Oil and gas wells Egypt: How the country is optimizing the energy sector?
The first effects of the Covid-19 outbreak, when demand for petroleum and feedstock fell during lockdowns and travel restrictions, showed that Egypt’s energy sector was largely robust. With significant industry investment, recent oil and gas find, and a robust refining sector, Egypt is now well-positioned to benefit from the uptick in international trade and economic activity. Egypt is expanding its nuclear and renewable energy sectors in addition to redeveloping its oil and gas activities to diversify its energy mix and decarbonize its economy.
In this discussion from Sustainergy, we will discuss how the country is optimizing the energy sector with oil and gas wells Egypt.
Structure
Several government entities have the responsibility of overseeing the energy sector. The sector’s development, price, and rules are under the jurisdiction of the Supreme Energy Council (SEC), founded in 1979 and most recently reformatted in 2014. Oil and gas exploration, production, and distribution fall under the Ministry of Petroleum and Mineral Resources (MPMR) purview. Five state-owned enterprises (SOEs): Ganoub El Wadi Petroleum Holding Company, Egyptian General Petroleum Corporation (EGPC), Egyptian Natural Gas Holding Company (EGAS), Egyptian Petrochemicals Holding Company (ECHEM), and Egyptian Mineral Resources Authority (EMRA) conduct the majority of its management and oversight functions (Canopy).
The Egyptian Energy Holding Company, a division of the Ministry of Electricity and Renewable Energy (MERE), oversees the management of electricity (EEHC). MERE also oversees the management of the Egyptian Electric Utility and Consumer Protection Regulatory Agency (Egypt), the Nuclear Power Authority, the Atomic Power Plants Authority, the Hydro Power Plants Executive Authority, and the New and Renewable Energy Authority (NREA).
Regulation
Egypt was once a regional leader in producing and exporting liquefied natural gas (LNG). Still, the nation started relying on gas imports in 2015 due to multiple IOCs’ slowdowns in exploration and production activity. To improve the situation, the government established the Natural Gas Regulatory Authority in 2017 and introduced the Law for Gas Market Activities Regulation. The law aimed to liberalize midstream and downstream gas operations, allowing private businesses to sell gas on the domestic market and promoting more private participation in all gas segment operations. Since then, more extensive initiatives to boost the competitiveness of the hydrocarbon industry have been underway. Oil gas energy Egypt has a significant role in the country’s trade.
Trade
Egypt has boosted its export levels in tandem with increasing gas output over the past five years thanks to the development of the El Zohr, Atoll, and Nooros gas fields. By the end of 2021, the nation’s two natural gas liquefaction plants in Idku and Damietta were producing 1.6 billion scfd of LNG at full export capacity. Between 60 and 65 million scfd will be exported by the MPMR over the reconstructed Arab Gas Pipeline to Lebanon in 2022. Indeed, Egypt has a lot of room to grow in terms of its LNG export market. For instance, gas shortages in Europe in 2021 brought to light the region’s reliance on gas as its primary energy source.
Bottom line
If you want significant information about oil and gas wells Egypt, you may visit the official website of Sustainergy. The company’s senior engineers can provide you with the best possible guidance.
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