popular articles

ExxonMobil signs gas exploration deal with Egypt for two offshore blocks

Egypt signed a memorandum with ExxonMobil to restart natural gas exploration in the Mediterranean on the Cairo and Masry blocks amid a sharp decline in domestic production.

Please share:

Egypt’s Ministry of Petroleum and Mineral Resources has signed a memorandum of understanding with ExxonMobil Corporation to assess the gas potential of the offshore Cairo and Masry blocks, located in the eastern Mediterranean. The initiative aims to attract new investment in a sector facing pressure following a significant drop in national production.

The agreement, which remains at a preliminary stage, sets the framework for technical and strategic cooperation between the Egyptian state and the American multinational to analyse available resources in these largely unexplored areas. The ministry noted that data from a three-dimensional seismic survey covering more than 11,000 square kilometres is already available, providing an initial geophysical evaluation of the targeted blocks.

Towards a new exploration phase

If the seismic results indicate commercially viable reserves, ExxonMobil could proceed with an integrated development plan for the Cairo and Masry blocks. This phase may lead to medium-term production, aiming to stabilise or increase Egypt’s domestic natural gas supply.

In 2023, Egypt produced 59.3 billion cubic metres of natural gas, down 11.5% compared to the previous year, according to government data. This figure marks the country’s lowest production level since 2017. The offshore Zohr field, one of Egypt’s key gas reserves, has been in decline for several quarters due to technical issues, particularly water infiltration.

Changing contractual framework

The Ministry of Petroleum stated that this partnership is part of a broader programme to modernise contractual mechanisms with foreign companies. The goal is to enhance the country’s attractiveness by offering greater regulatory stability and long-term visibility.

At the same time, Egypt has launched a new onshore drilling campaign in the Gulf of Gharib, located in the Eastern Desert. According to the ministry’s projections, 75 new wells are expected to be drilled within a year, with anticipated output of 7,500 barrels per day. This project is being led by the state-owned Egyptian General Petroleum Corporation (EGPC).

The memorandum with ExxonMobil comes as Egypt seeks to secure its energy supply while maintaining its position as a regional producer and exporter of liquefied natural gas (LNG).

Register free of charge for uninterrupted access.

