Egypt hails sumed results, urges more Pan-Arab cooperation in oil

By NNN-Kuna

Cairo : Egypt’s Minister of Petroleum Sameh Fahmy said Friday his country considered pan-Arab cooperation in the field of oil a strategic goal due to the importance of oil industry.

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The implementation of strategic joint projects by Arab countries can enhance cooperation, Fahmy told reporters here after attending the general assembly meeting of the Arab Petroleum Pipeline Company, known also as Suez-Mediterranean Pipeline (SUMED).

The meeting endorsed the achievements made in 2006 by SUMED, a model for successful Arab joint ventures.

SUMED earned net profits amounting to 1.2 billion Egyptian pounds (a USD equals EGP 5.745) last year. The figure, a new record, represents 50 percent of the paid capital of the company, the minister pointed out.

Egypt owns 50 percent equity SUMED while Saudi Arabia, Kuwait, the United Arab Emirates and Qatar own the remaining percentage.

Meanwhile SUMED board chairman Mustafa Gomaa said his company was leading world transporter of oil as it linked the Gulf of Suez harbor of Ein Al-Sokhna to the Mediterranean harbor of Side Krer via a 320 km long pipeline.

The pipeline is an essential link for carrying Arabian Gulf oil to European and US markets. It carried a total of 113 million tons of oil last year. The figure represents 96 percent of the total capacity of the pipeline amounting to 117 million tons, Gomaa noted.

He attributed the maximization of SUMED potentials to effective cooperation between his company and the Suez Canal Authority which encouraged 182 giant oil tankers to use the pipeline to convey larger parts of their shipments last year.