Egypt Signs Exploration Agreements

Egypt has signed oil and gas exploration deals worth $187 million with several Western companies and a Tunisian firm, according to Reuters. The agreements cover seven exploration areas.

Germany’s RWE won two exploration blocks in the Gulf of Suez, while Tunisia’s HBSI, Canada’s TransGlobe, and Italy’s Edison secured five blocks in Egypt’s western desert.

In December, Egypt’s General Petroleum Corporation (EGPC) and Natural Gas Holding Co. (EGAS) announced an international auction for oil and gas exploration concessions in accordance with production sharing agreements.

Reuters noted that the concessions are for areas in the Suez Canal, Egypt’s western desert, the Mediterranean sea, and the Nile Delta.

On Sept. 10, Egypt’s Ministry of Petroleum reported two new petroleum agreements to explore for oil and gas with total Investments of $44 million. The agreements were for exploration in the Western Desert in West Kanayes and Siwa areas, with total investments of $ 44 million, at minimum, and signature bonuses totaling $25 million to drill 11 new wells.

The first agreement was with Apache Corp. in the West Kanayes area, involving drilling seven wells, with investments of $28 million, along with a signature bonus of $15 million.

The second agreement was signed between Apache and Tharwa Co. in the Siwa area, involving drilling four wells, with investments of $16 million and a signature bonus of $10 million.

Source: Reuters