Egypt has secured over $19 billion in investment commitments from four major international oil companies (IOCs) for the next three years, Prime Minister Mostafa Madbouly announced during a cabinet session, in what analysts are calling a landmark vote of confidence in the country’s energy sector.
The breakdown of pledges includes $8 billion from Italy’s Eni, $5 billion from British Petroleum (BP), $4 billion from US-based Apache, and $2 billion from UAE-based Arcius Energy. “This diversity of global giants interested in investing in the sector reflects their confidence in the Egyptian economy amid global turbulence,” Madbouly said.
The announcement significantly surpasses an earlier December figure, when Petroleum Minister Karim Badawi had disclosed a combined commitment of $16.7 billion from Eni, BP, and Arcius Energy through 2030. The latest figure adds Apache to the mix and reflects an acceleration of pledged capital.
New Discoveries Fuel the Optimism
Madbouly pointed to two significant recent discoveries as evidence of Egypt’s upstream potential. The first is a new Nile Delta gas find in the Abu Madi area, expected to add 50 million cubic feet per day to production. Its proximity to the shore means it could begin producing as early as this summer, helping trim the country’s fuel import bill.
The second is the Denise West1 exploratory well in the Mediterranean’s Temsah concession, operated by Eni and BP. Estimated reserves exceed 2 trillion cubic feet of gas and 130 million barrels of condensate. At full development, the field could produce between 500 and 600 million cubic feet per day — covering 8 to 10 percent of Egypt’s total natural gas needs. Production is expected to begin in the second half of 2027.
Clearing the Debt Slate
Madbouly credited the investment surge partly to the government’s systematic settlement of overdue payments to foreign energy partners. Outstanding dues have been cut from over $6.1 billion in 2024 to $714 million at the end of April, with full clearance targeted by the end of June. Regular payments, he said, have encouraged partners to ramp up drilling, production, and development activities.
“All these efforts contribute to reducing the import bill and enabling Egypt to move closer to achieving self-sufficiency in its energy needs, especially natural gas,” the Prime Minister said.
Source: egyptoil-gas.com