EGAS had released the tender’s documents in a bid to secure 96 LNG shipments over 2017-2018. Additional 12 optional cargoes had been included in the tender, which EGAS may decide not to award.