MoPMR Signs Six Oil Exploration Deals, Expands Refining Projects Across Upper Egypt

The Ministry of Petroleum and Mineral Resources (MoPMR) has signed six preliminary agreements to expand exploration activities in Upper Egypt across the North Baraka, Red Sea, Khart, South Baraka, Southeast Ras El Ush, and East Zeit areas, according to a statement by the Cabinet.

Exploration activities in these areas are scheduled to begin in 2027, with potential production estimated at between 5,000 and 11,000 barrels of crude oil per day (bbl/d) by 2030, according to a report submitted by Karim Badawi, Minister of Petroleum and Mineral Resources, and reviewed by Prime Minister Mostafa Madbouly.

The report detailed MoPMR’s efforts to expand petroleum sector activities in Upper Egypt as a key driver of economic development. It pointed to increased exploration, production and investment, enhanced refining capacity, the expansion of natural gas connections, and the sector’s strengthened contributions to community development projects.

The MoPMR is opening new investment opportunities in frontier areas of the southern Western Desert, including West Assiut and Dakhla, where integrated geological and geophysical databases are being developed to highlight promising prospects for international oil companies. The sector’s investment map has been updated with 20 new opportunities, spanning southern Western Desert acreage and Red Sea blocks. These will be promoted over the next five years, beginning with a bid round launched on July 1, 2026 through the Egypt Upstream Gateway (EUG), offering three blocks in the southern Gulf of Suez: Northeast Esh El‑Mallaha, North El Morgan and Taer El Bahr

Regarding production in Upper Egypt, measures have been taken to revive the Baraka Field in Aswan, operated by Kom Ombo Petroleum Company (KOPCO). The field represents the first commercial petroleum discovery in southern Egypt.The Baraka-1 discovery was announced in October 2007, and the well was brought on stream in December 2007. This was followed by the West Baraka-2 discovery, which was brought on stream in February 2013.

According to Badawi’s report, the ministry has drawn up an integrated plan to expand and upgrade refining capacity in Assiut Governorate. The strategy aims to secure petroleum products for Upper Egypt, strengthen links between refining units and conversion complexes, and turn lower‑value streams into higher‑value fuels. It also seeks to maximise use of existing infrastructure for transport, storage and handling. Key projects under way include the diesel production complex at Assiut National Oil Processing Company (ANOPC) and a new crude distillation unit at Assiut Oil Refining Company (ASORC).

Looking ahead, it is preparing several future projects to expand refining and manufacturing capacities in Upper Egypt. These include a new gasoline production complex at (ASORC) and a feasibility study for a second diesel, naphtha, and liquefied petroleum gas (LPG) production complex, known as ANOPC 2, in Assiut.

The report boasted the achievements in  natural gas connections; the ministry has connected more than 2.195 million household customers in Upper Egypt from the start of the activity in 2009 through the end of June 2026. The figure also includes around 9,432 commercial customers and 202 industrial facilities.During FY 2025/26, more than 146,000 new household customers were connected to natural gas. The ministry targets adding more than 179,000 household customers during FY 2026/27.

The expansion will cover cities and villages across Fayoum, Beni Suef, Minya, Assiut, New Valley, Sohag, Qena, Luxor, and Aswan governorates.

The report noted that the expansion program is supported by infrastructure comprising more than 30 main pressure reduction stations and over 750 subsidiary distribution stations across Upper Egypt.Under the Decent Life (Haya Karima) initiative, the petroleum sector extended natural gas networks to 374 villages during the first phase, with 328 villages, about 88%, already receiving natural gas.

The sector has also supported community development projects in Upper Egypt, including village development, flood relief, facilities for people with disabilities, healthcare infrastructure, and youth centers.In healthcare, Nile Petroleum Company is implementing an emergency and critical care building at El-Eman General Hospital in Assiut, with PETROJET responsible for execution. The ministry also plans to upgrade the Al-Besaylia Youth Center in Aswan during FY 2026/27.