The Egyptian General Petroleum Corporation has entered a $6.5 million oil and gas exploration deal with UK-based Terra Petroleum, marking the firm’s entry into the Egyptian market.
Under the agreement, Terra Petroleum will drill three wells in the Northwestern El Moghra block in the Western Desert and carry out both 2D and 3D seismic surveys, according to an official statement.
The agreement supports the Ministry of Petroleum and Mineral Resources’ broader plan to increase exploration activity and raise production levels.
It comes after Egypt signed three additional oil and gas agreements in September valued at over $121 million with international companies, targeting expanded exploration and drilling across major hydrocarbon areas.
In a statement shared on the Egyptian Cabinet Presidency’s official Facebook page, Petroleum Minister Karim Badawi said the agreement reflects growing international confidence in Egypt’s petroleum sector, citing its stability and ongoing development.
The statement added that the ministry is committed to supporting credible investors and creating an enabling environment to speed up exploration, boost production, and raise output.
In August 2024, Egypt announced the discovery of a new oil deposit in the Western Desert, which officials said could significantly enhance national energy production.
The discovery was made at the West Fewebs-1 well in the Kalabsha Development Area and revealed a sizeable volume of high-quality crude oil.
The find underscored Egypt’s continued push to unlock its energy resources, particularly in the Western Desert, a region with a long history of oil and gas activity.
At the time, Badawi highlighted the significance of the discovery, noting that early results from the well were encouraging.
During the same period, Egypt also introduced new incentives designed to encourage exploration and development, increase output, and narrow the gap between local supply and demand.
Currently, more than 60 international companies operate across 183 exploration and production sites nationwide, spanning the Mediterranean Sea, Nile Delta, Western and Eastern Deserts, Sinai, and Upper Egypt, under the supervision of entities linked to the Ministry of Petroleum.
soure: www.arabnews.com
African Energy Council