The move was made as part of the second-day activities of the Egypt Petroleum Show (EGYPS 2020).
The well would be completed and put into production in the next few days with an expected initial flow rate of about 5.000 barrels per day.
The ministry clarified that the agreements stipulate drilling four exploratory wells in Southeast Abu Snan and Ras Kattara in Western Sahara with a minimum investment of $4 million.
The minister said the petroleum sector realized one of its main strategic goals; namely securing domestic needs of petroleum products over the past few years.
Two of the sources said the loan was being requested by Petroleum Export Limited (PEL), a special purpose vehicle used by EGPC, Egypt’s national oil company, to raise several loans in the past.
A consortium including Italy’s Eni, Russia's Lukoil and the EGPC is set to establish a natural gas processing plant in Egypt’s Western Desert.
During this period, the ministry achieved 520 crude oil discoveries, according to figures from state statistics agency CAPMAS.
The Cabinet approved Wednesday two agreements on oil exploration in the Gulf of Suez and the western desert.
The first 2 million-barrel crude oil shipment coming from Iraq will arrive in Egypt’s capital of Cairo, on February 15.
Egypt owed foreign oil companies operating in the country $2.4 billion by the end of June 2017, Petroleum Minister Tarek el-Molla said Wednesday.
The National Bank of Egypt (NBE) signed a contract Thursday to manage the cash receipts in foreign currency from the giant offshore Zohr gas field.
The figure is well less than $6.3 billion recorded in 2013.
"The agreements include drilling 17 new wells," Minister of Petroleum Tarek el-Molla announced.
Maersk Drilling, a part of A.P. Moller-Maersk, said late Monday it had agreed to sell its 50 percent stake in Egyptian Drilling Company.
EGPC prepares to settle part of the debt due by repaying between $500 million and $750 million to foreign oil and gas companies by the end of 2017.
This pushed up the total quantities received from Iraq to 12 million barrels.
The EGPC is waiting for the completion of technical procedures and the attainment of approvals from relevant entities to hold the auction.
Under an agreement reached in April in Baghdad, 12 million barrels of oil shipments are to be delivered to Egypt from SOMO.
AMOC is waiting for the approval of the Egyptian General Petroleum Corporation (EGPC) to buy condensates from the UAE’s Dana Gas, the chairman said.
A wrap-up for the most prominent business news of the day.