BP, Total and Eni have between them committed to investing $229 million in the three Egyptian offshore exploration blocks they were awarded last week, BP said Wednesday.
The awards offshore the Nile Delta in the eastern Mediterranean follow a wave of discoveries that have vastly increased Egypt's gas resources, potentially easing its energy shortages and enabling the country to boost its flagging LNG exports.
BP won the deepest water block of the three awarded last week, North el-Tabya, with 100% ownership.
It neighbors the Shorouk Block, where Eni recently announced its giant Zohr discovery, estimated at 30 Tcf of gas in place.
Further inshore, BP and Eni each won a 50% stake in the 1,927-sq-km shallow-water North Ras el-Esh Block, which BP will operate. Eni will operate the shallow-water North el-Hammad Block with a 37.5% working interest, while BP holds 37.5% and Total 25%.
"Continuing to play a key role in the development of Egypt's energy sector, BP will deploy its expertise and latest technologies to exploit the resources in these new blocks," BP North Africa President Hesham Mekawi said in a statement. "This investment confirms our commitment to meet Egypt's energy needs."
