Egypt seals $245m gas exploration deals to lure investors

Egypt’s state gas company EGAS has awarded six new exploration blocks worth $245 million in an effort to boost investment and strengthen its energy sector, according to Egypt Today. The concessions — four offshore in the Mediterranean and two onshore in the Nile Delta and North Sinai — are set to see at least 13 exploratory wells drilled.

Chevron and Shell will drill two wells each in North Sidi Barrani and North West Atoll offshore, while Eni’s IEOC plans three wells at North Ras El-Tin. Cheiron Egypt will target three wells in East Alexandria. Onshore, IPR will explore North Tanta with two wells, and Brenco will conduct surveys and drill one well in Al-Fayrouz, North Sinai.

Despite these moves, Egypt faces short-term challenges after Israeli gas imports fell far below forecasts, delaying industrial supplies for another week. Additional offshore exploration blocks remain open for bids until July 2, with results to follow.