EGAS, Hoegh sign LNG agreement

The Egyptian company EGAS and the Norwegian company Hoegh signed a liquefied natural gas (LNG) agreement on Monday, according to the Ministry of Petroleum.

The agreement is related to the introduction of a new technology in Egypt that involves the transformation of LNG from its liquid state to its natural gaseous state, which will be transferred into the national network as natural gas.

The signing of the contract comes after the company Hoegh won an international tender raised by EGAS. Hoegh was in competition with Malaysian, American, and Dutch companies. The signing was made by the president of EGAS Khaled Abdel Badei and the president of Hoegh Sveinung Stoehle.

A senior government official said that the best offers were made by Höegh at a rate of $0.31 per million BTUs, while a competing offer by Qalaa Holdings only reached $0.45.