Zohr May Upset Egypt's Import Plans

摘要

Egypt's LNG import plans could be affected by Eni's recent discovery of the Zohr offshore gas field, which it describes as the largest in the Mediterranean (WGI Sep.2' 15). There will likely be no impact on the country's first two floating import terminals, but the charter term for a potential third terminal may be cut. The first floating storage and regasification unit (FSRU), Hoegh Gallant, is already stationed off Ain Sukhna in the Gulf of Suez and the second is due to arrive there this month, both on five-year charters. Traders had been speculating that Egypt was planning to charter a third FSRU for five years, potentially starting in 2016. Now, the term could be cut by one or two years — but that "would be the worst case scenario," one trader says. WGI understands a tender for the third vessel has not been issued. The first unit was supplied by Hoegh LNG and Norway's BW Gas is providing the second, BW Singapore. Neither Hoegh nor BW would comment on the likelihood of a third FSRU, although BW said it is "aware of market speculation" that state-owned Egyptian Natural Gas Holding Co. (Egas) might be considering one.