Cairo tries to calm riled Riyadh
A delayed and much-needed $23bn oil-products package from Saudi Arabia to Cairo is part of a complex political narrative with few signs of an easy fix
Egypt's growing political independence is propelling a fundamental shift in its historical energy alliance with regional hegemon Saudi Arabia, and the change brings the potential to scar. A growing list of political irritants for Saudi Arabia is likely the reason the kingdom halted a $23bn oil-products package last October, just a few months after it agreed the five-year supply deal in April. Riyadh was rankled by Egypt's reluctance to back the Saudi-led coalition against multiple groups opposing the Yemeni government since 2015, notably the Houthis, a Zaidi Shia group from northern Yemen. But relations were particularly soured in October following Egypt's support of a Russian UN draft resol
Also in this section
9 January 2026
OPEC+ remains on track as output falls, with only Gabon failing to hit its output targets in December, although Kazakhstan’s compliance was involuntary
9 January 2026
The Latin American producer’s crude prospects rely on a multi-pronged approach where even the relatively easy wins will take considerable time, effort and cost
9 January 2026
While many forecasters are reasserting the importance of oil and gas, petrostates should be under no illusion things are changing, and faster than they might think
8 January 2026
Indonesia and Malaysia are at the dawn of breathtaking digital capabilities. Their energy infrastructure must keep up with their ambitions
