Egypt signs $342mln agreements with internationl companies to boost oil, gas production

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The Egyptian Minister of Petroleum and Mineral Resources, Karim Badawi, has signed two agreements with international companies for natural gas exploration and production, with total investments of $342 million.

The first agreement was signed with the Egyptian General Petroleum Corporation (EGPC), Shell Egypt, and Malaysia’s Petronas to inject $222 million in the West Delta area to increase natural gas production, according to a cabinet statement.

This agreement includes drilling three new natural gas wells with a production capacity of up to 200 million cubic feet by the end of 2024.

The second agreement was signed with EGPC, Cheiron Energy, and the Kuwait Foreign Petroleum Exploration Company (KUFPEC) to inject around $120 million to increase production and expand exploration in the Geisum and Tawila West area in the Gulf of Suez.

This agreement provides for drilling nine wells, including three exploration wells, which are expected to increase production from around 21,000 barrels of crude oil per day to 26,000.