Egypt stocks surge after Eni’s gas find
Egypt’s stocks jumped Monday posting gains worth 6.8 billion Egyptian pounds (US$868.4 million) after Italian energy giant Eni announced a potentially huge natural gas discovery off the country’s coast.
The market capitalisation has hit 444.732 billion pounds during the closing session of Monday.
‘Supergiant’ Gas Discovery
Eni SpA announced Sunday it has discovered a “supergiant” natural gas field off Egypt, describing it as the “largest-ever” found in the Mediterranean Sea.
The announcement about the discovery came a day after Eni CEO Claudio Descalzi met in Cairo with Egyptian President Abdel Fattah al-Sisi.
Eni said the discovery — made in its Zohr prospect “in the deep waters of Egypt” — could hold a potential 30 trillion cubic feet of gas over an area of 100 square kilometers (38.6 square miles).
The discovery well is 190 kilometers (about 120 miles) from the Egyptian coast, and is at a depth of 1,450 meters ( 4,757 feet) in the Shorouk Block, the company said. The block is about 107 kilometers (66 miles) from Port Said.
“Zohr is the largest gas discovery ever made in Egypt and in the Mediterranean Sea and could become one of the world’s largest natural gas finds,” Eni said in a statement. “The discovery, after its full development, will be able to ensure satisfying Egypt’s natural gas demand for decades.”
Indices
Egypt’s benchmark index, EGX30 climbed 2.79 percent to 7252.43 points.
The newly-launched index, EGX50 EWI index edged up 2.03 percent to 1233.62 points.
EGX20 jumped 3.08 percent to 7081.04 points.
In addition, the mid- and small-cap index EGX70 grew 1.68 percent to 392.38 points. The price index, EGX100 hiked 1.72 percent to 837.7 points.
Turnovers grew higher
On Monday, the bourse’s trading volume has recorded 263.925 million securities, with turnovers closed at 1.775 billion pounds, exchanged through 26,068 thousand transactions.
Also during the closing session, 170 listed securities have been traded in; 14 declined, 127 advanced; while 25 kept their previous levels.
Investors’ Activities
Arab investors were net buyers Monday capturing 3.81 percent of the total market, with a net equity of 36.628 million pounds, excluding the deals.
On the contrary, local and foreign investors were net sellers seizing 91.66% and 4.54% respectively of the total markets, with a net equity of 35.625 million and 1.002 million pounds, respectively, excluding the deals.
