Egypt's PM heads to Japan for TICAD 9 Africa development summit    National Council for Childhood reviews plan to combat child labour    Egypt's Supreme Organ Transplant Committee strengthens oversight, standards    Indian tourist arrivals to Egypt jump 18.8% in H1-2025: ministry data    African agribusiness market expected to reach $1tr by 2030    Price cuts underway across Egypt, says trade federation report    Zelenskyy seeks US security guarantees as Trump says he can 'end war now'    Israelis protest for hostage deal amid growing pressure on Netanyahu    Serbia's Vucic vows 'tough measures' against protesters after unrest    Egyptian pound down vs. US dollar at Monday's close – CBE    Egypt's FM, Palestinian PM visit Rafah crossing to review Gaza aid    Egypt delivers over 30 million health services through public hospitals in H1 2025    Egypt recovers collection of ancient artefacts from Netherlands    Egypt harvests 315,000 cubic metres of rainwater in Sinai as part of flash flood protection measures    Egypt, Namibia explore closer pharmaceutical cooperation    Fitch Ratings: ASEAN Islamic finance set to surpass $1t by 2026-end    Renowned Egyptian novelist Sonallah Ibrahim dies at 88    Egyptian, Ugandan Presidents open business forum to boost trade    Al-Sisi says any party thinking Egypt will neglect water rights is 'completely mistaken'    Egypt's Sisi warns against unilateral Nile measures, reaffirms Egypt's water security stance    Egypt's Sisi, Uganda's Museveni discuss boosting ties    Egypt, Huawei explore healthcare digital transformation cooperation    Egypt's Sisi, Sudan's Idris discuss strategic ties, stability    Egypt's govt. issues licensing controls for used cooking oil activities    Egypt to inaugurate Grand Egyptian Museum on 1 November    Egypt's Sisi: Egypt is gateway for aid to Gaza, not displacement    Greco-Roman rock-cut tombs unearthed in Egypt's Aswan    Egypt reveals heritage e-training portal    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Dana Gas could delay Egypt's payment of dues: CEO
Published in Daily News Egypt on 14 - 01 - 2015

UAE-based Dana Gas revealed on Wednesday that it could delay the schedule of receiving the owed debt by the Egyptian government, due to the international decline in oil prices.
CEO of Dana Gas Patrick Allman-Ward told Reuters that his firm's calculations for Egypt's debt, stated by him to be $165m, were based on the $85 price for barrel, as opposed to the current price, which stands at $45 per barrel.
"Clearly we are not there at the moment, how far and how long the current decline will last we don't know," he furthered.
Political and economic turmoil that followed the 25 January Revolution resulted in the delay of oil and gas payments owed by the government to foreign oil companies. Currently, the government still owes $3.1bn in total, after paying some of the dues in 2014. Prior to this the amount of the debt totalled $5.5bn.
The Ministry of Petroleum could not be reached for comment.
On 4 January, Dana Gas said it received $60m in late dues from the Egyptian government. The sum makes up only a part of the full amount of $212m that Egypt still owes to Dana Gas.
The progress was made public in November when Dana Gas and the government agreed to increase gas production and allow the company to export condensates in exchange for repaying debts owed to Dana.
Abiding to the agreement, the dues will fall to their lowest levels by 2018, Allman-Ward told the Daily News Egypt in a November interview.
Minister of Petroleum, Sherif Ismail, said at the end of December 2014, that Egypt has paid a new batch of dues, worth approximately $2.1bn, owed to foreign companies. Among foreign companies to which the Egyptian government owes money are BP, BG, Dana Gas and Italian Eni.
In September, Dana signed a gas production enhancement agreement (GPEA) with the Egyptian Natural Gas Holding Company (EGAS) and the Egyptian General Petroleum Company (EGPC). The company revealed that the GPEA agreement stated that Dana will launch a programme over a seven-year period, to start in the next few months.
As part of the plan, Dana Gas will be working on drilling 37 new wells and carrying out maintenance for existing wells. Around 270bn cubic feet of natural gas, 8 to 9m barrels of condensate, and around 450,000 tons of liquefied petroleum gas (LPG) are expected to be produced during the seven-year period.
With regard to agreements, Ismail announced on Wednesday the signing of 6 new agreements for oil and gas exploration in the Western Desert, Gulf of Suez and the Mediterranean Sea regions, with Italy's Edison and IEOC companies, Germany's RWE Dea and British Petroleum (BP) and Scottish Petroceltic.
A statement from the Ministry of Petroleum said that the value of investments in the agreements is $485m.
By signing the new agreements, Ismail said the petroleum sector will have signed a total of 48 agreements since November 2013, with $2.7bn in investments.


Clic here to read the story from its source.