Lebanon, Syria and Egypt sign natural gas import agreement
June 22, 2022, 8:56 am

Lebanon, Syria and Egypt sign natural gas import agreement

Lebanon flag

The Arabnews reported, citing Reuters, Lebanon, Syria and Egypt on Tuesday (June 21) agreed to ship 650 million cubic meters of natural gas per year from Egypt to Lebanon via Syria, part of a US-backed effort to address Lebanon’s crippling blackouts with electricity and gas transfers.

The deal, signed at a ceremony at the Lebanese energy ministry in Beirut, would see gas piped to Lebanon’s northern Deir Ammar power plant, where it could add some 450 megawatts, or around four extra hours of power per day to the grid.

Deir Ammar is one of several plants in Lebanon that can run on both gas and diesel, but use the latter as the gas pipeline has yet to come online.

Lebanon’s caretaker energy minister Walid Fayad told Reuters, the deal also still requires the approval of the World Bank, which has pledged financing, and the United States for compliance with its Syria sanctions regime.

Lebanon's Energy Minister Walid Fayyad, on a call with World Bank's Regional Director before import deals are signed on June 21, 2022. (AP)

Fayad announced the agreement alongside representatives from Egypt and Syria, as well as Magdy Galal, chairman of the state-owned Egyptian Natural Gas Holding.

They did not disclose the financial terms.

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A statement issued later by the office of Lebanon’s caretaker prime minister Najib Mikati after his meeting with Galal and Egyptian ambassador Yaser Alawi quoted Alawi as saying the price offered was “30 percent less than global market prices.”

Lebanon’s state-run power company produces just a couple hours of power per day, forcing many to pay for expensive private generator subscriptions.

To ease the power crunch, a plan was floated last year for Lebanon to receive electricity from Jordan and natural gas from Egypt, both via Syria, which would add up to 700 MW to Lebanon’s grid.

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The World Bank had agreed to provide financing if Lebanon enacts long-awaited power sector reforms to reduce waste and boost tariff collection.

Lebanon’s cabinet passed a broad electricity reform plan in March but has yet to implement key components.

The transmission through war-ravaged Syria had also prompted concerns about exposure to US sanctions, which penalize anyone dealing with the government in Damascus.

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US officials say they have given countries “pre-clearance” to engage in talks without the spectre of sanctions but could only fully determine compliance once contracts were signed.

Fayad said he hoped the new deal would pave the way for World Bank financing and US sanctions waivers, saying “I think we did everything that they asked for.”

There was no immediate comment from the US embassy or the World Bank office in Lebanon.

Source: arabnews

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).

Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.