EG-Natural Gas Connections Project

closed

The development objective of the Natural Gas Connections Project of Egypt is to (i) contribute to the Government of Egypt (GOE)'s program of switching consumption of liquefied petroleum gas (LPG) for natural gas through investment in new connections; and (ii) exploit the scale economies in transportation of natural gas relative to LPG in very densely populated areas, thereby reducing the cost of gas provision. The project will include two components: (a) Gas Transmission aiming at extending the existing gas transmission system by adding 37 km of pipelines and 4 pressure reduction stations (PRSs) in the Cairo area to provide additional supply points and to improve reliability of supply for the expansion of the distribution network. (b) Gas Distribution and Connection aiming at expansion of the gas distribution system for the connection of about 300,000 new customers, including the conversion of the customers' appliances to natural gas. The Distribution and Connection component will allow transport of gas at the points of delivery from the transmission network to housing areas, interconnect and control pressure in IP/MP/LP mains and to deliver gas to each individual house. The component will also include the connection of new appliances and the conversion of existing appliances in the customer household for the safe use of natural gas.