The Minister of Petroleum and Mineral Resources, Tarek El Molla, headed the general assembly meeting of Qarun Petroleum Company to review the adjusted budget for Fiscal Year (FY) 2019/20, and the planning budget for FY 2020/21, according to a press release.

During the meeting, El Molla affirmed that increasing crude oil production is at the top of the ministry’s agenda. That is to narrow the gap between production and consumption and to reduce imports. He also stated that the Western Desert will witness an expansion in petroleum activity to increase production wells drilling, developing and exploration activities for new crude oil and gas reservoirs.

This would be done through implementing modern technologies and intensifying seismic survey work which will increase reserves and production from this vital region, he added.

Ashraf El-Sayed Abdel-Gawad, Qarun Chairman, said that the budget investments for the FY 2020/21 reached $170 million, noting that it targets 33,000 barrels of crude oil per day (bbl/d). This is based on implementing a plan for drilling works in the Eastern extended maritime region (BOLT), which includes drilling five new development wells in addition to an exploration well.

He added that H2 of the current FY will witness eight new well drilling activities; including six development wells and two exploration wells.

He referred to Qarun’s efforts to rationalize expenditures as part of the ministry’s strategy to reduce production cost expenses, which succeeded in saving $1.4 million during H1 FY 2019/20.