(MENAFN) In January, the quantities of Israeli gas supplied to Egypt experienced a notable surge, surpassing a 15 percent increase and reaching approximately 1.15 billion cubic feet per day. This uptick in gas supplies to Egypt is motivated by the country's imperative to address its domestic demand for gas, a move that not only aids in meeting local needs but also contributes to bolstering exports and securing vital hard currency reserves for the nation.
Egypt heavily relies on Israeli gas to fulfill its internal energy requirements, leveraging the partnership to export surplus liquefied natural gas to European markets. This collaboration is part of two contracts valued at a combined $3.3 billion, secured by Saudi Aramco to develop a new liquefied natural gas processing complex within the Kingdom.
The increase in Israeli gas imports is poised to make a positive impact on Egypt's economy, particularly with the improved dollar liquidity in the country. This development holds significance as Egypt grapples with a myriad of economic challenges. The enhanced energy cooperation between the two nations is expected to provide a welcome boost to the Egyptian economy, contributing to its resilience in the face of economic adversities.
It is noteworthy that Egypt experienced a sharp decline in its imports of Israeli gas in October of the previous year due to the cessation of production from the Tamar field amid the conflict in Gaza. However, the current surge in supplies has not only surpassed pre-war levels but also underscores the strategic importance of the energy partnership between Israel and Egypt. As the dynamics of the region continue to evolve, this collaboration emerges as a pivotal element in addressing energy needs and fostering economic stability for both nations.
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