Egypt’s Petroleum Ministry has unveiled four fresh exploration agreements with global energy players, totaling over $340 million. The state-owned EGAS will oversee the drilling of 10 new wells in the Mediterranean and Nile Delta regions (Reuters, 2025).
The largest deal, $120 million, is with Shell for three wells in the Merneith offshore block; Eni will drill three wells in East Port Said under a $100 million accord. Arcius Energy—a joint venture between BP (51%) and ADNOC’s XRG (49%)—secured a $109 million offshore deal in North Damietta. Meanwhile, Russia’s Zarubezhneft will invest $14 million to drill four onshore wells in North El-Khatatba, Nile Delta (Reuters, 2025).
Egypt’s natural gas production has plummeted more than 40% since March 2021, with output in May hitting only 3,545 million cubic meters. Against this backdrop, the deals underscore Cairo’s strategic push to reignite domestic production, attract foreign capital, and reassert its status as a potential East Mediterranean energy hub.
