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ENGMRA has hiked tariffs for transport through Egypt’s national gas grid (Image: IGU)

Egypt has been experiencing a gas boom over will apply retroactively for January 2022 billing,
the last couple of years, with surging output from even though January’s bill to natural gas suppli-
offshore Mediterranean fields coinciding with a ers is out already. The transport fees are set on an
spike in global prices for LNG. Rising produc- annual basis but collected on a monthly basis.
tion rates and the return to full operation of The regulator follows a set formula to calculate
LNG export facilities at the Damietta plant have the annual natural gas transport fee through
led to a rise in gas export volumes and revenues. the national grid taking into account the capex
In related news, the Egyptian Natural Gas spent on adding new pipelines through the net-
Market Regulatory Authority (ENGMRA), the work, operating expenses and the exchange rate
regulator, has jacked up transport tariffs through among other factors.
the national gas grid for 2022 by 6.4% year on The Egyptian government plans to reform
year to $0.4107 per million British thermal units the natural gas transport sector to make the
(BTU), Al Mal newspaper reported. This would national grid economically sustainable and
be the fourth annual increase in gas transport maximise the return on state-owned assets.
tariffs in as many years. Gas transport tariffs Egypt took small steps towards liberalising its
were $0.386, $0.375 and $0.29 in 2021, 2020 and natural gas market following the issuance of
2019 respectively. executive legislation in 2017 of a law allowing
ENGMRA’s natural gas transport price hike the private sector to import natural gas. ™

PERFORMANCE
New CPR confirms long-term potential of

Mnazi Bay gas project, Wentworth says

TANZANIA AIM-LISTED Wentworth Resources has said (3.829bn cubic metres) of gas, with an after-tax
that the most version of the reserves report for its net present value of $108.1mn.
interest in Mnazi Bay, a natural gas-containing Wentworth said the report also found full-
licence area in southern Tanzania, confirms the field gross 2P reserves for the gas field had
project’s long-term potential. decreased to 423.3 bcf (11.99 bcm) from 445.3
In a statement, the East Africa-focused com- bcf (12.61 bcm) as of the end of 2021. This
pany said its 2021 competent persons report decline reflects a 24% increase in gross full-year
(CPR), carried out by RPS Energy Canada Ltd, output to 29.8 bcf (843.9mn cubic metres) and
estimated its share of gross proven and proba- “reflects a year of strong production,” it said in
ble reserves at Mnazi Bay at 135.2bn cubic feet its statement.

P8 www. NEWSBASE .com Week 07 16•February•2022