Minister of Petroleum and Mineral Resources Karim Badawi, a delegation of Cheiron Energy officials, which included David Thomas, Member of the Board of Directors; and Alaa El Batal, Chairman of the Egyptian General Petroleum Corporation (EGPC) have signed a landmark agreement for the Geisum and Tawila West region in the Gulf of Suez.

The agreement is sealed between EGPC; Cheiron Energy and KUFPEC to pump new investments for boosting development operations, increasing production rates, and expanding research and exploration.

With a total investment of about $120 million, the agreement comes with a commitment to drill nine wells, including three exploratory wells, to increase exploration work, which will contribute to increasing production from about 21,000 barrels of crude oil per day (bbl/d) to 26,000 bbl/d.

Before the signing, Badawi held a meeting with the Cheiron officials, during which Badawi welcomed the company officials, stressing that Cheiron Energy is an important partner for Egypt in oil and gas production through its multiple investments in the Western and Eastern Deserts, the Gulf of Suez, and the Mediterranean Sea.

Cheiron Energy officials confirmed that it has an intensive work program in its onshore and offshore concession areas and that it plans to increase the number of rigs in its operating areas to reach the common goal of increasing production and reserves.