Egypt approves five O&G exploration deals

Egypt approves five O&G exploration deals

The government of Egypt has approved five oil and gas drilling and exploration deals with foreign companies, announced Tareq el Molla, the country’s Petroleum Minister.

Egypt has turned into a net importer due to declining oil and gas production and increasing consumption. The country is trying to increase production at recent discoveries to quickly fill its energy gap.

Four of the deals are offshore Mediterranean gas exploration and drilling agreements between Egypt’s EGAS and BP (LSE:BP), Total (LSE:TTA), Eni (BIT:ENI) and Edison (NYSE:EIX).

The fifth deal is an oil drilling agreement in the Gulf of Suez between state petroleum board EGPC and local company Trident Petroleum.

Egypt currently produces 3.9 billion ft3 of gas per day and imports an additional 1-1.1 billion ft3 per day.