The Egyptian General Petroleum Corporation (EGPC),  Cheiron Petroleum Corporation, and  Capricorn Energy PLC.signed on May 19 a new deal to pump at least $208 million in the consolidated Badr El Din concession in the Western Desert to accelerate exploration, development, and production activities, noted a statement by the Ministry of Petroleum and the Mineral Resources  (MoPMR).

This came immediately after Capricorn announced that Karim Badawi, Minister of Petroleum and Mineral Resources, has signed the consolidated and amended concession agreement covering eight of the Company’s existing Egyptian Western Desert concession in which it has a 50% participating interest held jointly with Cheiron Oil and Gas Limited.

The consolidation agreement, while operational since July 2025, has taken effect only on May 19, when Badawi signed it.

“We are delighted to have received the final signed approval for our consolidation agreement from Minister Badawi. We appreciate EGPC and our operating partner, Cheiron, for their collaboration throughout this process and look forward to
working together under the improved terms.”Randy Neely, Chief Executive, Capricorn Energy PLC said.

According to the consolidation agreement, eight Western Desert concessions operated by Badr El Din Petroleum Company (BAPETCO), the joint venture of EGPC, Cheiron, and Capricorn, will be merged, alongside the addition of new exploration acreage.

Meanwhile, the work program under the investment deal includes upgrading the production infrastructure in the area, notably the Badr-3 processing plant, reprocessing seismic data, and conducting a 3D seismic survey over 500 square kilometers. These measures aim to maximize the value of geological data and identify new opportunities to increase production.

The agreement is the outcome of the Ministry of Petroleum and Mineral Resources’ efforts to encourage investment and create an attractive climate for foreign partners. It supports the injection of new investments into exploration areas and field development in the Western Desert, which is considered Egypt’s most important crude oil–producing region.

The new consolidation agreement stems from a major realignment of Western Desert upstream assets that began in September 2021. At that time, a consortium formed by Egypt’s Cheiron Energy and the UK’s Capricorn Energy completed a 50/50 joint acquisition of Shell’s onshore oil and gas portfolio. These assets were transitioned under the operational umbrella of BAPETCO.