The State Information Service (SIS) reports that on 23 November 2025, Egypt’s Suez Canal Authority and the Ministry of Petroleum signed a memorandum of understanding to construct a major liquefied natural gas(LNG) station.
Under the deal, the partners will advance a green-energy infrastructure project that includes LNG liquefaction, storage, and bunkering at EI-Raswa, Port Said, Egypt. The facility is designed to support both canal operations and future maritime demands.
Focus on Cleaner Fuel for Canal Operations
The agreement secures the necessary gas supply for the planned liquefaction and storage units. The SCA will deepen its cooperation with oil sector companies as the technical and execution phases progress.
The project planning included detailed feasibility studies. International partners from South Korea, in coordination with Egypt’s ministries of planning and international cooperation, contributed to the studies.
SCA Chairman Osama Rabie emphasized that the LNG station aligns with the Authority’s strategy to run on LNG fits global trends and supports the International Maritime Organization (IMO) emission reduction targets.
The station will serve canal-operated vessels, including tugboats and ferries. By using LNG instead of traditional fuels, the SCA aims to reduce emissions and support sustainability in its navigation and logistical services.
Strategic Partnerships and Institutional Support
On the technical front, the Egyptian Natural Gas Holding Company (EGAS) has been actively involved in consultations.
In parallel, the SCA signed a separate MoU with its Korean counterparts. This agreement lays out project parameters, Implementation conditions, and economic assessments. Final approvals are underway.
The deal reflects a broader push by Egypt to modernize its maritime and energy infrastructure. By combining the Suez Canal’s logistical importance with green fuel ambitions, the project positions the canal as not just a transit route but a more sustainable maritime hub.
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Source: State Information Service (SIS)
