Shell, Eni, ExxonMobil win concessions in Egypt oil, gas exploration tender

Shell won most of the concessions in an oil and gas exploration tender organized by the Egyptian natural gas holding company and the country’s General Petroleum Corporation.

Shell, Eni, BP and ExxonMobil won rights to explore for hydrocarbons in Egypt. Photo courtesy of Wikilmages/Pixabay
Shell, Eni, BP and ExxonMobil won rights to explore for hydrocarbons in Egypt. Photo courtesy of Wikilmages/Pixabay

According to Daily News Egypt report Wednesday, Shell picked up the crude oil exploration areas sector 7 West Fayoum, sector 9 South East of Horus, and sector 10 South AbuSnan.
Italy’s Eni was awarded sector 11 East of Siwa. An area known as sector 2 went to the General Petroleum Company, sector 4 to Neptune Energy, and sector 5 North Beni Suef to Merlon International, Daily News Egypt added.

As for gas, ExxonMobil won the north of Amreya Marine Company concession area. The North Sidi Gaber, as well as North El Fanar areas, went to Shell and Petronas.
The Northeast of Damanhur went to Diya, while the North West Sherbin to BP and Eni, the report added.

The companies are committed to drilling 39 exploratory wells for oil and 21 in the natural gas concessions.

According to preliminary information from the Energy Information Administration, Egypt is the largest non-OPEC oil producer in Africa and the third-largest dry natural gas producer on the continent after Algeria and Nigeria.
Egypt plays a vital role in international markets through its operation of the Suez Canal, a major transit point for crude oil shipped from the Persian Gulf to Europe and the United States. The country has the largest refining sector in Africa.

Shell has been working in Egypt for more than a century, “in which it achieved many successes in different activities as upstream and downstream of oil and gas, along with marketing the petroleum products,” according to the Egyptian government information.

In an Aug. 29 report in Enterprise Presse, Eni and Shell were discussing the connection of a well in Western Desert, where Shell operates, to an Eni gas processing plant.
Eni has been in Egypt since 1954, with about 320,000 barrels of oil equivalent per day equity, according to a statement at the end of August. At the time, Eni expected an output expansion due to the ramp-up project of the Zohr field.

ByRenzo Pipoli