EGYPT · ENERGY
Key Facts
- —The country Egypt is the most populous Arab country, and its gas output falls short of what homes and factories burn.
- —What happened On Tuesday 20 October 2026, Eni said it had launched start-up activities at its Meleiha Phase 2 gas plant in the Western Desert.
- —The plant The new Egypt gas hub is designed for up to 100 million standard cubic feet a day, about 1 billion cubic metres a year.
- —The operator Agiba Petroleum runs the project; it is a joint venture between an Eni subsidiary and the Egyptian General Petroleum Corporation, the state oil company.
- —The pipes The project includes development wells, gathering lines, trunklines and a new dedicated export pipeline into Egypt’s national gas network.
- —The timeline The oil minister first asked for completion before 30 June 2026, and in August he said operations would begin in September.
- —Still open Eni gave no date for first gas, no investment figure and no count of wells.
The new Egypt gas hub in the Western Desert entered its start-up phase on Tuesday 20 October 2026. Eni, the Italian energy group, says the plant is designed for up to 100 million standard cubic feet of gas a day.
For US readers, it matters because Egypt buys liquefied natural gas (LNG) cargoes on the world market, and gas produced at home lowers that need. The hub also sits in a country where US firms such as Chevron and SLB, an oilfield services group, are active.
What Eni Announced on Tuesday
Eni said in a statement from San Donato Milanese, near Milan, that it had launched start-up activities for the Meleiha Phase 2 project. The company works through Agiba Petroleum, its joint venture with the Egyptian General Petroleum Corporation (EGPC), the state oil company.
Eni called the project a key milestone in the new Egypt gas hub inside the Merged Meleiha concession, a licence area in the Western Desert. Egypt’s petroleum ministry also announced the start-up on Tuesday, Amwal Al Ghad reported.
What the New Plant Will Do
The plant is designed to process up to 100 million standard cubic feet of gas a day, about 1 billion cubic metres a year. That is more than three times the first phase, the head of Agiba, Abdel Salam El-Manzalawy, said in April.
The Egypt gas hub also includes development wells, gathering systems, trunklines and a new dedicated gas export pipeline. These link new production to Egypt’s existing gas network, so the gas can reach power stations and factories.
Why Egypt Needs Every Cubic Foot
Egypt produces roughly 3.8 to 4.1 billion cubic feet of gas a day against demand of about 6.4 billion, the Africa Oil & Gas Report wrote. Imports cover the gap of around 2.5 billion cubic feet a day.
This Egypt gas hub alone would close only about 4 percent of that gap. Agiba expects its own output to rise from about 55 million to about 125 million cubic feet a day in the financial year 2026/27.
How the Timeline Moved
On 18 April, Petroleum Minister Karim Badawi toured the Meleiha fields and told builders to finish before 30 June, before the summer peak, Al-Dostor reported. The project was then 79 percent complete, with about 5,000 workers on site.
On 11 August, Amwal Al Ghad quoted Badawi saying the plant would start operating the following month. Eni’s launch of start-up activities on 20 October is the next public step.
Who Is Behind the Project
Eni is an Italian energy company listed in Milan, and it says it has been present in Egypt since 1954. It reports production of about 242,000 barrels of oil equivalent a day in Egypt in 2025 and calls itself the country’s leading energy producer.
Al-Dostor named the builders in April as Agiba, the Egyptian contractor Petrojet and SLB, the US-listed oilfield group formerly known as Schlumberger. Badawi, Egypt’s Minister of Petroleum and Mineral Resources, leads the push to raise output.
What It Means for US Readers
Egypt competes with Europe and Asia for LNG cargoes, so each cubic foot made at home cuts the dollars it spends abroad. That helps a government that spends heavily on imported fuel and needs steady power for its factories.
For investors, the start-up follows the Chevron Lotus block exploration deal of 5 October, another sign that foreign operators keep putting money into Egyptian gas. The wider setting is in the Rio Times guide to Egypt’s natural resources.
What Is Not Known
Eni did not say when the plant will deliver first gas or reach full capacity, and it gave no figure for the total investment. The number of wells in the project has not been published either.
It is open how much of the 100 million cubic feet a day will come from new wells and how much from fields already producing. Nor is it clear how fast Egypt’s gas gap will narrow, since demand in summer usually climbs.
More: Egypt news in English, every day from The Rio Times.
Frequently Asked Questions
What did Eni launch in Egypt on 20 October?
Eni launched start-up activities at its Meleiha Phase 2 gas plant in Egypt’s Western Desert. The new Egypt gas hub is designed to process up to 100 million standard cubic feet of gas a day.
Does the plant already produce gas?
Eni announced the start of start-up activities, which is the stage before regular output. It has not said when first gas or full capacity will follow.
Who owns the project?
Agiba Petroleum runs it, a joint venture between an Eni subsidiary and the state-owned Egyptian General Petroleum Corporation. Eni says it works through Agiba in the Merged Meleiha concession.
How big is the plant compared with Egypt’s gas needs?
The plant’s 100 million cubic feet a day is roughly 4 percent of a gap of about 2.5 billion cubic feet a day. It adds to home supply but does not end imports.
Why should a US reader care?
Egypt buys LNG on the same world market as European and Asian buyers, so more home gas eases that demand. US companies such as Chevron and SLB also work in Egypt’s energy sector.
Sources: Eni, launch of start-up activities for the Meleiha Phase 2 project, 20 October 2026; Amwal Al Ghad, Eni starts up second phase of Egypt’s Meleiha gas project, 20 October 2026; Al-Dostor, petroleum minister inspects Meleiha gas plant development, 18 April 2026; Amwal Al Ghad, Egypt’s Meleiha gas plant to start operations next month, 11 August 2026; Africa Oil & Gas Report, Eni talks up its Meleiha Phase 2 project, October 2026.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief
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