CAIRO, Mar 30 – Egypt is set to import at least 1 million barrels of crude oil per month from Libya to offset disruptions in Kuwaiti supply caused by the closure of the Strait of Hormuz.
The arrangement follows a request by the Egyptian General Petroleum Corp. to Libya’s National Oil Corp., with shipments expected to total around 1.2 million barrels monthly across two cargoes.
The shift comes as Egypt grapples with rising energy costs amid the ongoing Middle East conflict, which has disrupted traditional supply routes and forced producers in the Gulf to scale back output.
Kuwait, a key supplier to Egypt, had been exporting between 1 and 2 million barrels of crude per month. However, reduced production and refining activity, alongside slowed shipping through Hormuz, led Kuwait Petroleum Corp. to declare force majeure on crude sales.
Egypt also imports roughly 1 million barrels per month from Saudi Aramco, highlighting its reliance on external energy sources.
The country’s energy demand remains significant, with annual consumption estimated at around 12 million tons of diesel and 6.7 million tons of gasoline. Egypt is also a net importer of natural gas and has begun implementing consumption control measures, including reduced operating hours for commercial establishments.
The deal with Libya underscores a broader shift in regional energy flows, as countries adapt to supply shocks by seeking alternative sources closer to home.
