Cairo: The discovery of a massive gas field off Egypt’s coast is set to boost the country’s flagging economy and popularity of President Abdul Fattah Al Sissi, according to experts.
“In recent years, Egypt has witnessed the closure of several factories due to the shortage of energy, mainly the gas. So, the new find is very important as it will help Egypt achieve self-sufficiency in gas without the need for import,” said Rashad Abdou, an economist.
On Sunday, Italian energy group Eni announced discovering the biggest gas field in the Mediterranean off Egypt with a potential 30 trillion cubic feet of gas.
Egyptian Prime Minister Ebrahim Mehleb hailed the discovery as a godsend. “This proves that God stands by the Egyptian people,” he said in a TV interview. “This field will save us from depending on the outside world for covering our gas needs.”
Egypt has suffered an acute energy crisis in recent years, resulting in frequent power cuts in this country of nearly 90 million people.
“The discovery announcement could not be more well-timed in economic and political terms,” said Salah Al Hadi, a political analyst. “It came weeks after the inauguration of the new Suez Canal. This increases feelings of optimism that political stability in the country will lead to economic recovery.”
Last month, Al Sissi along with world dignitaries officially opened a major expansion of the Suez Canal as part of a multi-billion-dollar project aimed at turning Egypt into a global trade and logistics hub.
Al Sissi, an ex-army general, took office last year pledging to re-establish security and revive economy hammered by years of unrest that followed the 2011 uprising.
“Based on the potential production of the new gas field, Egypt’s gas needs will be covered. In a country with a population of nearly 90 million, this is very important for political and economic stability,” Al Hadi added.
“It will raise the morale of the government, which is struggling to fix the economy. It shows that the country is moving in the right direction.”
Eni said that the Zohr field could become one of the world’s largest natural gas finds and help cover Egypt’s needs for decades.
Egyptian Minister of Oil Sharif Esmail, said that the potential production would account for 60 per cent of Egypt’s current gas output. Zohr is to start operation within 30 to 63 months from now, according to the official. He expected that the find would encourage fresh foreign investment in exploration bids for gas in Egypt.
Not surprisingly, the find news has drawn mixed reactions from backers and opponents of Al Sissi.
“This field will turn things upside down,” posted ex-parliamentarian Moustafa Bakri, a staunch supporter of Al Sissi. “This is a gift from God to Egyptians. Congratulations to Egypt. Congratulations to the patriotic leader President Abdul Fattah Al Sissi,” Bakr added in a Facebook comment.
Disagreeing, Hatem Azzam, an outspoken critic of Al Sissi said in a Facebook post: “This discovery lacks transparency regarding contractual terms and details of production partnership with Eni.”
Azzam is a sympathizer of the now-outlawed Muslim Brotherhood, a nemesis of Al Sissi. The ongoing controversy is the latest reminder of political polarisation in Egypt since the army in 2013, led at the time by Al Sissi, deposed Islamist president Mohammed Mursi, a senior Brotherhood leader.
Egypt has since experienced a spate of militant attacks mainly security forces.
How big is Egypt’s new Zohr gas find?
The Zohr natural gas field discovered off Egypt by Italy’s Eni is the largest found in the Mediterranean and at a potential 30 trillion cubic feet (tcf) of gas is almost twice as large as the Leviathan field off the Palestinian territories which Israeli occupies. Below are the top three biggest gas fields in the world, followed by the biggest in the Mediterranean:
TOP THREE BIGGEST IN WORLD
*South Pars, Iran/Qatar: 1,800 tcf
1971 Discovered
1989 Production begins
*Urengoy, Russia: 275 tcf
1966 Discovered
1978 Production begins
*Yamburg, Russia: 200 tcf
1969 Discovered
1986 Production begins
BIGGEST IN MEDITERRANEAN:
*Hassi R’Mel, Algeria: 85 tcf Algeria
1956 Discovered
1961 Production begins
*Zohr, Egypt: 30 tcf off Egypt
2015 Discovered but yet to be developed
*Leviathan, Israeli-Occupied Palestine: 17 tcf
2010 Discovered but yet to be developed
*Tahaddi, Libya: 9-10 tcf
1999 Discovered
2006 Production begins
*Tamar, Israeli-occupied Palestine: 7.9 tcf
2009 Discovered
2013 Production begins
*Salamat, Egypt: 5 tcf
2013 Discovered but yet to be developed
*Aphrodite, Cyprus: 4.5 tcf
2011 Discovered but yet to be developed
