Egypt Uncovers Major Oil and Gas Reserves in Western Desert as Production and Investment Expand
Egypt has announced its largest oil and gas discovery in its desert regions in more than 15 years, marking a significant development in the country’s upstream energy sector.
The discovery was made through the Bustan South-1X exploratory well, drilled by Agiba Petroleum a joint venture between the Egyptian General Petroleum Corporation (EGPC) and Eni using the EDC-9 drilling rig operated by the Egyptian Drilling Company.
Agiba Petroleum has been increasingly active in Egypt’s Western Desert, where a series of successful drilling campaigns over the past two years have contributed to raising crude oil production to approximately 32,000 barrels per day, the highest level recorded in three years.
Officials noted that the newly discovered field is located roughly 10 kilometers from existing pipelines and production infrastructure, a factor expected to significantly reduce development costs and accelerate integration into Egypt’s current energy network.
The discovery was announced by Egypt’s Ministry of Petroleum and Mineral Resources, which described it as an important milestone supporting the country’s energy strategy and reinforcing investor confidence in its upstream sector amid volatile global energy markets.
The ministry added that recent policy incentives aimed at encouraging exploration near existing fields have contributed to faster development timelines and improved cost efficiency for international and domestic operators.
Estimated Reserves and Early Assessment
Preliminary estimates suggest the field contains approximately 330 billion cubic feet of natural gas, along with around 10 million barrels of condensate and crude oil.
Total recoverable resources are projected at nearly 70 million barrels of oil equivalent, according to data cited by National News.
Broader Expansion in the Western Desert
The discovery adds to a series of recent hydrocarbon finds across Egypt’s Western Desert, highlighting renewed exploration activity in one of the country’s key production regions.
Earlier developments include offshore gas discoveries in the Mediterranean announced by Eni, which were estimated to hold more than two trillion cubic feet of gas and significant condensate resources.
Egypt has also reported additional discoveries in partnership with Apache Corporation, including new gas finds in the Western Desert earlier this year, as well as multiple exploratory successes by domestic operators such as Khalda Petroleum Company.
In March, the Egyptian General Petroleum Corporation announced further gas discoveries with production potential from new wells in the region, while other recent exploratory results have shown additional oil and gas output from formations in the Abu Sennan area.
Energy Outlook
The latest discovery comes amid ongoing global energy market volatility and rising geopolitical uncertainty, which have contributed to fluctuations in oil and gas prices.
For Egypt, increased domestic production is seen as a key factor in strengthening energy security and reducing import dependence.
The Ministry of Petroleum and Mineral Resources stated that continued exploration activity, supported by revised investment incentives and improved infrastructure access, is expected to sustain momentum in the country’s upstream sector.
