Egypt signs $595 mln oil, gas agreements with BP, Eni’s unit

Egypt has signed Saturday three agreements for oil and natural gas explorations that are expected to bring in new minimum total investments of around $595 million.

The deals were signed with BP PLc (BP.L), IEOC, a unit of Italy’s Eni (ENI.MI), and Egyptian state-run Egyptian General Petroleum Corporation (EGPC) for exploration in Nile Delta, El Temsah, and Ras El Barr concession areas.

The agreements include drilling 12 new wells to produce more than one billion cubic feet of natural gas per day.

Egyptian Minister of Petroleum Tarek El-Molla and Tarek El Hadidi, EGPC’s chairman have signed the agreements with Hisham Mikkawi, BP Regional CEO, and Adriano Mongini, Chairman of IEOC.

The first agreement, worth $450 million, is related to explorations in Nile Delta concession area, while the second agreement involves El Temsah area, with total investments of $85 million. The third agreement is in Ras El Barr concession area, at investments worth $60 million.