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Egypt negotiates with Saudi, Kuwait and the UAE over petroleum needs

February 5, 2014 at 10:10 am

An official from Egypt’s General Petroleum Authority announced that negotiations are currently taking place between Egyptian government officials and their counterparts from Saudi Arabia, Kuwait and the UAE to arrange for the three countries to provide Egypt with petroleum products starting from next month until the end of next year.

The source added that the Egyptian petroleum sector has identified its requirements from solar, diesel, butane gas and oil, and it has also specified suggested dates for receiving those products from the three countries in question over the next 15 months. The source noted that the negotiations are currently in the final stages, with discussions now in progress about the quantities that the three countries will provide to Egypt within the form of grants and the quantities that Egypt will pay for, as well as the payment dates.

The source noted that Egypt imports $1.2 billion worth of oil products monthly, as local consumption of oil products and natural gas reaches 73.2 EQ.

The source also stressed that the three Arab countries are engaging in negotiations with Egypt out of their commitment to help Egypt overcome the current transitional phase, especially after the preliminary agreements that Egypt made with Iraq and Libya in regards to oil products have not resulted in any progress due to disagreements over repayment deadlines and the guarantees required by the two states.