The gap between the skills learned by Egyptian students and the real-world demands of the private sector is not a new phenomenon. The problem has been a recurring subject of discussion among industry experts and is particularly pronounced in technical areas such as petroleum engineering that require students to undergo time and resource-intensive training in order to develop the necessary skills.
Affirmative action programs, those that attempt to redress diversity disparities in the workforce, are no longer the sign of a forward thinking organization, but are now a necessity for companies to show their efforts to amend the gender disparity in the workplace and reap the economic benefits of a diverse workforce.
Representing less than 10% of the employees in Egypt’s oil and gas sector, women account for a significantly smaller share of the industry’s workforce than they do in almost all other industries, according to the Central Agency for Public Mobilization and Statistics (CAPMAS)’s workforce report 2016.
Since Egyptian President Abdel Fattah El Sisi announced 2016 to be “the year of the Egyptian youth,” the state’s major economic sectors have been paying attention to young professionals. The oil and gas sector, in particular, has been taking significant initiatives to empower youth and help them draw their career path.
The landscape of East Mediterranean natural gas collaboration took an unprecedented turn in February 2018 after Egypt’s Dolphinus Holdings, US-based Noble Energy Inc., and Israel-based Delek Drilling-LP announced a $15 billion gas deal. The deal, which allows Dolphinus to import 64 billion cubic meters of gas over a decade from Noble and Delek, is not only a milestone in the Egypt-Israel bilateral relations, but also a stepping-stone for the region’s natural gas production.
Lebanon’s first oil and gas offshore licensing round in the Mediterranean is raising concerns among experts over whether it will be compatible or competitive with the similar oil and gas ambitions of neighboring Egypt. On January 26th, 2017, Lebanon announced that blocks 1, 4, 8, 9 and 10 would be open for bidding as part of the first offshore licensing round in the country, aiming at developing the oil and gas sector and benefiting from its resources.
The recently discovered offshore natural gas fields in the Mediterranean Sea have driven speculation on how regional natural gas markets might change and what export and energy benefits might accrue for the countries involved. Natural gas discoveries in this area might enhance regional relations as emerging gas-rich countries need to pool their resources in order to export gas in either pipeline or liquefied natural gas (LNG) form, thereby encouraging dialogue and cooperation.
Hydrocarbon recovery in deep-water presents a unique challenge to oil and gas operators. Safe drilling operations and protecting the environment are primary requirements, in addition to minimizing risks and maximizing recovery. With average worldwide rig day rates remaining higher than $300,000 - drill ships and semisubmersible rigs -, there is no chance for unexpected costs resulting from nonproductive time, according to Baker Hughes.
Offshore oil and gas operations are getting more sophisticated and remote, as it is difficult to access into the equipment under extraordinary conditions in remote subsea and deep-water locations. Besides, the inspection needed to ensure integrity of equipment at distant and deep offshore locations is costly.
Liquefied natural gas (LNG) exports have represented a burden on the Egyptian economy for the past few years. During 2017 the Egyptian government developed plans to achieve natural gas self-sufficiency and start exporting natural gas.
