Egypt reduces gas pumping into the national grid to 7 billion cubic feet per day in October

The Egyptian Ministry of Petroleum and Mineral Resources has reduced the rates of pumping natural gas into the national network to about 7 billion cubic feet per day since the beginning of this October, a decrease of approximately 400 million cubic feet per day compared to pumping levels that amounted to about 7.4 billion cubic feet per day during the peak of summer consumption, according to an official source who spoke to Al Arabiya Business.

The source explained that the reduction in the quantities of gas directed to the national grid coincided with the start of the last quarter of this year, driven by a decline in consumption by the various sectors of the state, most notably the electricity sector, with lower temperatures and a decline in loads on the electrical grid.

He added that the electrical network loads decreased this week to about 33,000 megawatts, compared to about 40,000 megawatts during the peak of consumption last August, which directly affected the needs of natural gas power plants.

The source said that the decrease in domestic demand gives the Ministry of Petroleum more space to rearrange plans to import liquefied natural gas, with the possibility of reducing the number of imported shipments compared to the summer peak period, according to actual consumption levels and the availability of local supplies.

He pointed out that electricity stations' consumption of natural gas has declined by about 250 million cubic feet per day since last September, reaching about 4 billion cubic feet per day, which has contributed to alleviating pressures on the fuel supply system and reducing additional needs for liquefied gas imports.

Egypt's current total consumption of natural gas amounts to about 7 billion cubic feet per day, while electricity generation stations account for between 55% and 60% of total domestic consumption.

According to the source, the Ministry of Petroleum covers up to 45% of the market’s needs during peak periods through a combination of gas imports via pipelines and liquefied natural gas shipments, which are directed to meet the needs of the electricity and industrial sectors, especially energy-intensive industries such as fertilizers and petrochemicals.

He added that the seasonal decline in demand allows for more efficient management of liquefied gas purchases, which helps reduce the financial burdens associated with providing the fuel necessary to operate power plants and various economic sectors.

Egypt currently relies on a combination of domestic production, incoming gas supplies via pipelines, and imported LNG shipments to meet market needs, at a time when the country continues to face the gap between domestic production and increasing demand for gas, especially during the summer months.