Egyptian General Petroleum Corporation Enters $6.5 Million Oil and Gas Deal with Terra Petroleum
The Egyptian General Petroleum Corporation (EGPC) has signed a $6.5 million oil and gas exploration agreement with UK-based Terra Petroleum, marking the company’s first entry into the Egyptian energy market.
Under the terms of the agreement, Terra Petroleum will drill three exploration wells in the Northwestern El Moghra concession in Egypt’s Western Desert.
The company will also conduct comprehensive 2D and 3D seismic surveys across the block, according to an official statement.
The deal aligns with the Ministry of Petroleum and Mineral Resources’ broader strategy to intensify exploration activity and increase domestic oil and gas production.
The agreement follows Egypt’s signing of three additional oil and gas deals in September, valued at more than $121 million, with international energy companies.
Those agreements aim to expand exploration and drilling operations across key hydrocarbon-rich regions of the country.
In a statement published on the Egyptian Cabinet Presidency’s official Facebook page, Minister of Petroleum and Mineral Resources Karim Badawi said the Terra Petroleum agreement reflects rising international confidence in Egypt’s petroleum sector, citing its stability and continued development.
The ministry reiterated its commitment to supporting credible investors and fostering a conducive investment environment to accelerate exploration, boost production, and increase overall output.
In August 2024, Egypt announced the discovery of a new oil deposit in the Western Desert that officials said could significantly strengthen national energy production.
The discovery was made at the West Fewebs-1 well in the Kalabsha Development Area and revealed a substantial volume of high-quality crude oil.
The find highlighted Egypt’s ongoing efforts to unlock its hydrocarbon potential, particularly in the Western Desert, a region with a long-standing history of oil and gas activity. At the time, Minister Badawi described the early results from the well as highly encouraging.
During the same period, Egypt also introduced new incentives aimed at stimulating exploration and development, increasing production, and narrowing the gap between domestic supply and demand.
Currently, more than 60 international energy companies operate across 183 exploration and production sites nationwide, covering the Mediterranean Sea, the Nile Delta, the Western and Eastern Deserts, Sinai, and Upper Egypt, under the supervision of entities affiliated with the Ministry of Petroleum and Mineral Resources.
