Egypt is a rising gas producer, with two new LNG export projects and one pipeline brought online between 2004-06. Further capacity expansions are anticipated at all these facilities, as well as a pipeline connection to Israel, although project approvals will depend on success in locating new reserves.

The picture for oil is more modest, with most of the country’s main producing oilfields close to maturity, although exploration is ongoing in the deepwater Mediterranean and Western Desert area. Egypt also plays host to the Suez Canal used to ship Gulf oil to European markets and the Sumed pipeline which transports oil offloaded in the Red Sea to the Mediterranean.

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