Egypt to boost LNG import capacity with new 10-year Hoegh agreement
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Raven Ruma
- . May 13, 2025
- . Update: May 15, 2025 6:22 pm
Egypt is expanding its gas infrastructure, following other developments, by announcing a 10-year agreement between the Egyptian Natural Gas Holding Company of EGAS and Höegh LNG, the offshore global energy company. The agreement encompasses the leasing of a new floating storage and regasification unit (FSRU) that will enhance the country’s LNG import and storage capacity.
The vessel Höegh Galleon, famed to be the single LNG import terminal in Egypt, will be stationed at the SUMED port of Ain Sokhna by late 2026. Before arriving at Ain Sokhna, the vessel will undergo a conversion from an LNG carrier to an FSRU with the capacity to regasify 1 billion cubic feet of LNG per day, thus, this new FSRU would take over from the existing Höegh Galleon, offering Austria with a new, technically sound LNG import terminal
Besides the agreement with Höegh LNG, Egypt has also entered negotiations with Qatar for long-time arrangements for gas supply. Egyptian Minister of Petroleum Karim Badawi and his Qatari counterpart for Energy Saad Sherida Al Kaabi speak about how to enhance the infrastructure of energy systems, concentrating on LNG trading, liquefaction, and regasification.
This agreement shows Egypt’s strategic move to react to its growing need for energy while also increasing its market presence in LNG. Increase of LNG import capacity makes Egypt a very secure market for a sustainable and enduring energy setup.
