Egypt’s gas production is expected to increase by 500 million cubic feet per day (mcf/d) to reach 5.2 billion cubic feet per day (bcf/d) by December, according to Al-Ahram's Arabic news website, quoting the petroleum minister.
Petroleum Minister Sherif Ismail said that production will increase as several gas fields are expected to start production in the next six months.
In May, the ministry had forecasted total natural gas production to increase 1.7 percent to reach 5.4 billion cubic feet per day in the coming fiscal year (FY) 2014/15 starting in July, compared to the current fiscal year.
In effect, the expected rise in gas production is around one billion cubic feet per day, which will cover the diminished production and leave 450 mcf/d of additional production, added Ismail.
Dakka fields will be connected to the production network in July to add 200 mcf/d to production.
In August, other fields to join the gas production network are Sapphire and Libra fields for an additional 100 mcf/d of gas production, Karam and Aseel for 100 mcf/d and Dosouk for 100 mcf/d.
Ismail said that oil and condensate production which currently stands at 680,000 barrels per day (b/d) is targeted to increase to 700,000 b/d, but did not specify a date.
Last month, Ismail told Al-Ahram that the ministry will start drilling 17 new wells at a cost of $2.4 billion to increase production by almost one billion cubic feet per day.
Egypt has suffered an energy crisis in the past three years, most evident in frequent electricity blackouts. Several government officials have attributed the power cuts to a growing fuel subsidies bill and declining gas production.
Consumption of natural gas is projected to increase 12.5 percent to 5.57 billion cubic feet per day in fiscal year 2014/15, compared to the previous FY.
Turkish news agency Anadulo reported on Monday that Egypt is negotiating $700 million worth of new loans and grants to finance adding 800,000 households to the gas grid in FY 2014/15.
Around 6 million households are currently connected to the natural gas grid, while the government aims to connect 8 million in five years, added Anadulo.