Egypt Signs Nine New Oil and Gas Agreements Worth More Than $1 Billion

Six international and Egyptian companies will search for oil and gas in the Mediterranean and Red Sea with the drilling of 17 new exploration wells.

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Egypt’s Minister of Petroleum and Mineral Resources Tarek El Molla has signed nine new agreements worth more than $1 billion with six international and Egyptian companies to search for oil and natural gas in parts of the Mediterranean and Red Sea. The agreements are for the drilling of 17 new exploration wells.

Three additional agreements are pending approval in the near future. The total of 12 deals target the drilling of 23 wells in nine regions in the Mediterranean and three regions in the Red Sea, with a minimum total investment of $1.4 billion.

The first seven agreements, all signed by Egyptian Natural Gas Holding Co. (EGAS) are as follows.

Exxon MobilMediterranean/North Marquia
Chevron, Tharwa PetroleumMediterranean/North Sidi Barrani
Chevron, TharwaMediterranean/Narges
Chevron, TharwaMediterranean/North Dabaa
Exxon Mobil, TharwaMediterranean/North Saloum
BP, TharwaMediterranean/North Saloum
Total and partnersMediterranean/North Ras Kanays

Two oil exploration agreements were signed by Ganoub El Wadi Petroleum Holding Company (Ganope). One was with Shell and its partner, Tharwa, and the other is with Chevron and its partner, Tharwa, both for exploration in the Red Sea.

In announcing the agreements, El Molla said the participation of the Egyptian Tharwa Petroleum Company opens the door for Egyptian companies to expand their gas exploration operations in deep water.