Glencore, Trafigura and B.B. Energy, have been selected by Egypt to provide Liquefied Natural Gas (LNG) cargoes for the rest of this year.

Trading house Glencore is to provide the cargo for October, while Trafigura and B.B Energy are to provide the November and December shipments respectively.

The Egyptian Natural Gas Holding Co (EGAS) earlier this month launched a tender to purchase 202,000t of LNG to be received through the Suez and Alexandria ports in October 2016.

EGAS issued a tender to buy from 35,000t to 37,000t of LNG cargo, which contains 0.1% sulfur, to be received through the Suez port and another tender for 5 cargoes that contain 30,000t to 33,000t of 0.1% sulfur LNG each, to be delivered via the Alexandria and El Dekheila ports in October.

This new development comes as the country makes effort to meet its rising LNG demands.

Once an energy exporter, Egypt became a net importer due to declining oil and gas production and rising consumption. The country is struggling fast track production at recent finds to fill its energy gap as soon as possible.

Egypt’s gas production has increased to 4.4bcf/d from 4.35bcf/d in 2015, after 4 new wells were connected to the national grids.

According to a source with EGAS, Egypt will reduce natural gas imports from 1.25bcf to 1bcf this month due to the decrease in gas consumed by electricity power plants, Egypt Oil & Gas reports.

Anita Fatunji