Egyptian Natural Gas Holding Company (EGAS) Chairman Magdy Galal has announced that his company aims to establish seven developmental projects and put 20 developmental wells on the production line during the fiscal year (FY) 2024/25.
These measures will be taken for the company to achieve the planned initial production rates of 1.5 billion cubic feet per day (bcf/d) and 21,300 barrels of condensates with total investments of $2.6 billion.
The announcement came during the general assembly meeting of EGAS headed by the Minister of Petroleum and Mineral Resources Tarek El Molla to approve the planning budget of FY 2023/24.
Galal added that EGAS aims to drill 18 exploratory wells in the Delta and Mediterranean in addition to implementing seismic survey with total investments estimated at $775 million as well as signing four agreements with signature bonus of $12 million and two developmental contracts worth $400,000.
Regarding natural gas usage expansions projects, Galal said that the company plans to connect the natural gas to 900,000 housing units and completing the establishment of the infrastructure as part of Haya Karima (“Decent Life”) initiative. Moreover, Gala said that EGAS plans to establish new 60 station for natural gas supply to vehicles and convert 90,000 cars to run on natural gas.
concerning the company’s progress in fiscal year 2023/24, it has awarded four areas at the Delta and Mediterranean during Q1, with signature bonus worth $7.5 million and total investments of $281 million, Galal explained. He noted that the company signed nine contracts and modified two with signature bonus of $30.5 million and total investments of $9.2 billion for implementing seismic survey and drilling 12 exploratory wells.
The managing director said also that EGAS has completed drilling of five exploratory wells, executing five developmental projects and putting five developmental wells ion the production line with initial production rates of 165 bcf/d and more than 2,000 barrels of condensates.
Furthermore, Galal discussed that the company has delivered natural gas to 480,000 housing, 57 industrial customers and more than 1,000 commercial consumers during the current fiscal year until March.
There are 38,000 cars have been converted to run on natural gas and 50 new stations have been established in addition to 19 conversion centers for dual fuel have been implemented.
