Qatar gas swap deal with Egypt collapses


Back in April, with relations between Qatar and then Egyptian President Mohammed Morsi looking strong, Qatar agreed to supply between 18 and 24 LNG cargoes to Egypt, which desperately needed gas to fulfill supply contracts and meet summer domestic demand. But disagreements over pricing saw the number of cargoes fall to 13 and, by mid to late August, reports started to surface that negotiations might be on hold. Qatar has honoured a separate promise, made by Emir Sheikh Tamim Bin Hamad Al-Thani in June (when he was still heir apparent), to send five free tankers of LNG to help Egypt negotiate the hot summer months. Four tankers left Ras Laffan in August, and the fifth, according to the Qatar state news agency, was due to be loaded in September. But on 10 September, Qatargas confirmed to GSN and its sister publication African Energy that no negotiations were under way for the delivery of further cargoes.