Egypt is currently receiving only about 50 million cubic feet of Israeli gas a day, down from 1 billion cubic feet under normal conditions, a source familiar with gas imports at the Petroleum Ministry told Al Manassa. The volume reflects only Israel’s daily surplus after meeting domestic demand, the source said.
Israel halted natural gas supplies to Egypt indefinitely at the end of February as Tel Aviv and Washington launched a joint attack on Tehran. The Israeli Energy Ministry later announced a limited resumption of supply based on surplus volumes.
But it remains unclear when flows to Egypt will return to normal, the source said, as the conflict involving Iran, Israel, and the United States continues to delay the restart of production at Israeli gas fields. Supplies will resume fully only if the war ends and oil facilities are secured, he added.
Israeli gas accounts for about 16% of Egypt’s daily winter consumption, the source said. The Petroleum Ministry is trying to make up for the shortfall through liquefied natural gas imports and higher local production, which currently stands at about 4.2 billion cubic feet a day against consumption of around 6.2 billion cubic feet a day.
“Natural gas is the backbone of Egypt’s electricity sector, making up about 75% to 82% of the country’s generated power capacity. Any disruption in supplies, therefore, directly threatens the stability of the power grid and industrial sectors in the domestic market,” the source said.
LNG prices rise 66%
A second source at the Egyptian Natural Gas Holding Company (EGAS) said LNG contract prices have risen by about 66% in recent days amid turmoil in energy markets and the stoppage of oil and gas tanker traffic in the Red Sea, while Brent crude has surpassed $100 a barrel.
The source, who also requested anonymity, said average LNG prices now stand at about $20 per million British thermal units, compared with contracts last year at about $12, plus $2 for transport, shipping, and regasification.
New LNG cargoes will be contracted at the higher rates, he said, pushing Egypt’s monthly gas import bill up by more than 60% and adding pressure to the trade balance.
Egypt is already grappling with a widening trade deficit driven by petroleum imports, whose value rose to $19.4 billion in 2024-2025.
The source said American LNG shipments will top 90 cargoes by the end of 2026 as Israeli gas flows keep falling, forcing the government to seek LNG from other markets.
On Aug. 12, Egypt amended its Israeli gas import agreement, adding 130 billion cubic meters to contracted volumes, raising Tel Aviv’s expected revenues to $35 billion, and extending the supply period through 2040.
