Rosneft applies for natural gas import license - ENTERPRISE

Sunday, 2 December 2018

Rosneft applies for natural gas import license: Russian energy giant Rosneft has begun the process of acquiring a license to import natural gas, sources told Al Mal on Thursday. The company has apparently received preliminary approval from the government to form a JV with a local entity for the activity, they added. If true, the move indicates that not only is the government jump starting the process of issuing gas import licenses, but that it has drawn the appetite of oil and gas majors.

Background: After being formed in 2017, the Natural Gas Regulatory Authority — the country’s regulator overseeing a newly liberalized gas import and distribution market — has not moved to issue licenses as quick as some in the industry had hoped. The regulator had postponed in September the issuance of natural gas import licenses to private sector companies, ostensibly because the private sector was “unprepared.” This all appeared to change following the signing of an agreements paving the way for gas imports from Israel. The Oil Ministry is ready to consider permit requests from the private sector to help Egypt become a regional hub for gas trading, Oil Ministry spokesperson Hamdi Abdel Aziz had said at the time. EGAS has renewed preliminary approvals giving Qalaa’s TAQA Arabia, BB Energy and Fleet Energy the import licenses.

Natural Gas Regulatory Authority postpones issuance of natgas import licenses - ENTERPRISE

Wednesday, 12 September 2018

The Natural Gas Regulatory Authority has postponed the issuance of natural gas import licenses to private sector companies, saying the private sector is “unprepared,”according to an EGAS source. EGAS has renewed preliminary approval to grant Qalaa Holdings’ TAQA Arabia, BB Energy and Fleet Energy the import licenses, effectively giving them additional time after all three allegedly failed to submit paperwork to obtain the final license, according to the source. The preliminary approvals, which are renewed every six months unless a permanent license is obtained, must be ratified by the authority.

Take this with a grain of salt: When all three companies fail to file paperwork on time, that’s not the private sector being “unprepared,” it’s the business sending a message to government about license terms — and the regulator putting on some pressure in public. We suspect we’re not the only ones who hear echoes here of round one in the solar energy feed-in-tariff imbroglio.

Background: The authority was given the green light in July to begin issuing and revoking licenses for private players in the natural gas industry, a move that was made possible by the deregulation of the sector through the Natural Gas Act. Sources had said at the time that the first import license would likely be issued before the end of 2018.

EGAS renews initial approvals for BB energy, Taqa, Energy Fleet for gas importation - DAILY NEWS EGYPT

10 September 2018

Mohamed Adel

EGAS has renewed the approvals for the companies BB, Taqa and Fleet Energy on the licenses for natural or liquefied gas importation to provide it within the local market, after the licenses expired and the companies did not submit the required data to obtain the licenses.

A source at EGAS told Daily News Egypt that the three companies that obtained the initial approvals for the licenses have not submitted the data related to the importation body and the supplied amounts, as well as the client, with which there is a contract to obtain gas in the local market.

He explained that the initial approval on the import licenses is renewed every six months, and the companies applying to import gas have not taken any real steps to obtain the final licenses.

The private sector companies that obtained initial approvals are Energy Fleet, headed by Essam Kafafy, located in Panama, in addition to BB Energy, owned by a Lebanese Family, located in London. In addition, Taqa Arabia, owned by several funding gulf companies, in cooperation with Egyptian Qalaa Company.

Natgas market regulator sets fees for private sector’s use of the state grid at USD 0.38 MMBtu - ENTERPRISE (Corrected)

Sunday, 5 August 2018

The Natural Gas Regulatory Authority set on Thursday the fee that private sector players will have to pay to use the state’s national grid to transport gas at USD 0.38 / MMBtu, according to its official website. The rate applies for the first year of the program, suggesting a revision could be in the works after the initial trial period. License fees will be calculated based on the amount of gas transferred and can be settled in EGP. The regulator will be issuing permits for different types of commercial gas market activities, including grid operations and maintenance, supply, distribution, and shipping, with different fees set for each type as follows:

• USD 0.57/MMBtu for transmission licenses;
• USD 0.31/MMBtu for shipping licenses;
• USD 0.23/MMBtu for distribution licenses;
• USD 0.08/MMBtu for supply licenses.

