Eng. Tarek Al-Molla, Minister of Petroleum and Mineral Resources, asserted that developing Upper Egypt governorates is a strategic goal adopted by the ministry. The ministry will boost Upper Egypt gas services by establishing new petroleum projects, attracting new investments in order to explore oil and gas in South Valley and expanding seismic reflections through the project of geological data collection in open areas such as the red sea, a promising spot for exploration.
Furthermore, the ministry aims at attracting foreign investments which springs from the petroleum sector’s commitment and transparency with international companies in a way that reflects Egypt’s good positive image. In addition, new production units will be established in ASORC – Assiut Oil Refining Company in order to meet the oil products’ needs of South Egypt.
Al-Molla stressed on the significance of the memorandum of understanding, signed among South Cairo Electricity Distribution Company, New & Renewable Energy Authority and Egyptian Electricity Holding Company. The memorandum of understanding should come to effect to take advantage of the geothermal energy and use oil shale to generate electricity.
The ministry is exerting its efforts to deliver gas services to housing units in Upper Egypt governorates as a part of the national project of delivering gas services to achieve social equality among Egyptians. Furthermore, the ministry is working hard to replace liquified petroleum gas with natural gas which can save a large amount of the first. Natural gas services were delivered to 7,6 million housing units in 26 governorates, according to the minister of petroleum.
These statements were made during the general assembly meeting of Ganoub El Wadi Petroleum Holding Company. The meeting was headed by the minister of petroleum to approve the company’s 2015/2016 outcomes, in the presence of first deputy ministers, chairmen of Egyptian General Petroleum Corporation (EGPC ) and Egyptian Petrochemicals Holding Company (ECHEM), and deputy of Accountability State Authority.
Sherif Susa, Chairman of Ganoub El Wadi Petroleum Holding Company, presented the most significant outcomes of the company, pointing out that the company has made agreements with American, Canadian, Malaysian, British and Egyptian companies to explore 5 areas for oil and gas with investments worth $100m. Moreover, the company has held a public auction for oil exploration in 10 areas in South of Suez Gulf and Western Sahara. Currently, offers are being received by the company until November.
Susa asserted that oil exploration efforts have been fruitful as RAKGAS LLC, Emirati Ras al Khaimah Gas Commission, is evaluating Rak-1 X well which is located in Al-Gazaliat, Western Sahara. The well is expected to contain hydrocarbon. In addition, Petro Gulf Misr drilled GC9-A well with an expected production capacity of 1182 barrels daily and the reserves were estimated at 2,2 million barrels. Susa pointed out that the total production capacity of the subsidiaries of Ganoub El Wadi Petroleum Holding Company is 27 thousand barrels daily.
Susa said that the company has finished the procedures of presenting the integrated oil exploration project that covers open areas in South Valley. The project will be presented in the beginning of the current financial year to collect up-to-date data on the most promising areas for exploration that could be offered in auctions later on. Procedures are taken to sign a contract with the Nuclear Materials Authority to conduct gravity and magnetic surveys on South Valley fields.
According to Susa, Assiut Oil Refining Company (ASORC) has met 70 per cent of Upper Egypt needs of oil products, including Aswan, Assiut and New Valley. Furthermore, 5 new gas stations, owned by Petroneel – El Nile Petroleum Marketing Co, have started operating. With these new gas stations, Upper Egypt governorates now have 58 gas stations and 23 stations are under construction. This strategy aims to increase the efficiency of Upper Egypt services.
As for natural gas delivery to housing units in Upper Egypt governorates, Susa said that gas services have been delivered to more than 128 thousand housing units this year which make the total number of housing units that have natural gas facilities, 673 housing units. Finally, the company intends to focus on delivering gas services to remote areas in Upper Egypt.
