The Egyptian Natural Gas Holding Company (EGAS) is accelerating the development of undeveloped offshore discoveries through new technical partnerships and expanded exploration programs with global majors, including Arcius Energy, ADNOC’s XRG, and ExxonMobil.
As part of the Ministry of Petroleum and Mineral Resources’ (MoPMR) strategy to boost upstream activity, EGAS recently held a technical workshop with Arcius Energy—a regional gas platform co-owned by bp (51%) and ADNOC’s XRG (49%). The sessions focused on assessing development options for undeveloped gas discoveries in the Mediterranean to bring them onto the production map. The objective is to tie these proven reserves to existing subsea infrastructure, significantly shortening the timeline to first gas utilisation of Egypt’s existing infrastructure.
Arcius Energy has committed to investing $3.7 billion over the next five years in Egypt. In August, it signed a deal with EGAS to invest about $109 million in the North Damietta offshore area of the Mediterranean Sea.
In a separate meeting, EGAS followed up with US ExxonMobil and QatarEnergy on exploration activities across their concession areas, including Cairo and Masry blocks. They assessed the results of seismic surveys and geological studies, and discussed upcoming work plans.ExxonMobil was awarded the blocks in January 2023.
QatarEnergy holds 40% stake in the two blocks, while ExxonMobil remains the operator with a 60% stake. Located offshore in the Nile Delta region, the Cairo and Masry blocks remain in the pre-discovery exploration phase, with drilling scheduled to begin this year.
The meeting also focused on the application of advanced seismic processing and interpretation technologies to support future drilling decisions, within the framework of ongoing coordination and data integration between EGAS and its partners.
EGAS reaffirmed its commitment to providing full technical support and close coordination with its international partners to maximize the value of Egypt’s gas potential and attract further investment into the sector.
It is worth noting that in November, ExxonMobil signed a Letter of Intent (LoI) with EGAS to expand natural gas exploration activities in the Mediterranean Sea and invest in a new concession area located west of the Zohr field, adjacent to Cypriot waters.
