Eni's Gas Discovery Sparks Optimism in Energy-Intensive Industries
The recent discovery of a substantial natural gas field off Egypt's coast is set to revitalize energy-dependent sectors such as iron and steel, cement, and fertilizers. The availability of natural gas is expected to lower costs and increase production capacity in these industries, potentially attracting new investments.
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The Italian energy group Eni announced a significant natural gas discovery off Egypt's coast, estimated to contain up to 30 trillion cubic feet of gas. This finding is projected to lower gas prices significantly from $13 to $4 or $5, allowing energy-intensive industries to enhance their operational feasibility.
Fertilizer production, heavily reliant on natural gas, has suffered due to supply shortages. Eni plans to begin production in approximately 36 months, during which Egypt will continue to import gas. Experts predict the discovery will enable sectors like iron and steel to operate at full capacity, though no new steel factories are expected in the near future due to sufficient existing production. This discovery may attract further investments and improve local added value in Egyptian industries.
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