Trading houses dominate in Egypt's $2.2 bln LNG tender

European commodity traders won the lion's share of a closely-watched tender to supply Egypt with $2.2 billion worth of liquefied natural gas, as they work to expand into a business typically dominated by the oil majors.

Vitol, Noble Group and Trafigura will supply most of the LNG, with oil major BP covering the remainder, traders with knowledge of the matter said on Tuesday.

The global market for the fuel was otherwise marked by receding demand, oversupply and plunging prices. LNG-AS

Trading companies are gaining a foothold in global gas trade, at times by working with oil majors especially in countries carrying credit and payment risks, while an emerging glut of the fuel also creates more space for them to operate.