Egypt plans to increase exploration and production activities by around 20% during 2026, as part of new contractual models aimed at shortening well drilling timelines and accelerating exploration programs and their results, Karim Badawi said in a meeting to review the performance of Egypt’s upstream and refining activities and discuss the sector’s key targets and work plans for the next five years, according to a Ministry of Petroleum and Mineral Resources’ (MoPMR) statement.
The plans form part of the sector’s five-year strategy to expand upstream activities, accelerate the development of new discoveries, and increase domestic oil and gas production.
On the refining front, Badawi said increased crude oil supplies and refinery upgrades raised utilization rates to over 80% in 2026, boosting domestic petroleum product output, reducing the import bill and diesel imports, and supporting higher-value exports.
Recently, Badawi said that MoPMR plans to invest $4.5 billion in refinery development to boost domestic production and reduce reliance on imports.
The meeting reviewed the status of the Meliha gas processing station in the Western Desert, which is scheduled to come online next September with a production capacity of up to 100 million cubic feet per day (mmcf/d) of natural gas, supporting domestic gas production and reducing import needs.
The Meliha Gas Processing Station is a facility that processes natural gas produced from the Meliha area, preparing it for supply to the national gas network.
For its part, Egyptian Natural Gas Holding Company (EGAS) reviewed Egypt’s performance in global upstream investment indicators, noting that Egypt ranked fourth among Arab countries and 13th globally in the Upstream Risk Reward Index. This reflects improved competitiveness and investment attractiveness.
The Upstream Risk Reward Index is an industry benchmark that ranks countries based on the balance between risks and potential returns for oil and gas exploration and production investments.
Additionally, the South Valley Egyptian Petroleum Holding Company (Ganope) reported that its production has reached its highest level since its establishment, targeting investments of around $250 million over the next five years to increase production and maximize the exploration potential of its areas of operation.
In the fiscal year (FY) 2024/25, Ganope and its subsidiaries produced around 12 million barrels of crude oil.
Moreover, Egyptian General Petroleum Corporation (EGPC) presented digital initiatives to improve resource and asset efficiency, including an electronic platform to share surplus materials and unused equipment across sector companies, and a platform to monitor environmental performance and support compliance with standards.
Badawi emphasized the importance of continuing to improve Egypt’s investment climate and operational efficiency to attract further investments and accelerate exploration and production activities.
