Egypt secures $6 million in gas investment deals with Harbour Energy, Eni

Egypt signed new agreements with Harbour Energy and Eni to stimulate investments and increase gas production, within the framework of the strategy of the Ministry of Petroleum and Mineral Resources aimed at attracting more investments, accelerating the pace of research and exploration, and developing natural gas resources.

Minister of Petroleum, Karim Badawi, said that the ministry continues to implement a package of investment procedures and incentives aimed at encouraging partners to pump new investments and intensify exploration, development, and production activities, contributing to achieving new discoveries and accelerating their placement on the production map.

According to a statement issued by the Ministry of Petroleum, the commitment agreement for the Desouk area in the onshore Nile Delta was signed between the Egyptian Natural Gas Holding Company (EGAS) and the British company Harbour Energy, which includes adding two new sectors to the concession area, with Harbour Energy committing to drilling two new exploratory wells and performing maintenance work on one of the producing wells under the Desouk-1 development contract, with initial investments amounting to $6 million and a signature bonus of $1 million.

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Driving offshore growth

Investments are scheduled to rise to about $18 million if new discoveries are achieved, through pumping additional investments worth $12 million to develop those discoveries, which enhances the opportunities to increase natural gas production from the region.

A memorandum of principles was also signed between the Egyptian General Petroleum Corporation and the Italian company Eni to renew the Port Fouad offshore development area in the Mediterranean Sea and its work program, with the aim of supporting the continuity of petroleum activities and enhancing the attractiveness of the region for new investments.

The memorandum aims to provide a stimulating investment and economic framework for pumping new investments, and exploring promising opportunities for research and exploration, in addition to stimulating the potential development of undeveloped discoveries in the region, while maintaining the existing facilities and infrastructure due to their strategic importance in supporting and stabilizing current production and opening new horizons for growth in neighboring areas.