In order to make its oil sector more competitive and gain significant long-term influence in the global gas market, Egypt intends to strengthen its local production capacity for refined products.
According to a press release, Egyptian Oil Minister Tarek El Molla has announced that all of the country’s oil production will be refined locally within the next two years. This is partly due to the completion in the same period of work on the modernization and expansion of the country’s refineries.
Indeed, the Egyptian authorities have informed in 2019 that they will invest $9 billion in the modernization of six oil refineries. There are eight refineries with a total capacity of 38 million tonnes, of which only 25 million are used. This extensive programme, which will be completed in 2023, will therefore contribute to improving Egypt’s performance in the refining sector and promote its independence from international supply.
Egypt has achieved gas self-sufficiency, but is still struggling to achieve it in terms of petroleum products. The country still imports a significant part of its fuel consumption and is also working to boost its crude production.
Source: Agence Ecofin
