CAIRO: The oil and gas sector contributed 24 percent of Egypt’s gross domestic product (GDP) in 2020 and was one of the key sectors that helped rebuild the country’s economy in the wake of the economic challenges since 2011, according to a senior government minister.
Egyptian Petroleum Minister Tariq El-Molla said in a statement that the sector had played a significant role in the economic reforms the government had implemented, which helped to create an appealing environment for investors.
More than 60 international oil and gas companies operate in Egypt, including well-known names such as ExxonMobil and Chevron.
Egypt launched the EastMed Gas Forum in 2018, which was designed to encourage strategic dialogue between Eastern Mediterranean countries — whether they are producers or consumers — in a bid to achieve optimal economic benefits and address common regional challenges.
The minister said that the EastMed Gas Forum charter was signed in September 2020 and had succeeded in attracting the world’s attention. Several countries had expressed their desire to join the forum — including France, which had been approved as a permanent member, and the US as an observer.
El-Molla confirmed that the Natural Gas Advisory Committee has been formed with 29 members and international institutions.
He said that natural gas had emerged as an important transitional fuel due to its environmentally friendly nature and because the Egyptian government had introduced many projects as part of a bid to maximize gas use in homes and cars.
El-Molla added that hydrogen had become an important source of fuel, and gained the support of international institutions. One example was Egypt’s partnering with the EU to establish a special committee to develop a strategy for the use, production and exploration of hydrogen.