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Oil & Gas

EGPC signs two new Exploration Agreements in the Gulf of Suez and Western Desert

Posted: December 7, 2015 at 7:23 pm   /   by   /   comments (0)

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Minister of Petroleum and Mineral Resources, Eng. Tarek El-Molla, signed two new agreements for oil and gas exploration in the Gulf of Suez and Western Desert.

The first agreement is with Tunisia’s HBSI for the Haliph area in the Western Desert, with a minimum investment of about $9 million and a signature bonus of $1 million, to drill 4 exploratory wells in the area. The agreement reflects the confidence of the Tunisian company in the high potential of the Western Desert, which is the main focus of its Egyptian investments and an area of past success.

The second agreement is a 10 year extension of EGPC’s Gazurina oilfield, located West of Gamasa Al-Ardiya in the Gulf of Suez.

The agreements were signed on behalf of EGPC by EGPC chairman Mohammed Al-Masry. Head of HBSI, Mr. Tarek Bouchamaoui signed on behalf of the Tunisian company.

Following the signatures, El-Molla said that the ministry has signed 63 new oil and gas exploration agreements with international companies, with a minimum investment of $14.3 billion for the drilling of 268 wells. He added that this is essential to expand production rates and oil reserves, a key objective for the ministry as guide-lined by the government, and the priority of securing energy supplies for the domestic market.

(Source: Ministry of Petroleum)