Eni Secures 2 Out of 4 Blocks in Egypt’s Oil & Gas Auction

Eni Secures 2 Out of 4 Blocks in Egypt’s Oil & Gas Auction

Eni SpA, Italy’s energy giant, emerged as a prominent winner in Egypt’s auction for oil and gas exploration rights, securing concessions for two of the four blocks outright, per the country’s petroleum ministry. Additionally, Eni joined forces with BP plc and QatarEnergy to secure a third block in the Mediterranean Sea.

BP – Free Report) and QatarEnergy to secure a third block in the Mediterranean Sea.

According to a report by Reuters, the ministry initiated the process of international bidding for the exploration of 23 available blocks on Monday, including 10 in the Western Desert, two in the Eastern Desert, seven in the Suez Gulf and four in the Red Sea, with a deadline set for Feb 25.

Meanwhile, Russia’s Zarubezhneft made a notable entry into the Egyptian market, winning a block in the Nile Delta. This move marks a significant stride for Zarubezhneft, representing a rare expansion abroad by a Russian company since the full-scale invasion of Ukraine in February 2022.

Egypt has been actively positioning itself as a regional energy hub, seeking to leverage its strategic geographical location and vast energy resources. However, the country has faced challenges, including power cuts during the summer and a recent decline in natural gas production to a three-year low.

In July, the government revealed the commencement of a $1.8-billion project, focused on drilling exploration wells for natural gas in the Mediterranean Sea and the Nile Delta.

Published: 27-09-2023