Egypt and the UAE have joined forces to establish a $3 billion logistics zone aimed at enhancing trade in the Mediterranean region. The agreement was formalized in New Alamein City, witnessed by Egypt’s Prime Minister, Mostafa Madbouly, during the signing of a memorandum of understanding (MoU) between the two governments.
The deal includes plans to integrate the Fujairah Petroleum Zone’s system into Egypt’s Hamra Petroleum Port on the Mediterranean coast. This strategic move is in line with the Egyptian Ministry of Petroleum and Mineral Resources’ broader initiative to strengthen Egypt’s position as a regional hub for trading crude oil and petroleum products.
The project also involves leveraging the infrastructure and facilities of Egypt’s ports to boost the reception and trading of petroleum products. It aims to enhance the local market supply through existing partnerships between the Fujairah Company and global oil and gas suppliers, providing a competitive edge to the Egyptian General Petroleum Corporation.
A joint working team from both countries has been established to ensure the smooth implementation of the agreement and to address any challenges that arise.
In related news, last July, Dragon Oil Company introduced AI technology to advance the development of the Morgan and Badri fields in Egypt.