CAIRO – 16 July 2024: The Egyptian government has committed to paying the overdue amounts owed to foreign oil companies. The total sum, which amounts to $3.2 billion, will be paid off in three installments during the fiscal year 2023/2024, according to an official government source who spoke to Asharq Bloomberg.
The source added that the first installment, totaling $1.2 billion, is scheduled to be paid in October.
In a recent press conference, Prime Minister Mostafa Madbouly confirmed that the Egyptian government has already made payments of $1.3 billion to foreign oil and gas companies operating in the country by the end of the year.
An International Monetary Fund (IMF) report from last March stated that the dues owed by foreign companies in the oil and gas exploration and extraction sector to the Egyptian General Petroleum Corporation reached approximately $4.5 billion.
In the second half of 2024, the Italian company Eni plans to invest an estimated $160 million in drilling two new wells in the Zohr field, located in deep Mediterranean waters. This information was provided by a government official who spoke to Asharq Bloomberg.
The decision to increase investments and initiate new drilling activities follows the Egyptian government’s recent payment of $1.3 billion in dues to foreign oil and gas companies at the end of June.
Additionally, a high-level delegation from Eni visited Egypt last Monday, further emphasizing their commitment to expanding operations in the country.
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