The agreement will secure gas supplies for the planned liquefaction and storage facility and deepen co-operation between the SCA and oil-sector companies as technical and executive procedures move towards completion.
The Ministry of Petroleum – through the Egyptian Natural Gas Holding Company (EGAS) – has held months of consultations with the SCA and gas operators.
The project has undergone detailed feasibility studies with support from international institutions in South Korea, co-ordinated with the planning and international co-operation ministries. The SCA has also signed a separate MoU with its Korean counterparts outlining project parameters, implementation conditions, and economic assessments, with final approvals now underway.
SCA Chairman, Osama Rabie, said: “The LNG station underscores the canal authority’s strategy to align with global shifts in maritime transport towards cleaner fuels, in line with International Maritime Organization emission-reduction goals. The station will serve the authority’s fleet of tugboats and ferries being converted to run on LNG, forming part of a broader plan to upgrade navigational and logistics services and reinforce the Suez Canal’s global competitiveness.”