Russia will supply 35 LNG shipments to Egypt starting later this year
The Egyptian Natural Gas Holding Company (EGAS) has signed a five-year contract with Russia’s state-owned Gazprom (ticker: OGZPY) for the supply of liquefied natural gas (LNG). The contract stipulates the supply of 35 LNG shipments, or seven shipments per year for five years, according to Egypt’s Ministry of Petroleum. The delivery dates will be agreed upon starting from the second half of 2015.
EGAS has also signed contracts with Noble Group to deliver seven LNG cargos, and with Vitol for nine shipments of LNG over two years, reports Russia Today.
Last month Egypt agreed to establish a free trade zone with the Russian-led Eurasian Economic Union, which includes Russia, Armenia, Belarus and Kazakhstan. Trade between the two countries has increased significantly over the past years. In 2014, bilateral trade increased to more than $4.5 billion, nearly 50% more than in 2013.
On the company’s website, Gazprom confirmed Tuesday that it signed a Master LNG Sale and Purchase Agreement with EGAS. “Both parties are in the final stages of concluding the terms of a long term commercial arrangement,” the statement read.
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