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High hopes for cheap coal in Egypt's cement industry

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Report summary

As Egypt's cement industry suffers from gas supply cuts and from rising gas prices (jumped from US$ 3/mmbtu in 2011 to US$ 8/mmbtu in 2014), the sector considers switching to imported coal to meet future energy needs. We forecast that the share of coal reaches 60% in the cement sector's fuel mix by 2020, while the share of gas falls from 75% in 2010 to 10% in 2020. In 2030, the industrial sector consumes about 17% less gas due to the fuel switching in the cement industry.

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    High hopes for cheap coal in Egypt's cement industry

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Table of contents

  • Executive summary
  • Cement industry suffers from higher gas prices
  • and from lower gas supplies
  • Coal enters the cement industry fuel mix
  • Gas to coal switching starts in 2014

Tables and charts

This report includes 7 images and tables including:

Images

  • Chart 1: Gas prices paid by industrial sectors
  • Chart 2: Egypt's tightening gas market balance
  • Chart 3: Capacity utilisation in Egypt's cement industry
  • Chart 4: Gas-equivalent prices for thermal coal
  • Chart 5: Gas-equivalent prices for coking coal
  • Chart 6: Fuel mix in the industrial sector
  • Chart 7: Industrial gas demand by sector

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