The Egyptian General Petroleum Corporation (EGPC) has entered into three new agreements with international companies for oil and gas exploration in the country’s Western Desert, Gulf of Suez and North Sinai regions, reported Egypt Oil & Gas.
The contracts, signed with Egypt-based Berenco Egypt, United Arab Emirates (UAE)-based Dragon Oil and US-based Apache, are aimed at enhancing the country’s energy resources.
Egypt’s Minister of Petroleum and Mineral Resources Karim Badawi said: “The deals reflect the growing confidence of international companies in Egypt’s energy sector.”
Berenco Egypt is set to explore the Offshore North Sinai (ONS) area under the agreement with EGPC. The company plans to drill three wells with investment of $46m (E£2.22bn) and a $1m signature bonus.
Apache will focus on the Western Desert for the exploration and development of five blocks, where it plans to drill 14 wells. The venture requires $35m in investments and comes with a $25m signature bonus.
Dragon Oil, fully owned by the Emirates National Oil Company (ENOC), will drill three wells at East El-Hamd in the Gulf of Suez, with financial commitments amounting to $40.5m (Dh148.74m) and a signature bonus of $4.5m.
Dragon Oil acting CEO Abdulkarim Ahmed Al Mazmi was quoted by Zawya as saying: “The signing of this agreement reaffirms Dragon Oil’s commitment to strengthening its strategic presence in the Arab Republic of Egypt and supporting EGPC’s efforts to develop energy resources in the Gulf of Suez region, in line with the company’s vision for growth and sustainability.
“The agreement includes the drilling of two new wells of oil and natural gas within the East El-Hamd area, reflecting the company’s drive to explore additional resources that contribute to meeting the growing demand for energy.”
In 2023, EGPC partnered with Norway-based DNV to establish science-based targets for its net-zero strategy.
The initiative is part of EGPC’s contribution to the Egypt Vision 2030 initiative, meet the country’s Sustainable Development Goals and adhere to the Paris Climate Agreement.
