Mullah: Oil sector contribution to GDP reached 24 percent during FY 2019/2020

CAIRO, May 9 (MENA) - Minister of Oil and Mineral Wealth Tarek El Mullah said the oil sector contributed with 24 percent to the Gross Domestic Product (GDP) during the fiscal year 2019/2020, noting that the total investments of the sector during the period from 2014/2015 till 2019/2020 reached dlrs 74 billion.

The minister's remarks were made during an event marking the International Cooperation Ministry launching of a joint coordination platform with the Oil and Mineral Wealth Sector under the name of "Egypt..Regional Hub for Energy: Reforms and Horizons of the Oil and Gas Sector" in the presence of Mullah and representatives of major foreign companies operating in Egypt including Apatche, Schlumberger, the African Development Bank, the International Finance Corporation (IFC), the World Bank, the German Embassy and others.

Mullah noted that the oil and gas sector has recently clinched 98 agreements with international companies to explore for gas and oil with investments reaching up to dlrs 16 billion, noting that the Egyptian oil sector has attracted new international companies over the past phase.

The sector will continue to implement its integrated vision for development to come in line with Egypt's vision for sustainable development 2030, in addition to investing on the positive outcome of Egypt's economic reform program, he added.

The gas sector has achieved a growth rate of 25 percent during 2020 as a result of self sufficiency from gas production and a surplus for exportation from Damietta and Edku positions on the Mediterranean coast, Mullah noted, adding that such progress helped in paying 80 percent of the dues of foreign companies operating in Egypt.

Mullah also reviewed the progress achieved in the mining sector saying it has been successful in luring 11 new Egyptian and international companies to invest in 82 locations for exploration of gold after the first international bidding was announced in 2020.