Egypt Says LNG Exports at Full Capacity after Gas Price Surge

Egypt's Minister of Petroleum and Mineral Resources Tarek El Molla speaks during the Saudi Green Initiative Forum in Riyadh, Saudi Arabia, October 23, 2021. REUTERS/Ahmed Yosri
Egypt's Minister of Petroleum and Mineral Resources Tarek El Molla speaks during the Saudi Green Initiative Forum in Riyadh, Saudi Arabia, October 23, 2021. REUTERS/Ahmed Yosri
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Egypt Says LNG Exports at Full Capacity after Gas Price Surge

Egypt's Minister of Petroleum and Mineral Resources Tarek El Molla speaks during the Saudi Green Initiative Forum in Riyadh, Saudi Arabia, October 23, 2021. REUTERS/Ahmed Yosri
Egypt's Minister of Petroleum and Mineral Resources Tarek El Molla speaks during the Saudi Green Initiative Forum in Riyadh, Saudi Arabia, October 23, 2021. REUTERS/Ahmed Yosri

Egypt's natural gas exports are at full capacity of about 1.6 billion cubic feet per day (bcf/d) from its two natural gas liquefaction terminals as it seeks to benefit from a surge in international gas prices, Petroleum Minister Tarek El Molla said on Thursday.

Egypt's natural gas production is stable, currently ranging between 6.5 and 7 bcf/d, he told Reuters.

Exports are expected to fall to 1 bcf/d in April due to regular seasonal fluctuations, Molla added, as domestic consumption starts increasing into the summer.

Gas and oil are a crucial source of foreign investment and dollar revenues for Egypt, which has been trying to position itself as an energy hub ever since the 2015 discovery of the giant offshore Zohr field.

It has also worked to boost regional gas trade by hosting the East Mediterranean Gas Forum, set up to promote gas exports from the region.

Molla did not say what level LNG exports had risen from, but Egypt has expanded exports after ending a long shutdown at the Damietta liquefaction plant in February.

"Egyptian gas has played a role in securing Europe's energy needs," Molla told Reuters in separate comments at an EMGF conference last week. "The liquefaction units are now operating at full capacity as we try to maximize our natural gas exports in light of the rise in international gas prices."

Egypt currently imports around 450 million cubic feet of gas per day (mmcf/d) from Israel for re-export, a figure that Molla said it seeks to raise to 600-650 mmcf/d by the first quarter of 2022.

Further increases would require the construction of a new onshore pipeline, which could be installed in 2024-25, Molla said. Last week, Egypt and Israel signed a memorandum of understanding to increase Israeli natural gas supplies.

Egypt is also planning 60-65 mmcf/d of exports to Lebanon under a US backed plan to ease Lebanon's power crisis. Molla said the start of exports had been pushed back to after Christmas and this was now expected at the beginning of 2022.

Egypt recently made amendments to crude oil extraction agreements, which Molla said could result in an increase of about 100,000 barrels per day (bpd), from current production of 575,000 bpd.

The amendments could result in $5 billion in new investment over the next three years, while $6 billion in foreign investment in the energy sector is expected during Egypt's current fiscal year, which ends in June, Molla said.

Egypt's fuel product subsidy bill increased by 76% during the first quarter of the current fiscal year, reaching 6.9 billion Egyptian pounds ($440.61 million), led by an increase in the cost of butane subsidies, Molla added.



Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)
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Iraq Oil Output Exceeds 5 million bpd

Majnoon oil field near the Iraqi city of Basra (Reuters)
Majnoon oil field near the Iraqi city of Basra (Reuters)

Iraq produces more than 5 million barrels of oil per day (bpd), Oil Minister Basim Mohammed told state news agency INA on Saturday.

According to Reuters, Iraq is pushing for a higher OPEC production quota as the economic fallout from the Iran war and new investment by oil majors increase pressure on Baghdad to boost output, potentially putting it at odds with the producer group.

The conflict has hit Iraq particularly hard, forcing major export cuts and depriving the state of oil revenue, which accounted for 88% of government income last year.


IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
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IMF: Any Slowdown in AI-driven Growth Would be Factor for Central Banks

IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)
IMF Managing Director Kristalina Georgieva speaks during the Annual Meetings Plenary at the Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) at the Queen Sirikit National Convention Center (QSNCC) in Bangkok on October 16, 2026. (Photo by Lillian SUWANRUMPHA / AFP)

Central bankers around the world would need to consider any slowdown in AI-driven growth as they assess steps in their fight against inflation, International Monetary Fund Managing Director Kristalina Georgieva said on Friday.

Georgieva said concerns about dependence on the AI investment boom and high valuations were impacting markets around the world.

"Things are going up and down, and this is likely to continue," she told an audience at IMF headquarters in Washington, adding that the volatility would complicate the job of central banks at a time when risks to price stability had been growing.

A steep rout in technology stocks on Thursday rippled through markets on fears that ⁠the Democrats' victory ⁠in the US midterm elections would increase regulatory scrutiny of AI and slow the data center build-out, sending investors to the safety of bonds.

The political jitters are hitting an AI trade already on shaky footing due to worry about return on massive spending on AI-related infrastructure, with the meltdown spurring margin calls and spooking retail investors and hedge ⁠funds alike.

Georgieva said the AI investment boom was lifting growth in some countries, helping to offset a negative oil-supply shock triggered by the war in the Middle East, but it was also adding to inflationary pressures and financial stability concerns.

The IMF last month flagged significant growth and financial stability risks from a potential ending of the AI investment boom, among other factors, including a prolonged Middle East war. At the time, it warned that a steep drop in AI investment could lead to a sharp fall in asset prices, ultimately cutting global GDP ⁠by 1.1% ⁠by 2028, including a 1.8% drop in US output.

Georgieva did not repeat the downside forecast on Friday, but acknowledged the recent market volatility.

"Should there be a slowdown in the AI-driven growth impulse, it would need to be factored in as central banks assess the necessary steps in the fight against stubborn inflation," she said.

Democrats are planning to unleash a flood of new legislation targeting artificial intelligence systems and data-center development when they take control of the US Congress in January, Reuters reported on Friday, citing congressional aides and advocates.

That would mark a sharp shift from the Republican-led Congress, where lawmakers largely focused on promoting AI development and declined to pass legislation restricting the technology.


World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
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World Food Prices Dip in October, but Remain Higher Than a Year Ago

A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)
A worker carries loaves of bread for sale at a bakery in the capital city of Cairo, Egypt November 4, 2026. (Reuters)

World food prices edged lower in October as weaker import demand contributed to monthly declines in cereal, dairy and meat prices, but were still nearly 6% higher than a year earlier, the United Nations' Food and Agriculture Organization said on Friday.

The FAO Food Price Index, which tracks monthly changes in international prices for a basket of food commodities, ‌averaged 133.9 points ‌in October, down from a revised ‌135.6 ⁠in September.

The index ⁠was 5.9% higher than a year earlier, but remained 16.4% below its March 2022 peak.

FAO's cereal price index fell 4.5% from September and was 12.6% lower than a year ago, as wheat and maize quotations declined. Wheat prices eased on weak import demand ⁠and improved production prospects, especially in Argentina.

"Expectations of ‌easing constraints on Black ‌Sea export flows added to the downward pressure on prices, ‌although continued disruptions to Black Sea logistics limited the decline," ‌FAO said in a statement.

Maize prices also eased after reaching a three-year high in September, pressured by the US harvest, expectations of ample supplies in South America and renewed ‌prospects of easing tensions in the Black Sea region.

Vegetable oil prices edged up 0.3%, ⁠as ⁠higher soybean and sunflower oil prices more than offset a fall in rapeseed oil prices.

Sugar prices rose 6.6%, their fourth straight monthly increase, to the highest level since December 2024, after rainfall disrupted harvesting in Brazil. They were now 28.8% above a year ago.

The dairy index fell 1.1%, as lower butter and cheese prices linked to ample supplies and subdued demand outweighed gains in milk powder.

The meat index declined 1.2%, while still slightly above its year-earlier level, as ovine and bovine meat prices fell.