Eni’s Zohr gas field in Egypt, one of the largest natural gas fields in the Mediterranean region, has started production with an initial 350mn cf per day, a move that aims to make the country self-sufficient in producing energy
According to Tarek El-Molla, minister of petroleum and mineral resources, the daily output is expected to reach to about one billion cf in June 2018, and 2.7bn by the end of 2019.
Mulla said that the production from the Zohr gas field signifies a milestone in the history of the Egyptian gas industry in particular, following the success of production from the field at a record time compared to other major gas discoveries across the world.
Egypt imports liquefied gas at increased costs in order to meet its energy needs. The minister explained that Zohr field is expected to contribute in achieving self-sufficiency of natural gas and eliminating the need to import, thus reducing the burden on the state budget and import bill.
Speakign to Worldoil, Mohamed Abu Basha, Cairo-based economist at investment bank EFG-Hermes, said, “One of the biggest issues Egypt had over the past years was the big shift in its energy balance from a net exporter to a net importer because of an increase in consumption versus a decline in production.”
“With the new gas finds, it’s returning to this balance, if not exporting, then at least there’s no deficit,” Basha said to the source.
