Eni has closed agreement with partners for the restart of Damietta liquefied natural gas plant in Egypt and amicable settlement of Union Fenosa Gas disputes
The liquefaction plant, owned by SEGAS, with a capacity of 7.56 bcm per year, which has been idle since November 2012, has resumed production. The first LNG cargo was carried out on 22 February, followed by a second cargo on 4 March, while a third, which is being loaded at the facility, will be sold directly by Eni to its customers in Europe.
The purchase of Egyptian LNG consolidates Eni's integrated development strategy by increasing the volumes and flexibility of its portfolio, in synergy with its upstream assets.
Through this agreement, the company strengthens its presence in the East Mediterranean, a major region for the supply of natural gas, which is a fundamental resource for the energy transition, of which Egypt is the main producer in the area.
As for Union Fenosa Gas' activities outside Egypt, Eni will take over the natural gas marketing activities in Spain, strengthening its presence in the European gas market.
The agreement comes at an important time when, thanks in part to the rapid entry into production of Eni's recent natural gas discoveries, especially from the Zohr and Nooros fields, Egypt has regained full capacity to meet domestic gas demand and can allocate excess production for export through LNG facilities.