Egypt aims to invest $1.2 bln in drilling 110 gas and oil wells in FY 2024/2025

The committee is responsible for reviewing and discussing the new government’s program.

Badawi added that by 2030, Egypt will have invested $7.2 billion to drill 586 exploratory gas and oil wells.

"We are also launching international bids through the Egypt Exploration and Production Gateway, which focuses on making data on new areas of exploration available digitally to partners throughout the year," he said.

"Our top priority is to continue coordination and cooperation with the Ministry of Electricity and Renewable Energy to provide the necessary fuel supplies to operate power stations," Badawi explained.

He noted that Egypt coordinates with foreign partners to schedule and pay off overdue payments to encourage them to inject more investments to increase oil and gas production as quickly as possible.

In addition, Badawi highlighted that the ministry focuses on creating incentive mechanisms to boost production programs and expedite exploration programs to benefit all parties.

"Because climate action and energy transition have become essential to Egypt’s sustainable development strategy, the ministry strives to take due consideration of the environmental aspects of its activities," he noted.

Rebuilding trust
 

Badawi stressed that oil and natural gas production from current fields has decreased by up to 25 percent over the past three years, while the value of overdue payments to foreign partners has risen, leading to slower exploration and development plans and increasing the need to import to bridge the gap between production and consumption.

"We are working to rebuild trust with partners by agreeing to settle overdue payments in exchange for continued essential investments in exploration and development activities. As part of the national energy mix diversification program, we focus on increasing natural gas production to enhance reliance on clean energy sources," he explained.

Increasing production and maximizing capacities
 

"We are currently considering adding another floating storage and regasification unit in Ain Sokhna, with the possibility of using the existing liquefaction facilities in Damietta and Idku in reverse in line with the subsidiary program’s goals of developing the petrochemical industry," Badawi noted.

He added that the ministry is working on maximizing consumption efficiency and increasing production system efficiency to reduce the cost per barrel, thus creating a sustainable investment environment for partners and investors.

In addition, Badawi highlighted that the ministry was coordinating with the government to reach fair prices for petroleum products.