Egypt signs huge oil and gas exploration deal
Egyptian Oil Minister Tariq Al-Mulla signed three oil and gas exploration agreements with Royal Dutch Shell and Apex, with a $ 23.2 million signing.
Under the agreements, 16 new wells will be drilled in Western Sahara with a total investment of at least $ 81.4 million.
The first agreement with Shell includes an investment of $ 35.5 million, while the second and third agreements with Apex, which is operating for the first time in Egypt, include an investment of $ 45.9 million in two projects, the ministry said in a statement.
In December, Egypt accepted six bids for oil and gas exploration worth up to $ 200 million.
Oil Minister Tariq al-Mulla said earlier this month that foreign oil companies' investments in his country had risen to $ 8.1 billion in fiscal year 2016-2017, which ended June 30, from $ 6.6 billion in the previous fiscal year.
During the second half of 2016-2017, Egypt paid about $ 2.2 billion of the foreign oil companies' entitlements operating in the country, prompting these companies to increase investments and speed up the development of the Italian company "Enzo" to start producing about one billion cubic feet per day Of gas before the end of 2017.
It has reserves of about 30 trillion cubic feet of gas.
Egypt expects to exceed the investments of foreign oil companies 10 billion dollars in the current fiscal year 2017-2018.