• 4 minutes China goes against US natural gas
  • 12 minutes WTI @ 67.50, charts show $62.50 next
  • 15 minutes Saudi Fund Wants to Take Tesla Private?
  • 19 mins Downloadable 3D Printed Gun Designs, Yay or Nay?
  • 10 hours Rattling With Weapons: Iran Must Develop Military To Guard Against Other Powers
  • 16 hours Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 5 hours Russians hacking vs U.S., Microsoft President: Russians Targeting All Political Sides
  • 5 hours VW Receives Massive Order Of 1,600 All-Electric Trucks
  • 13 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 17 hours CO2 Emissions Hit 67-Year Low In USA, As Rest-Of-World Rises
  • 10 hours Batteries Could Be a Small Dotcom-Style Bubble
  • 20 hours The EU Loses The Principles On Which It Was Built
  • 1 day Starvation, horror in Venezuela
  • 11 hours Corporations Are Buying More Renewables Than Ever
  • 1 day How To Explain 'Truth Isn't Truth' Comment of Rudy Giuliani?
  • 1 day The Discount Airline Model Is Coming for Europe’s Railways
Canada’s Pipeline Crisis Is A Boon For Russia

Canada’s Pipeline Crisis Is A Boon For Russia

The Trans Mountain pipeline struggle…

Keystone XL Delayed…Again

Keystone XL Delayed…Again

The Keystone XL saga has…

Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Egypt To Ink 1 Million Barrel/Month Oil Supply Deal With Iraq

Cairo

The Egyptian cabinet has agreed to purchase one million barrels of oil from Iraq monthly, according to a statement by the North African nation’s Oil Minister Tareq el-Molla on Tuesday.

The contract corresponding to the verbal agreement is due to be signed in the coming days, el-Molla said at a press conference in Cairo. The first shipment will arrive at an unspecified Egyptian port by May 1st, with the cycle repeating every 30 days.

"This step is very good as it's the first cooperation with Iraq in the direct import of crude oil," the minister said, adding that the contract will strengthen economic relations between the Egyptian Petroleum Authority and the Iraqi Petroleum Company. El-Molla began negotiating the deal with Baghdad during his visit to the Iraqi capital last October.

Cairo is in the process of securing new sources of energy after a hiatus from a 700,000-ton oil products contract with Saudi Arabia – allegedly caused by vague “commercial conditions” according to Saudi Aramco - shocked fuel supply in Egypt in the recent past.

Cairo is now in the process of securing new sources of energy after a six-month hiatus from a 700,000-tons-per month oil products contract with Saudi Arabia recently disrupted fuel availability in Egypt.

In March, the KSA shipped four cargoes of oil products to Egyptian ports, marking the reinstatement of Aramco’s contract with Cairo from last year.

Saudi Arabia has been a major donor to Egypt since President Abdel Fattah al-Sisi seized power in a violent countercoup in mid-2013, but Riyadh has become frustrated with Sisi's lack of economic reforms and his reluctance to be drawn into the conflict in Yemen.

Related: Is The Oil Price Rally Running Out Of Steam?

Both sides deny claims that geopolitical tensions led to the disruption in oil shipments, though the two nations have been at odds regarding Syria and other issues in the recent past.

Iraq needs oil and gas revenues to keep its government afloat as it battles the Islamic State in Mosul and rebuilds from 1.5 decades of domestic strife.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News