The Egyptian Natural Gas Holding Company (EGAS), under the Ministry of Petroleum, has partnered with Shell and BP to launch production from the Harmattan gas field in the Mediterranean Sea by the first quarter of 2026, with initial investments projected at $370 million, according to a government official cited by Asharq Bloomberg.
The official disclosed that the Pharaonic Petroleum Company, which operates the site on behalf of Shell, BP, and EGAS, has completed preliminary engineering studies for the project. Once operational, the field is expected to yield 125 million cubic feet of gas and 3,300 barrels of condensates per day.
Preparations for the project are underway, with Pharaonic Petroleum negotiating the lease of a drilling rig and preparing to issue tenders for long-term drilling services and equipment. The development will involve drilling three wells, building an offshore platform, and constructing a 50-kilometer gas pipeline to transport the gas to an onshore processing facility. The project is slated for completion by late 2025, with production officially commencing in early 2026.
Egypt is intensifying efforts to ramp up its natural gas production to 5 billion cubic feet per day by the end of this year, up from the current 4.3 billion cubic feet per day. As part of its broader energy strategy, the Egyptian government plans to drill 46 new oil and gas exploration wells during the current fiscal year, with total investments reaching $748.5 million.
Minister of Petroleum and Mineral Resources, Karim Badawi, confirmed that 15 new agreements are currently being negotiated, with anticipated signature bonuses of $20 million. These initiatives underscore Egypt’s commitment to strengthening its energy sector and solidifying its position as a regional energy hub.
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