Permit requests must be processed within 10 working days of application and any additional documents required by the regulator must also be submitted within 10 working days. The regulator will then have 45 days to approve or deny the request and fees must be deposited within seven days of that date.

Natgas market regulator to officially begin issuing import permits - ENTERPRISE

Thursday, 5 July 2018

Natgas market deregulation gets in full swing as regulator to officially begin issuing import permits: The board of directors of the new natural gas market regulator approved that it begin issuing and revoking licenses for private sector natural gas industry players, according to an Oil Ministry statement. The regulator — established under the Natural Gas Act, which deregulated the market and opened it up to the private sector — will begin its work “in the coming period,” according to the statement. Natural gas companies are currently gathering the necessary paperwork to submit their requests for a license to distribute natural gas, ministry sources said, Al Shorouk reports.

First private sector LNG import license to be issued at the end of Feb -sources - ENTERPRISE

Tarek El Molla interviewed by CNBC - Feb 2018 Egypt

Thursday, 15 February 2018

New natgas regulator to issue first LNG import license before the end of Feb? The newly-established natural gas market regulator is expected to issue the first LNG import license to the private sector before the end of February, when its board meets for the first time, sources close to the matter tell Al Shorouk. While it remains unclear which company will make the first draw, we had heard last year that EGAS gave BB Energy, Fleet Energy, and Qalaa Holdings’ TAQA Arabia preliminary approval on natural gas import licenses, following the issuance of the Natural Gas Act, which reduces the state’s role to regulator and opens the market to the private sector. Four other unnamed companies are reportedly also seeking import licenses.

Fees for using state infrastructure also to be announced: The board, whose full lineup will be announced next week, will also discuss the fees private sector players will have to pay to use the state’s natural gas grid under the act, the sources also said. News of the meeting comes one day after Ismail Cabinet issued the executive regulations to the Natural Gas Act, officially bringing it into effect. Oil Minister Tarek El Molla, who will chair the board, had previously said that the state will fully exit the market by 2022.

Natural Gas Act regs ready in October - ENTERPRISE / AL SHOROUK

Sunday, 20 August 2017

The executive regulations of the Natural Gas Act should be ready by early October, an EGAS official tells Al Shorouk. 

The source expects the new natural gas industry regulator would be set up before the end of the year — and that the first license to import gas privately should be issued in 1H2018.

As we noted last week, EGAS had reportedly approved natural gas import licenses on Wednesday for the three private companies: 

• Fleet Energy, 
• BB Energy, and 
• Qalaa Holding’s TAQA Arabia.

Glencore comes out top as Egypt awards mega LNG import tender - REUTERS

Mon Nov 28, 2016 | 3:37pm GMTReporting by Mark Tay; Additional reporting by Henning Gloystein in Singapore and Eric Knecht in Cairo; Editing by Susan Fenton

• EGAS awards mega tender, taking mainly 2017 cargoes
• Glencore emerges as top supplier, followed by Trafigura
• Jan-Mar 2017 cargoes priced at about 15 percent to crude
• Remainder of 2017 cargoes priced lower as fundamentals expected to weaken

Egypt will import around 60 cargoes of liquefied natural gas (LNG) next year and Glencore will be the biggest supplier, trading sources with knowledge of the results of Egypt's mega tender for 2017 and 2018 said on Monday.

Glencore bagged the right to supply around 25 liquefied natural gas (LNG) cargoes to Egypt, while second-placed Trafigura is understood to have won the right to supply about 18 cargoes of the super-cooled fuel, the trading sources said.

Other parties successful in Egypt Natural Gas Holding's (EGAS) tender included BB Energy, Gunvor and Vitol, the sources added.

Egypt Makes Its LNG Importer Picks For Remainder Of 2016 - OILPRICE.COM

By Zainab Calcuttawala - Sep 23, 2016, 4:33 PM CDT

Egypt has chosen three firms to supply liquefied natural gas to its markets for the remainder of 2016, closing a tender it had issued two weeks ago, according to a recent report by Reuters.

Glencore, an Anglo-Swiss commodities trading house, will supply cargo for October; Dutch Trafigura will deliver a shipment for November; and U.K.-based B.B. Energy – a relatively new player in the LNG trade – will arrange the December order.