From Daily News Egypt
British Petroleum (BP) started to prepare the land allocated to establish a natural gas processing plant in Rosetta (Rashid) city, with a capacity ranging from 600m to 700m cubic feet per day.
A senior official from the Egyptian Natural Gas Holding Company (EGAS) told Daily News Egypt that BP will complete the production facilities of the plant by the end of 2020. However, the convention stipulates that the gas production from the project would be ready by January 2020 and produce 1bn cubic feet per day for five years.
Article 10 of the convention states: in the case that the contractor fails to complete the project by the set deadline, a six-month grace period would be allowed. After that, a penalty mechanism will be applied if there are no compelling circumstances preventing the contractor from completing the project.
The official said the convention includes the expected plan for producing natural gas in the project during the coming years, starting from July 2017.
