Wednesday 06 Nov
The Egyptian Natural Gas Holding Company (EGAS) has decided to re-offer the development of the Satis field, located in the North Mediterranean Sea, to international oil companies. This follows the withdrawal of BP from the project, according to a government official.
The Satis field, situated within the North Borg concession in the Mediterranean Sea, was previously operated by Pharaonic Petroleum Company, a joint venture between BP and state-owned EGAS.
The government official stated
that the field is now accessible on Egypt's digital exploration and production
portal. International oil companies can now consider developing the field after
BP's withdrawal last year. BP's departure came after the expiration of the
stipulated development period without initiating production operations.
According to the development
agreement with BP, the target was to produce approximately 100 million cubic
feet of gas per day and 6,800 barrels of condensate per day.
To encourage foreign companies to
increase gas production, Egypt has introduced new incentives. These incentives
include allowing the export of a portion of new production and increasing the
production share allocated to these companies.
The Egyptian official estimated
the Satis field's reserves at around 1 trillion cubic feet of high-quality gas,
suitable for use in the petrochemical industry after processing.
Egypt aims to boost its natural gas production by approximately 30% to 6 billion cubic feet per day by the end of 2025. This represents an increase from the current production level of 4.6 billion cubic feet per day.
