Egypt to end Höegh Gallant FSRU’s contract in mid 2018

The Oil Ministry is reportedly planning to end its five-year contract for the Höegh Gallant FSRU in mid-2018, EGAS sources tell Al Borsa on Wednesday. The move, which comes on the back of Egypt’s plan to begin exporting gas by 2019, would end the contract one year ahead of schedule, presumably with the payment of a penalty.

Oil Minister Tarek El Molla had previously said Egypt would hold on to its remaining FSRU, which could remain commissioned to accommodate LNG imports by the private sector or in case there is a shift towards supplying more power plants with natural gas instead of diesel or heavy fuel oil.