Dana Gas to invest $80-100mln in Egypt

Sharjah-based Dana Gas Company said on Wednesday it intends to invest $80-100 million in Egypt to support its presence in the Arab country.

The firm, which operates in Egypt, Iraq and other countries, is also planning to drill 11 new oil wells in Egypt as part of its expansion plan in the region, said Mohammed Mubideen, Investor Relations Manager in Dana Gas.

Mubideen told CNBC Arabia cable news network that the Company already has assets of between $200-300 million in Egypt and that it has reached an agreement for asset merger with the Egyptian Natural Gas Company Holding (EGAS).

He did not provide details of the agreement apart from saying it is awaiting approval by Egypt’s Parliament.

Mubideen revealed that Company’s gas sales in the first nine months of 2023 have declined to around $152 million on a year-on-year basis and that oil output from its Egyptian fields has fallen by 14 percent to about 23,000 barrels per day.

He said Dana Gas’s revenues from condensates sales also receded to nearly $110 million in the same period but added the decline in the income would be offset by expansion projects in Iraq’s Kurdistan, where Dana Gas has strong presence.