Dana Gas has issued a statement 30 Sunday mentioning that it has received an additional payment of $44.3m from its operations in Egypt yesterday. This payment is made up of an additional $35m industry payment from the government and $9.3m from the sale of 157,350 barrels of El Wastani condensate, with both payments in US dollars.
Moreover, Dana Gas added that the company has now received two payments worth an equivalent of $55m in December from the Egyptian government towards overdue receivables. The shipment of El Wastani condensate is the fifth shipment of condensate sales in 2018, resulting in total collections of $54m from Egypt in 2018.
Furthermore, it added that the total receipts from Egypt has reached $199m year-to-date compared to $164m in 2017, an increase of 21% year-over-year. The level of the company’s receivables in Egypt are now at its lowest since 2011, though the company is hoping for further increase in payments so as to reduce the level to zero as agreed.
The receivables owed to Egypt from foreign oil companies has reached $6.3bn in August 2013 according to government reports, and a $1bn was paid in October 2013. Furthermore during 2014, 2015, and 2016 the Egyptian government began to schedule the receivables at a rate of $1.2bn to be paid on a monthly basis, decreasing total receivables from $6.3bn to $2.4bn by June 2017.
Noteworthy, British Gas, one of the most important companies back then, refused to redevelop the wells and stopped all development plans.
Meanwhile, the considerable part of the receivables are owed to Eni in the amount of $1.3bn, British Gas of $1.2bn, British Petroleum of $1.4bn, and Apache Corporation of $850m.
In mid-December 2018, the Council of Ministers declared that the Egyptian Ministry of Petroleum paid $5.1bn of the receivables to the foreign companies since 2014, or a total $6.3bn.