South Valley Egyptian Petroleum Holding Company (Ganope) has raised its average crude output to about 33,000 barrels per day (bbl/d) in the current fiscal year, with plans to reach 44,000 bbl/d in FY 2026/27, Chairman Samir Raslan announced.
The company has secured preliminary approvals for six new agreements with minimum investments of $83 million, Raslan noted during the company’s general assembly meeting, which was attended by Karim Badawi, Minister of Petroleum and Mineral Resources.
Moreover, Ganope has also awarded Red Sea Block 6 to bp, marking the first agreement in southern Egypt to apply the R-factor investment model, a framework where the investor’s share of production or revenues is linked to a profitability index, Raslan said.
The company is negotiating with two other international companies to reach additional investment agreements in the Red Sea, he added.
Badawi said that Ganope is targeting a significant expansion in oil exploration and production over the next five years. The company would increase exploration investments, expand drilling activity and capitalize on promising geological prospects in southern Egypt, supported by new investment models and incentives tailored to the economics of individual exploration areas.
The company is also preparing to use the results of an ongoing seismic survey covering approximately 100,000 square kilometers in the southern Western Desert to identify new exploration targets.
According to Raslan, preliminary seismic data have indicated promising sedimentary basins, particularly west and south of the Dakhla area, potentially opening new opportunities for oil and gas exploration.
Badawi said 73% of the seismic survey has been completed, with initial indicators pointing to promising geological potential. The survey is expected to provide a more comprehensive understanding of the region’s subsurface geology and help identify priority areas for future exploration.
The minister also announced that the Egyptian General Petroleum Corporation (EGPC) and Ganope are coordinating the preparation of two exploration agreements to award areas in the Western Desert to the state-owned General Petroleum Company (GPC).
The move is intended to strengthen the role of national companies in exploration and leverage their technical capabilities and accumulated experience.
In March, Ganope announced that it targets revenues over EGP 4 billion and net profits surpassing EGP 1 billion in the fiscal year (FY) 2026/27.
