CAIRO – 12 November 2018: Mubadala Petroleum, a subsidiary of Mubadala Investment Company, announced that it has agreed to buy a 20 percent stake of Eni’s share in the Noor Field concession in Egypt’s North Sinai governorate, according to Reuters.
Eni owns 85 percent of the Noor concession through a subsidiary, while the other 15 percent goes to Tharwa Petroleum Company.
According to the announcement, the deal was conditional, with clauses that included getting approval from the Egyptian government’s authorities.
This agreement is the second investment by Mubadala in the Egyptian oil sector after it bought 10 percent stake of Eni’s share in the Shorouk concession for $934 million in June, in addition to a signature grant worth $94 million.
Eni, through its subsidiary IEOC, currently holds a 50 percent stake of the Shorouk concession, while the other partners are Rosneft with 30 percent, BP with 10 percent and Mubadala 10 percent.
CAIRO - 20 June 2018: Petroleum Minister Tarek el-Molla signed the final agreement of selling a 10 percent stake of Eni's share in the Shorouk concession to Mubadala Petroleum, a subsidiary of Mubadala Investment Company, for $934 million, in addition to signing a signature grant worth $94 million.
From his part, an official source in the Egyptian oil sector said that the negotiations between the two parties started at the beginning of last October, pointing out that the agreement between the Emirati Mubadala and Italian Eni is subject to certain legal requirements, including obtaining the approval of Egyptian government bodies.
The source noted that the promising results of the Egyptian gas fields in the Mediterranean have contributed strongly to increasing demand by investors to enter as a partner of Egypt in these mega projects, expecting Noor concession is promising.
He pointed out that the entry of new partners to invest in the oil sector reflects investment opportunities distinguishing the sector and serves the Egyptian economy significantly during the next phase by taking advantage of new partners’ extensive experiences.
He also added that it supports the government's tendency to increase oil sector investments contributing to increasing production and reserves of petroleum wealth.
An official source at the petroleum sector earlier revealed that Eni and Tharwa Company are expected to finish digging the first exploratory well in Noor Field in Northern Sinai before the end of next December.
In August, Minister of Petroleum and Mineral Resources Tarek el-Molla signed an oil agreement with Egyptian Natural Gas Holding Company (EGAS), Tharwa Petroleum Company and Italian Company Eni in Noor marine area in the Mediterranean Sea to drill two wells with a total investment of $105 million.
Egypt recently signed several oil agreements for the exploration of oil and gas in several areas, including the Mediterranean, Western desert, Nile Delta and the Gulf of Suez.
The number of signed petroleum agreements reached 88 new agreements since 2014 and the authority is working on signing 13 new agreements.
In fiscal year 2018/2019, the targeted investments in petroleum sector are estimated at LE 145.6 billion ($8.12 billion), marking 15.5 percent of the year’s total investments.
Natural gas investments represent 91 percent of petroleum investments, which amounts to LE 132.8 billion.
CAIRO - 29 August 2018: In fiscal year 2018/2019, the targeted investments in petroleum sector are estimated at LE 145.6 billion ($8.12 billion), marking 15.5 percent of the total investments of the year. Natural gas investments represent 91 percent of petroleum investments which amount to LE 132.8 billion.
Egypt’s production of natural gas increased in December 2017 to reach 3.4 million tons, up from 2.7 million tons in December 2016.
Egypt’s gas production currently stands at 5.5 billion cubic feet a day, after adding some 1.6 million cubic feet as a result of starting production from the recent projects.
The country's total natural gas consumption is about 6 billion cubic feet per day, of which roughly 65 percent goes to the electricity sector.
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