Egypt’s petroleum ministry, Suez Canal Authority plan LNG station in Port Said to fuel tugboats

Egypt’s ministry of petroleum and the Suez Canal Authority (SCA) plan to build a liquefied natural gas (LNG) storage and liquefaction station in Port Said to supply the canal’s tugboats with cleaner fuel under its green transition strategy.

The project, which will use advanced international technologies, was discussed during a meeting between Petroleum Minister Karim Badawy and SCA Chairman Osama Rabie on Thursday, according to a petroleum ministry statement.

Badawy said the petroleum sector would provide full support to the SCA in implementing projects that strengthen the canal’s operations, adding that the planned LNG station would be a “qualitative addition” to efforts to operate tugboats using environmentally sustainable fuels.

He also praised the authority’s role in facilitating the passage of regasification vessels through the canal and providing navigation support at Ain Sokhna ports — efforts that have helped stabilise gas supplies to Egypt’s power and industrial sectors during the summer.

Rabie, for his part, welcomed the cooperation with the petroleum ministry, describing the project as a first step towards building similar LNG fueling stations at Egyptian ports to serve the maritime sector.

He added that the Suez Canal had prioritised the transit of regasification ships in recent months due to their importance to Egypt’s energy system. He noted that the canal continued to offer safe, efficient passage for all vessel types at lower costs than alternative routes — reinforcing its position as a global maritime hub.

Attribution: Amwal Al Ghad English

Subediting: Y.Yasser