Fast Steps By US, Allies On New Middle East Gas Supplies

The US and European allies are relocating to replace lost Russian gas supplies, with Egypt playing a crucial role in the new global oil and gas market order. Companies like Chevron, BP, Shell, and Italy’s Eni have been instrumental in securing a steady supply of gas from reliable new suppliers. Liquefied natural gas has become the key swing energy resource for the Western response to Russia’s actions in Ukraine.

Egypt holds significant gas reserves, with official estimates dating back to 2021 citing around 1.8 trillion cubic meters. It also controls the major global shipping chokepoint of the Suez Canal, which moves around 10% of the world’s oil and LNG.

The Suez-Mediterranean (SUMED) Pipeline is a crucial alternative for transporting oil from the Persian Gulf to the Mediterranean. China also seeks control over Egypt due to its position as the key transit point from the Bab al-Mandab Strait to the Mediterranean.

Several companies, including Chevron, BP, Shell, and Eni, have been actively working to secure a steady supply of gas from reliable new suppliers following Russia’s 2022 invasion of Ukraine.