Saudi Aramco to suspend oil products to Egypt

In this Tuesday, June 25, 2013 file photo, Egyptian drivers wait in long queues outside a gasoline station in Cairo, Egypt. (AP)

Saudi Aramco informed the Egyptian General Petroleum Corporation, Egypt’s state oil company, in early October that it would halt the supply of refined oil products to Egypt, a government official told Reuters on Monday.

“Aramco informed the EGPC early this month of its inability to supply Egypt with shipments of petroleum products,” the official said, without giving a timeline for the suspension or a reason.

Traders told Reuters last week that Egypt had not received October allocations of petroleum aid from Saudi Arabia, forcing its state oil buyer to rapidly increase tenders even amid a severe dollar shortage and growing arrears to oil producers.

The EGPC plans to allocate more than $500 million to purchase petroleum products and Egypt plans to launch some tenders to buy fuel needed for local consumption.

Last Update: Monday, 10 October 2016 KSA 15:41 - GMT 12:41