No BG gas shipments from Egypt

10 May 2015

Results reveal that no cargos were lifted in the first quarter

UK-based BG Group failed to complete any liquefied natural gas (LNG) shipments from Egypt in the first three months of 2015, according to its first-quarter financial results.

Speaking on a conference call on 8 May, the company’s chief financial officer, Simon Lowth, blamed a decline in the company’s liquefaction earnings partly on the failure to export LNG from Egypt.

“Liquefaction earnings before interest, tax, depreciation and amortisation (EBITDA) fell to $10m as no cargoes were lifted from Egyptian LNG, and volumes and realised prices in Atlantic LNG were lower,” he said.

The lack of shipments comes amid an ongoing natural gas shortage.

BG reported a 41 per cent drop in first-quarter earnings compared with the same period last year amid low oil and gas prices.

BG has accepted a $70bn takeover from rival Anglo-Dutch energy company Shell.

The upcoming takeover means the future of BG’s Egyptian assets is uncertain.

Stay informed with the latest in the Middle East
Download the MEED app today, available on Apple and Android devices

A MEED Subscription...

Subscribe or upgrade your current package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Get Notifications