Publicite

Recently published in

The Iraqi federal government initiates legal proceedings against the autonomous region of Kurdistan regarding gas contracts signed with American companies, while Washington reaffirms its support for these strategic energy agreements.
South Africa aims to revive the exploitation of its shale gas reserves by seeking technological and commercial support from the United States, proposing a major purchasing agreement for American liquefied natural gas.
South Africa aims to revive the exploitation of its shale gas reserves by seeking technological and commercial support from the United States, proposing a major purchasing agreement for American liquefied natural gas.
Several Chinese companies have signed long-term contracts to purchase liquefied natural gas indexed to the U.S. Henry Hub, despite heightened trade tensions and the recent application of specific tariffs on American hydrocarbons.
Several Chinese companies have signed long-term contracts to purchase liquefied natural gas indexed to the U.S. Henry Hub, despite heightened trade tensions and the recent application of specific tariffs on American hydrocarbons.
Jereh integrates artificial intelligence solutions into its oil operations, increasing fracturing efficiency by 36% through an autonomous electric system tested in the Sichuan Basin.
Jereh integrates artificial intelligence solutions into its oil operations, increasing fracturing efficiency by 36% through an autonomous electric system tested in the Sichuan Basin.
The Australian government has authorized an extension of the major North West Shelf gas project until 2070, sparking economic, cultural, and environmental debates both domestically and on international liquefied natural gas markets.
Pacific Energy’s Canadian subsidiary plans to produce liquefied natural gas with one of the lowest carbon intensities in the sector, using low-emission technologies and local carbon credits.
Pacific Energy’s Canadian subsidiary plans to produce liquefied natural gas with one of the lowest carbon intensities in the sector, using low-emission technologies and local carbon credits.
South Africa has proposed a liquefied natural gas import agreement with the United States to strengthen bilateral trade and establish a long-term business partnership.
South Africa has proposed a liquefied natural gas import agreement with the United States to strengthen bilateral trade and establish a long-term business partnership.
ICSID increases compensation owed to Enagás to USD 302 million in dispute over Peru’s cancellation of a major gas pipeline project.
ICSID increases compensation owed to Enagás to USD 302 million in dispute over Peru’s cancellation of a major gas pipeline project.
Belgrade has confirmed the temporary extension of its gas supply contract with Moscow, ensuring the daily delivery of 6 million cubic metres until autumn at an unchanged price.
European gas reserves reach 50.3 bcm, but current injection rates may prevent meeting the 90% regulatory target before November.
European gas reserves reach 50.3 bcm, but current injection rates may prevent meeting the 90% regulatory target before November.
The U.S. federal commission has authorised Venture Global to begin construction of the CP2 plant, a 28 Mt/year LNG terminal that could become the country’s largest.
The U.S. federal commission has authorised Venture Global to begin construction of the CP2 plant, a 28 Mt/year LNG terminal that could become the country’s largest.
The Algerian state utility plans a 56% increase in 2025 investment, targeting domestic network expansion and electricity export growth towards Europe and Africa.
The Algerian state utility plans a 56% increase in 2025 investment, targeting domestic network expansion and electricity export growth towards Europe and Africa.
Wood Mackenzie warns of a potential gas supply deficit in Indonesia, due to slow development of untapped resources and a lack of attractive regulatory framework.
Mubadala Energy will supply natural gas to two Pupuk Indonesia plants starting in late 2028, when production begins at the South Andaman block, according to statements made at an industry forum in Jakarta.
Mubadala Energy will supply natural gas to two Pupuk Indonesia plants starting in late 2028, when production begins at the South Andaman block, according to statements made at an industry forum in Jakarta.
QatarEnergy is set to begin liquefied natural gas production in the US by the end of 2025 and expand its North Field East project in Qatar starting mid-2026.
QatarEnergy is set to begin liquefied natural gas production in the US by the end of 2025 and expand its North Field East project in Qatar starting mid-2026.
TotalEnergies has signed a 20-year contract to purchase 2 million tonnes per annum (Mtpa) of LNG from Ksi Lisims LNG, a liquefaction project located in British Columbia, Canada.
TotalEnergies has signed a 20-year contract to purchase 2 million tonnes per annum (Mtpa) of LNG from Ksi Lisims LNG, a liquefaction project located in British Columbia, Canada.
Shell shareholders approved 21 out of 22 resolutions at the Annual General Meeting, rejecting a motion related to liquefied natural gas activities despite strong overall support for the group’s strategy.
An Australian tribunal has approved Santos' $2.3 billion Narrabri gas project despite objections from Indigenous communities and environmental concerns, citing major public benefits for gas supply.
An Australian tribunal has approved Santos' $2.3 billion Narrabri gas project despite objections from Indigenous communities and environmental concerns, citing major public benefits for gas supply.
Kurdistan signs oil and gas development agreements with HKN Energy and Western Zagros worth $110bn over the projects’ lifespan.
Kurdistan signs oil and gas development agreements with HKN Energy and Western Zagros worth $110bn over the projects’ lifespan.
Indonesian state-owned oil company PT Pertamina has signed ten gas sales agreements with domestic firms, including gas distributor PGN and electricity provider PLN.
Indonesian state-owned oil company PT Pertamina has signed ten gas sales agreements with domestic firms, including gas distributor PGN and electricity provider PLN.
Mexico could eliminate imports of 384 billion cubic feet of gas per year by reaching 45% clean electricity by 2030, according to Ember.
Energean transfers its offshore stakes in Morocco to Chariot just one year after entering the market, following below-expectation outcomes from the Anchois-3 gas well.
Energean transfers its offshore stakes in Morocco to Chariot just one year after entering the market, following below-expectation outcomes from the Anchois-3 gas well.
Ankara announces the discovery of a new Black Sea gas reserve worth $30bn as part of its strategy to boost public investment in the energy sector.
Ankara announces the discovery of a new Black Sea gas reserve worth $30bn as part of its strategy to boost public investment in the energy sector.
Two new oil and gas sites in the Natuna Sea are expected to produce 20,000 barrels of oil and 60 million cubic metres of gas per day.
Two new oil and gas sites in the Natuna Sea are expected to produce 20,000 barrels of oil and 60 million cubic metres of gas per day.

Advertising