The Egyptian General Petroleum Corporation (EGPC) has agreed with local refineries to raise domestic production of petroleum products by about 7% during March, a precautionary step to shore up supplies as regional tensions rise, a source familiar with production at the Petroleum Ministry told Al Manassa.
Egypt relies on imports to cover the remainder of its fuel needs, leaving it exposed to disruptions in global shipping lanes and price spikes. The move is aimed at avoiding shortages, especially of diesel and gasoline, the source said.
The source, who asked not to be named, said EGPC will increase crude oil inputs to state-run and private refineries to 620,000 barrels per day, up from 580,000 barrels per day in January and February, to secure fuel supplies for different sectors.
Brent crude rose in Monday trading to its highest level since January 2025, reaching $82.37 a barrel, amid fears Iran could close the Strait of Hormuz and disrupt global oil shipments. President El-Sisi referred to those risks during the armed forces’ annual iftar banquet, saying the state is studying all scenarios.
The source added that locally refined products cover 70% of market needs, while Egypt is contracting additional shipments of fuel from abroad to prevent shortages.
“Providing crude oil from abroad costs about $120 million to $140 million a month. Those quantities are directed entirely to Egyptian refineries to bridge the gap between local output and the operating capacity of state and private refineries,” the source said.
In fiscal year 2024-2025, Egypt’s petroleum imports jumped to record highs, driven by a higher bill for imported fuel products such as gasoline, diesel and fuel oil, as well as imports of liquefied natural gas.
The source said EGPC discussed with major refineries in Cairo, Mostorod, Suez, Alexandria and Assiut a distribution plan for fuel products in each area based on estimated consumption, noting that demand varies by governorate depending on commercial and industrial activity.
He said daily fuel volumes on the market reach 50 million liters of diesel, about 33 million liters of gasoline, and around 1 million gas cylinders.
The source said maintenance plans for refining units at different plants will be accelerated, with full rehabilitation work to be completed before the end of the first quarter of this year.
“These government efforts aim to increase local stocks of petroleum products, especially gasoline and diesel, as the most consumed fuels in the local market year-round and the ones most tied to citizens’ daily lives,” the source said.
Separately, Egypt is trying to lift upstream output. Current domestic oil production averages about 515,000 to 520,000 barrels per day, and EGPC, working with foreign oil companies, is seeking to raise production in onshore and offshore concession areas in 2026-2027.
On Feb. 12, the Petroleum and Mineral Resources Ministry announced new discoveries in the Western Desert, adding 34 million cubic feet of gas and 5,200 barrels per day of crude oil and condensates.
