North Sinai Petroleum Company (NOSPCO) has said it will allocate $89 million in investment for the upcoming fiscal year (FY), targeting the drilling of three new exploration wells. The plan aims to sustain and increase current production levels, which stand at approximately 60 million cubic feet per day (mmcf/d), as part of the company’s five-year production strategy.
The announcement was made during the General Assembly meetings held to approve the amended and proposed budgets, chaired by Salah Abdel Kerim, CEO of the Egyptian General Petroleum Corporation (EGPC). Abdel Kerim emphasized the importance of maintaining and boosting production rates, maximizing the use of existing facilities to support nearby development areas, and building on the company’s strong safety performance, which has exceeded two million safe working hours so far.
In addition, Sayed Abdel Fattah, Chairman of the Egyptian Natural Gas Holding Company (EGAS), participating via video conference, affirmed the company’s full support for NOSPCO’s drilling programs and production growth.
NOSPCO, a joint venture between EGPC and Perenco Egypt, boosted its natural gas production by 34 million cubic feet per day (mmcf/d) following the start-up of new offshore wells, Phase III “B”, in North Sinai. The wells have lifted output to around 60 mcf/d after an investment of $67 million. The company is implementing the fourth phase of gas production, with investments of $105 million.
In another meeting, the financial and production plans of South Abu Zenima Petroleum Company were discussed. Tarek Abdel Fattah, Chairman of PetroZenima, presented the company’s plan to invest $23.6 million for the FY 2026/2027. The focus will be on accelerating exploration across promising geological areas within their concessions.
EGPC CEO Salah Abdel Kerim stressed the importance of fast-tracking the three exploration wells included in the five-year plan to drive production growth. He also underscored the necessity of strict environmental compliance, given the sensitive nature of the region.
According to the FY 2025/2026 business plan outlined in January 2025, PetroZenima planned to drill the appraisal well (1-NWSAZ) in the Gulf of Suez. If successful, the well may be tied back to the Muzhil offshore platform, with expected production capacity estimated at around 2,000 barrels per day (bbl/d) starting April 2026.
