trending Market Intelligence /marketintelligence/en/news-insights/trending/rthit1kkxc5bla1y5ceapg2 content esgSubNav
In This List

Eni announces agreements allowing it to grow natural gas production in Egypt


Insight Weekly: Ukraine war impact on mining; US bank growth slowdown; cloud computing headwinds


Insight Weekly: Cryptocurrency's growth; green bond market outlook; coal investors' windfall


Insight Weekly: Challenges for European banks; Japan's IPO slowdown; carmakers' supply woes


Q4’21 US Power Forecast: Will high commodity prices accelerate the energy transition?

Eni announces agreements allowing it to grow natural gas production in Egypt

Eni S.p.A. announced that Egyptian authorities have approved several agreements granting the Italian supermajor natural gas exploration and production rights both in and offshore the North African country.

Eni has had a presence in Egypt since 1954 and is now the country's leading producer, with equity in 300,000 barrels of oil equivalent per day.

On Aug. 13, Eni announced the Egyptian government had approved a new concession agreement allowing a 10-year extension of the 203-square kilometer Abu Madi west development lease and further exploration within the 64-square kilometer El Qar'a exploration lease, both located in the Great Nooros Area offshore Egypt.

Eni said the Nooros field currently produces 32 million cubic meters per day, or 215,000 boe/d.

Through its International Egyptian Oil Co. Inc., or IEOC, subsidiary, Eni holds a 75% stake in the concession, while BP PLC owns a 25% stake. Belayim Petroleum Co., known as Petrobel, a joint venture between IEOC and the Egyptian General Petroleum Corp., or EGPC, is the operator in the Nile Delta.

The company said Egyptian authorities also authorized a five-year extension of the Ras Qattara concession agreement, allowing for a new drilling campaign in the Zarif and Faras fields, located in Egypt's Western Desert.

Eni holds a 75% stake in the 104-square kilometer concession while INA-Industrija nafte d.d. holds a 25% stake. Agiba Petroleum Co. S.A.E., a joint venture between IEOC and EGPC, is the operator.

On Aug. 14, Eni announced Egypt had approved a new concession agreement granting the Italian firm an offshore exploration license in the East Nile Delta basin of the Mediterranean Sea.

Located 50 kilometers offshore, the Nour license covers a 739-square kilometer area, where water depth ranges from 50 meters to 400 meters. Eni plans to begin drilling an exploration well in the second half of 2018.

"In participation" with the Egyptian Natural Gas Holding Co., Eni holds an 85% stake in the concession while Tharwa Petroleum S.A.E. holds a 15% stake.