Apache Corporation has signed a five-year extension agreement to its Khalda-2 drilling concession in the Western Desert, reported Egypt Oil & Gas, according to an exclusive press release. Egypt Independent wrote that the agreement includes an expected investment of $40m in the digging of 10 new wells.
The press release added that Apache uses modern drilling methods that contribute to the swift recovery of oil and uses its existing infrastructure to reduce the production costs. According to the press release, the minister believes that these methods will vicariously result in the growth of Khalda.
The deal was signed by Petroleum Minister Tarek El Molla, EGPC CEO, Tareq al-Hadidy, and Apache VP, David Shi. El Molla stressed on how this agreement extends a successful partnership with Houston-based Apache, which operates in Egypt through the Khalda Petroleum Company, a joint venture with the EGPC.