The Egyptian General Petroleum Corporation (EGPC) has signed an oil and gas exploration agreement with UK-based Terra Petroleum, marking the company’s first operations in Egypt.

According to the agreement, worth $6.5 million in initial investments, the company will drill three exploration wells and conduct 2D and 3D seismic surveys in the Northwestern El Moghra concession area of the Western Desert.

Following the signing, Karim Badawi, Minister of Petroleum and Mineral Resources, stated that the agreement reflects the growing confidence of international companies in Egypt’s petroleum investment climate, citing the sector’s stability and continuous development.

He also reaffirmed the ministry’s commitment to providing full support to serious investors and fostering a competitive investment environment to accelerate exploration activities and increase production levels.

The Western Desert has emerged as a key focus for oil and gas exploration, with multiple discoveries and agreements in 2025 boosting reserves and production amid maturing fields.

Khalda Petroleum Company announced the discovery of the Gomana-1 natural gas well, where drilling and electric logging confirmed gas-bearing formations with an estimated production rate of around 36 million cubic feet per day (mmcf/d). Agiba Petroleum Company also reported a discovery at the North Lotus Deep-1 well, expected to add approximately 1,835 barrels per day (bbl/d) of crude oil and 7 mmcf/d of natural gas.

In September, EGPC signed an exploration and development agreement with Apache, covering five new blocks in the Western Desert. The deal includes plans to drill 14 wells, backed by $35 million in investments and a $25 million signature bonus.