The Egyptian Cabinet has approved three oil and gas contracts to the tune of $319 million, greenlighting an exploration and production program that will see up to 13 wells drilled in the Mediterranean and Gulf of Suez.
The first two agreements were signed between the Egyptian Natural Gas Holding Company and US-based energy major ExxonMobil’s Egyptian subsidiary, ExxonMobil Egypt Limited.
The agreements will see the US major conduct exploration and production activities in the Cairo and Masry blocks, located in the Mediterranean basin offshore Egypt. According to the terms of the deals, ExxonMobil will operate both blocks with a 100% interest.
The third agreement was signed between the Egyptian General Petroleum Corporation, international oilfield and marine services companies Pico Petroleum and oil and gas firm the Kuwait Foreign Petroleum Exploration Company.
The deal covers the exploration and development of the Geisum and Tawila concession, located in the Gulf of Suez. Comprising the North Geisum, South Geisum, Northeast Geisum and Tawila West fields, the concession has 87 wells, six offshore platforms, five production pipelines and an onshore storage facility. Current production measures 4,900 barrels per day.
