$155 Million Oil and Natural Gas Exploration Agreement Signed by Egypt

Tarek al-Molla, Egyptian Minister of Petroleum and Mineral Resources, signed on Wednesday four new petroleum agreements for the exploration and manufacturing of oil and natural gas within the Western Desert, the Gulf of Suez and the Nile Valley, with minimal investments of US$155 million and signature bonuses of about $10.5 million.

The agreements embrace drilling 30 oil wells. Molla stated that President Abdel Fattah al-Sisi referred to as to proceed increasing and growing analysis and exploration plans, to attain the optimum financial profit from all pure assets.

The Petroleum Ministry is working to this finish through plans and work packages, providing new world bids and making extra petroleum agreements, Molla stated. He added that with the signing of those agreements, the variety of agreements made by Petroleum Ministry with buyers and companions since June 30, 2013, has reached 103 petroleum agreements.

Four different agreements can be signed later, the Minister mentioned, along with nine new agreements that have been authorized by the House of Representatives. The primary settlement is within the southeastern Siwa concession space within the Western Desert with the Egyptian General Petroleum Corporation (EGPC) and the IEOC firm with minimal funding of about $17 million and a signature bonus of about $1.2 million to drill four new oil wells.

The second settlement is within the West Razak Improvement Concession Area within the Western Desert with the EGPC and the IEOC firm with a minimal funding of roughly $34 million, and a signature bonus of five million dollars to drill 13 new oil wells.

The third settlement is within the North Beni Surf concession space of the Nile Valley area with the EGPC and Merlon Petroleum al-Fayoum Firm, with a minimal funding of about $36 million and a signature bonus of $2.3 million to drill eight new oil wells.

The fourth settlement within the concession area southeast of Ras al-Ush within the Gulf of Suez between the Ganoub al-Wadi Petroleum Holding Company and the Pacific Oil Limited and ZNP firms, with a minimal funding of about $68 million and a signature bonus of two million dollars to drill five new oil wells.

Molla pressured the significance of the petroleum sector’s sustainability by signing new petroleum agreements, which contributes to strengthening and maximizing the reserves and manufacturing of Egypt’s oil and gas in order that the petroleum sector continues to be a vital supply in attracting overseas investments and supporting the financial system.