Egypt to settle $1.3b in oil, gas partner dues by June ’26 – ministry

Egypt plans to settle $1.3 billion in oil and gas partner dues by the end of June 2026, down from $6.1 billion in June 2024. The move aims to boost domestic production and reduce import costs.

Egypt’s Minister of Petroleum Karim Badawi said in a statement released on 21 March that the government is working to settle all partner dues. Monthly payments will continue as usual. The step follows directives from Abdel Fattah El-Sisi to speed up payments, build confidence, and encourage investment.

Since mid-2024, the ministry has introduced investment incentives to reduce arrears. It has also coordinated with the Central Bank of Egypt (CBE) and the Ministry of Finance. Prime Minister Mostafa Madbouly has provided continuous oversight. These efforts helped halt the decline in production caused by slower investments in 2021–2022.

Restored confidence has encouraged international companies to expand operations. Eni plans to invest $8 billion. BP plans $5 billion. Arcius Energy plans $2 billion. Shell is expanding gas activities in the Mediterranean. Apache Corporation is increasing investments in the Western Desert, exceeding $4 billion.

According to the statement, the ministry plans to drill 101 exploratory oil and gas wells in 2026. This is part of a five-year programme targeting over 480 wells across Egypt.

Attribution: Amwal Al Ghad English