EGPC Strikes Three New Exploration Agreements Across Egypt
- Deal Overview: Egypt’s EGPC signed three new oil & gas exploration agreements totaling approximately USD $121 million. The accords involve Perenco Egypt, Dragon Oil, and Apache Corp., covering offshore and onshore blocks and planned drilling programs aimed at boosting domestic exploration activity.
Updated Analysis
The agreements signal renewed international investor confidence in Egypt’s upstream sector. Collectively the deals fund the drilling of around 20 new wells (Perenco 3, Dragon Oil 3, Apache 14) and cover areas including North Sinai offshore, the Gulf of Suez (East El Hamad) and multiple blocks in the Western Desert. If successful, these programs could expand Egypt’s resource base, help secure feedstock for local refineries, and support export potential.
Deal Details
- Perenco Egypt: ~USD $46 million investment to re-award North Sinai offshore area; program includes drilling three wells.
- Dragon Oil: USD $40.5 million agreement to drill three wells in the East El Hamad area (Gulf of Suez).
- Apache Corp.: ~USD $35 million contract covering new Western Desert blocks with a program of 14 wells.
Read full coverage:
Reuters — Egypt signs oil & gas exploration deals worth more than $121 million |
Arab News — Egypt attracts new upstream investment
Market Snapshot
Short-term market impact is limited — these are exploration agreements rather than immediate production increases. However, successful exploration could reduce Egypt’s import needs over the medium term and strengthen regional energy security. Investors will watch drill results and timelines closely; the projects also support service-sector activity (rigs, local contractors, logistics).
Latest market article:
Reuters — Coverage of the new exploration agreements (Sept 14, 2025)
