The Egyptian Natural Gas Holding Company (EGAS) has awarded six new exploration blocks to a group of international companies.
- The Egyptian Natural Gas Holding Company (EGAS) allocated six new exploration blocks to international firms.
- These include four offshore blocks in the Mediterranean and two onshore blocks in the Nile Delta and North Sinai.
- The awarded contracts involve approximately $245 million in investments to drill 13 exploratory wells.
The Egyptian Natural Gas Holding Company (EGAS) has awarded six new exploration blocks to a group of international companies, aiming to ramp up investment in the country’s natural gas sector.
These include 4 new offshore blocks in the Mediterranean, offered within the 2024 international bid round via the Egypt Upstream Gateway “EUG”, as well as 2 onshore blocks in the Nile Delta and North Sinai.
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The awarded contracts are expected to bring in approximately $245 million in investments, with plans to drill at least 13 exploratory wells during the exploration phase.
Among the awarded blocks, the North Samian and Northwest Atoll offshore blocks were secured by a consortium of Chevron Egypt and BG (Shell), which plans to drill two exploratory wells in each block.
The North Ras El Tin Offshore Block was granted to IEOC Production (Eni), which will drill three exploratory wells.
Meanwhile, Cheiron Egypt is set to drill three exploratory wells in the East Alexandria offshore block. Onshore, IPR will carry out the drilling of two exploratory wells in the North Tanta block, while Perenco will undertake a 3D seismic survey and drill one exploratory well in the El Fayrouz block located in North Sinai.
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Broader strategy and future bidding rounds
The EGAS announcement complements broader efforts by Egypt’s Ministry of Petroleum and Mineral Resources to attract foreign investment and enhance exploration.
The EUG platform continues to offer additional investment opportunities, including several undeveloped offshore discoveries in the Mediterranean. The bidding for these assets closes on July 2, 2025, with results expected shortly thereafter.
This latest round follows an earlier award this month of seven new exploration and production blocks under the Egyptian General Petroleum Corporation (EGPC), which is expected to attract further investment and lead to the drilling of at least 17 additional exploratory wells.
Egypt’s gas production has been steadily declining over the past few years, dropping to 3,485 million standard cubic metres in April 2025, according to data from the Joint Organisations Data Initiative (JODI).
This marks a fall from the country’s peak output of 6,133 million standard cubic metres in March 2021, highlighting growing concerns over supply shortfalls amid rising domestic and export demands.
