Egypt’s short-term gas production expected to record strong growth
Fitch Solutions Macro Research expects “strong growth” in gas production in Egypt in the short term, a new report by the company has revealed.
“We expect strong growth in gas production in Egypt in the short term as several major offshore development[s] ramp up output over 2018,” Fitch Solutions Macro Research said in the report, which was sent to Rigzone.
“Over the longer term, subsequent phases of development from major fields, most notably the Zohr field, provides substantial upside to gas output,” the company added.
LNG exports will be “one way” of monetizing domestic gas production, “with existing LNG terminals able to be utilized immediately,” Fitch Solutions Macro Research stated in the report.
The company also said that the upside from Zohr, and several other offshore fields, over the next five years “will reduce Egypt’s gas import burden and could facilitate a consistent restart of LNG exports from as soon as the end of 2018”.
“As production exceeds domestic demand, we see the potential for gas to be exported via LNG to European and Middle Eastern markets, where LNG demand is expected to rise over the long-term,” Fitch Solutions Macro Research added.