Petroleum Minister Tarek el Molla said Saturday that a new authority will be established in mid-2016 to regulate the natural gas market.

In a press conference on Saturday, the minister added that some private companies and factories requested the permission of Egyptian Natural Gas Holding Company (EGAS) to export natural gas. 

The request will be approved after meeting security terms and other terms.

He stressed that the production of the new gas field that was discovered earlier by the Italian company will start in three years and not right now. 

The minister expected to import natural gas to meet the increasing demand on the local market.

Meanwhile, he added that the government is seeking to render Egypt a strategic hub for natural gas trade in the region in order to enhance economic development, attract investments, provide job opportunities and contribute to supporting regional stability and Egypt’s role in the region.

Petroleum Minister Tarek el Molla said once his ministry get its allocation from a loan Egypt is negotiating with the World Bank, the sum will be channeled into payment of the 2.7-billion-dollars debt to the foreign partners.

He added that oil sector is working on developing Egypt’s resources and added value via negotiating international agreements to explore for gas and oil in Egypt as well as signing new gas and oil exploration agreements.

Molla also said that the sector is intensifying cooperation with foreign partners in order to develop and explore gas fields in Mediterranean Sea as soon as possible, pointing out that north Alexandria field project will start production at the beginning of 2017 instead of mid-2017.

Source: MENA