(Ecofin Agency) - The number of companies seeking for licences to import natural gas from overseas has risen to five, the Assistant Vice Chairperson at the Egyptian Natural Gas Holding Company (EGAS) revealed.

According to Amira El-Mazni, four companies applied to acquire the licence earlier while the fifth company applied just last week.She said that these companies are both Egypt-based and international firms but did not disclose the names of the firms.

The Ministry of Petroleum in January 2014 announced that the private sector can import natural gas from overseas and deliver it via the national network, on condition that they obtain the licence.El-Mazni noted that in two months’ time, EGAS will award licences to at least two companies to import gas while the rest of the licences will be granted regularly over the coming months.The Assistant VC stated that the firms to be awarded licences in two months might not use the process to import gas during this summer as it requires a long time.

The deficit between supply and demand in the natural gas market in Egypt has reached about 700m cubic feet per day and is expected to increase to 1.77Bcf/d during the 2017/2018 financial year.Egyptian government has made so many efforts to ease the deficit, like launching a tender to hire a third Regas compound, aside the two floating compounds at Ain Sokhna, and allowing the private sector to import gas from abroad, Daily News Egypt reports.

Anita Fatunji