Egypt’s EGAS Signs $43m Oil Exploration Deal with Wintershall Dea

The Egyptian Ministry of Petroleum & Mineral Resources signed a new agreement with the Egyptian Holding Company for Natural Gases “EGAS” and the German company Wintershall Dea to search for and produce oil and natural gas in eastern Damanhur area in the Nile Delta with a minimum investment of $43 million and $11 million grants to drill eight wells.

This agreement is the first for the German company in Egypt after the merge between Wintershall and Dea company, the Egyptian Minister of Petroleum and Mineral Resources Tarek el-Molla said in statement.

He stressed that continuing to sign petroleum agreements with international companies achieves vital goals for the Egyptian economy, including increasing the investments pumped into the market and contributing to reaching new discoveries that enhance production and reserves of oil and gas.

“With the signing of this agreement, the number of petroleum agreements concluded by the Ministry of Petroleum with investors and partners during the past 4 years amounts to 61 agreements with a minimum investment of approximately $6 billion to dig 230 wells,” Molla stated.

He said that the keenness of international oil companies to pump more investments and expand their activities in Egypt is a sign of their confidence in the investment climate in Egypt in general and in the oil sector in particular.