Thursday 11 February 2021
Last update on Thursday, February 11, 2021 At 8:43 AM
Egypt is the only African country whose exploratory activity in the oil sector has not been slowed down because of the Covid-19. A success that is the fruit of political will, the aim of which is to ensure energy self-sufficiency and to make the country a regional hub for hydrocarbons.
Egyptian oil company Egyptian General Petroleum Corporation (EGPC) and state-owned gas company (EGAS) have announced that they will launch a tender for oil and gas exploration by the end of the month. February. The project is justified by the need for the country to increase its oil production capacity in particular in order to cope with the maturing of a large number of oil fields.
Egypt produced an average of 600,000 barrels of oil per day last year, its lowest level in 40 years. In addition, this production is not sufficient to meet the domestic demand for fuel. According to Petroleum Minister Tarek El Molla, the program will cover blocks in the Mediterranean Sea and in the Nile Delta, as well as onshore blocks located in the western and eastern deserts.
At this time, EGPC and EGAS have not provided further clarification regarding the criteria for selecting future bidders. Recall that although the country has a low capacity in terms of oil production, it is nonetheless considered one of the largest gas producers on the African continent with around 7 billion cubic feet per day recorded in 2020.
Egypt has also achieved self-sufficiency in gas.
Source Ecofin Agency
