Engineer Karim Badawi, Minister of Petroleum and Mineral Resources, underscored the importance of joint efforts with investment partners to increase domestic oil output, speed up exploration, and tap new reserves. Speaking at the general assembly of the Gulf of Suez Petroleum Company (GUPCO) to approve the 2024/2025 results, Badawi said boosting production remains the most cost-effective path to securing Egypt’s energy needs while reducing the import bill. He noted that savings from lower imports could be reinvested in fresh exploration and production, ensuring long-term energy sustainability.
The meeting was attended by senior officials from the petroleum sector alongside Dragon Oil—GUPCO’s main investment partner—and Italy’s IOC, which operates through the Tor Sinai subsidiary.
Badawi thanked partners for their ongoing commitment, stressing that cooperation enables Egypt to unlock untapped potential using advanced technologies. He further emphasized the importance of digital transformation and artificial intelligence in exploration and operations, while maintaining strict adherence to safety standards and environmental protection. He also highlighted that personnel safety remains a top priority, praising GUPCO’s record in this field.
Eng. Abdulwahab Al-Maghuri, GUPCO Chairman, reported that the company invested $452 million during the fiscal year, sustaining average production at 57,000 barrels per day. He confirmed the completion of the first development phase of the North Safa field, with the second phase scheduled to enter service in the third quarter. The company also advanced its drilling program, targeting 14 wells across its concessions.
Al-Maghuri noted progress toward the “zero accident” goal, alongside expanding renewable energy projects to replace conventional fuels. Efforts to cut flare gas emissions through reuse initiatives were also highlighted, alongside advances in digital transformation to enhance well efficiency.
Dragon Oil CEO Abdul Karim Al Mazmi praised the joint venture’s achievements, citing strong performance across production, safety, and environmental benchmarks. Francesco Gaspari, President of Eni’s IOC Production in Egypt, commended GUPCO’s Tor Sinai subsidiary for meeting production targets, stabilizing operating costs, and strengthening safety indicators. Both executives emphasized that the success of the past fiscal year reflects the depth of Egypt’s partnerships with international operators.
The developments at GUPCO align with Egypt’s broader energy security agenda: reducing reliance on imports, conserving foreign currency, and reinvesting savings into upstream projects. By combining traditional output expansion with digital transformation and renewable initiatives, Egypt is signaling a dual-track strategy—meeting immediate domestic demand while laying the groundwork for a more diversified, lower-emission energy mix. For investors and policymakers, the $452 million investment underscores confidence in Egypt’s petroleum sector as both a short-term stabilizer of the trade balance and a long-term driver of sustainable growth.
