Despite short-term measures to increase LNG imports, Egypt's energy crisis will deepen in the coming years as it struggles to meet rising domestic demand due to a lack of long-term investment in renewable energy sources, tight global LNG markets and falling natural gas production. State-owned Egyptian Natural Gas Holding Company signed a 20-month agreement with Norway's Hoegh LNG and Australian Industrial Energy to deploy a floating storage and regasification unit (FSRU) in Ain Sokhna, Egypt, to reconvert LNG into gas, Hoegh LNG announced on May 2. The agreement comes after Egypt began ramping up its imports of LNG, with at least two cargoes in April and additional purchases likely throughout the summer, to maintain energy supplies as its own domestic natural gas production declines and electricity demand increases during the hot summer months. Meanwhile, Egypt stopped all LNG exports beginning in May to ensure that it has enough supplies to...
