Egypt eyes expanded horizontal drilling with SLB to lift oil output

Egypt is stepping up cooperation with SLB to deploy advanced drilling technologies, including horizontal drilling and artificial intelligence, as it seeks to lift oil and gas production and counter natural field declines.

Petroleum Minister Karim Badawy discussed on Tuesday the expansion plans with SLB CEO Olivier Le Peuch during a meeting on the sidelines of the Egypt Energy Show (EGYPES 2026) in Cairo, according to a ministry statement. The talks reviewed ongoing projects and explored opportunities to scale up the company’s role in upstream operations.

The push comes as Egypt looks to unlock harder-to-recover reserves and improve recovery rates from mature fields, where conventional extraction methods are becoming less effective. Horizontal drilling — combined with data-driven technologies — is increasingly seen as critical to sustaining output.

Badawy said the government is introducing new contractual frameworks and incentives to accelerate the adoption of advanced technologies, while highlighting SLB’s role in seismic surveys and projects in the Red Sea.

Le Peuch said artificial intelligence and modern drilling techniques can enhance efficiency, lower costs and help offset production declines, reaffirming SLB’s commitment to Egypt’s energy sector.

Attribution: Amwal Al Ghad English