Egypt and Saudi Arabia sign an MoU to expand cooperation in oil, natural gas and petrochemicals, strengthen petroleum trade, explore joint investments and improve energy supply chains and infrastructure.
Egypt and Saudi Arabia have signed a memorandum of understanding (MoU) to strengthen bilateral cooperation across the oil, natural gas and petrochemicals sectors, while expanding trade in petroleum products. The agreement aims to improve energy sector integration, encourage joint investments and enhance the reliability of regional energy supply chains, according to Egypt’s Ministry of Petroleum and Mineral Resources.
The MoU was signed by Egyptian Minister of Petroleum and Mineral Resources Karim Badawi and Saudi Minister of Energy Prince Abdulaziz bin Salman in Riyadh, at the conclusion of the 17th ministerial meeting of the International Energy Forum (IEF). The meeting focused on energy security and shared priorities amid evolving global energy challenges.
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Under the agreement, both countries plan to expand cooperation in the trading, transportation, storage and distribution of crude oil, petroleum products and natural gas. The framework also covers the development of supporting infrastructure and logistics services to improve operational efficiency and strengthen supply chain resilience.
The partnership seeks to promote more efficient energy markets and improve the reliability of petroleum product supplies. By combining their respective technical capabilities and industry expertise, Egypt and Saudi Arabia aim to identify opportunities for greater coordination across their energy sectors.
The agreement also provides for the exchange of expertise and best practices in fuel station operations and development. Additional areas of cooperation include the transportation and tracking of petroleum products and liquefied petroleum gas (LPG) cylinders, with an emphasis on improving operational processes and knowledge sharing.
Both countries will explore investment opportunities in joint petrochemical projects and initiatives to expand exports. The MoU further establishes provisions for exchanging technical information, conducting reciprocal visits, and organizing training programmes, conferences and workshops to strengthen professional capabilities and facilitate technology and knowledge transfer.
The agreement builds on existing energy cooperation between the two countries. Previous initiatives include a 2022 memorandum covering broader energy collaboration, including renewable energy and electricity grid integration. Egypt and Saudi Arabia are also advancing a $3 billion electricity interconnection project designed to link their power grids.
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Through the latest agreement, Cairo and Riyadh seek to broaden their energy partnership, support investment and trade, and improve coordination across oil, gas and petrochemicals. The initiative reinforces their shared focus on energy security, infrastructure development and stronger regional cooperation.