Egypt to Invest $5.7 Billion in 480 New Oil Wells to Boost Energy Production and Global Competitiveness
Egypt has announced an ambitious $5.7 billion (E£271.59 billion) plan to drill 480 new exploratory oil wells over the next five years, aiming to reverse declining oil production and reinforce its position as a leading regional energy hub.
According to the Ministry of Petroleum, the initiative will significantly enhance exploration and development efforts across multiple oil fields.
The ministry confirmed that 101 of the new wells are scheduled for development in 2026, though it has not yet disclosed the specific funding sources.
The announcement follows a series of agreements Egypt has signed with international energy giants to expand oil and gas exploration across the country.
Egypt remains one of Africa’s top oil producers, with current output averaging around 559,000 barrels per day.
Building on major past discoveries—such as the Zohr gas field in the Mediterranean, which holds an estimated 30 trillion cubic feet of natural gas—the country continues to attract foreign investment in its energy sector.
Earlier this month, QatarEnergy joined Shell in acquiring a 27% stake in Egypt’s North Cleopatra offshore block. Once approved by the government, Shell will remain the operator with a 36% stake, alongside Chevron (27%) and Tharwa Petroleum (10%).
In addition, the Egyptian government has outlined major oil and gas investment plans for the 2024/25 fiscal year to further encourage foreign participation.
British energy company BP recently signed an agreement to drill five new offshore natural gas wells in the Mediterranean under its existing concessions.
Drilling contractor Valaris secured a $140 million (£104.85 million) contract from BP Exploration Delta to carry out the project, expected to begin in mid-2026 and continue for approximately 350 days.
BP’s focus will be on sidetrack, development, and exploration wells designed to increase natural gas output using existing infrastructure in the West Nile Delta.
Through these initiatives, Egypt aims to strengthen its energy independence, boost production capacity, and solidify its strategic role in global energy markets.
