Egypt has announced that it successfully saved about $3.6 billion in fuel import costs during the 2024/2025 fiscal year, thanks to a boost in local energy production. The Minister of Petroleum and Mineral Resources, Karim Badawi, revealed this development over the weekend during a meeting at the headquarters of the Egyptian Natural Gas Company (GASCO). The meeting gathered senior officials in the petroleum and mineral resources sector, along with heads of leading energy companies, to review achievements, discuss future targets, and address challenges facing the industry.
The minister explained that the savings were made possible by a steady increase in fuel output from domestic sources. He linked this progress to the ministry’s reforms and investment-friendly policies, which were designed to attract new partners, ensure timely payment of dues to companies, and stabilize production after earlier years of decline. According to him, Egypt’s energy sector is now recording more stable output levels and is well-positioned for gradual growth in the years ahead.
Karim Badawi did not fail to commend the efforts of field teams and technical staff who work tirelessly in oilfields and production sites across the country. He said their resilience and dedication were part of the reasons Egypt was able to maintain supply and avoid reliance on foreign imports.
On infrastructure, the minister spoke about Egypt’s preparation for liquefied natural gas (LNG) operations. He revealed that the country now has a regasification fleet with a daily capacity of 2.25 billion cubic feet. This facility is operated by more than 1,500 workers drawn from different sectors, ensuring that the system runs smoothly. Badawi noted that this capacity strengthens Egypt’s energy security by guaranteeing a constant gas supply and protecting the country from possible disruptions in global markets.
He also drew attention to Egypt’s ongoing petrochemical projects under the Egyptian Petrochemicals Holding Company. According to him, the projects are not only aimed at creating more economic opportunities but also designed with environmental considerations in mind. The minister explained that petrochemicals remain a key driver of industrial growth and that diversifying into this area will further strengthen Egypt’s energy portfolio.
In addition to oil and gas, the minister highlighted ambitious plans in the mining sector. He announced the government’s decision to restructure the Mineral Resources Authority into a more economically-driven body. The aim, he explained, is to increase the mining sector’s contribution to Egypt’s gross domestic product (GDP) from the current level of less than 1% to about 6% within three years. Badawi emphasized that the mining industry has huge untapped potential that can be harnessed for national development.
During the session, the minister urged stakeholders across the energy and mining sectors to continue improving their performance and to coordinate closely with relevant authorities. He also reminded companies and contractors of the importance of enforcing safety standards at both administrative and operational sites. According to him, the government wants to ensure that safety procedures are strictly followed to prevent workplace accidents and protect workers in the field.
Industry observers say Egypt’s savings of $3.6 billion will provide some relief to the economy at a time when global energy prices remain unpredictable. The government is hoping that consistent growth in local production will reduce dependence on imports and create more opportunities for foreign exchange savings. Some analysts also believe that with continued investment in infrastructure, petrochemicals, and mining, Egypt could position itself as a stronger energy hub in the region.
While challenges such as fluctuating global demand and investment risks remain, the new figures show that Egypt’s focus on self-reliance in energy production is beginning to yield results. The announcement is expected to attract further attention from international partners, especially those looking for stable investment opportunities in North Africa.
