File photo of Egypt's Petroleum Minister Tarek El Molla. (Photo: Courtesy of the Egyptian Ministry of Petroleum official website)
Egypt has signed a $1 billion contract with three international companies to import 45 shipments of Liquefied Natural Gas (LNG) to be delivered by the start of March, Al-Ahram Daily reported on Sunday, citing the Egyptian oil minister.
Minister Tarek El-Molla said that the state-owned Egyptian Natural Gas Holding Company (EGAS), which has the authority to make oil agreements, signed the deals with the Russian Company Roseneft, the French Engie Company, and the Omani OTI Company.
The shipments’ weight will range between 138 and 156 thousand cubic metres, and Egypt will have a grace period of six months to pay for the shipments, El-Molla added.
The minister also said that Egypt is paying less than the global price for the cargo, which is "in recognition and appreciation of Egypt and the president's [Abdel-Fattah El-Sisi] role regionally and internationally."
In June of last year, EGAS told Reuters that Egypt aims to import between 110 and 120 shipments of liquefied natural gas in 2017.
EL-Molla previously said that Egypt is aiming to increase its natural gas production up to 50 percent by mid-2018.