EGYPT AWARDS SEVEN E&P LICENSES

Foreign operators have secured seven exploration and production licenses in Egypt. Middle East Economic Survey (MEES) said Egypt's Oil Minister Hamdi Al-Banbi signed the agreements for licenses approved by the board of Egyptian General Petroleum Corp. (EGPC). Marathon Oil Co. won the 3,400 sq km Manzala block in the Nile Delta region. MEES said Marathon is to spend $7.8 million to explore the block, including drilling three wells in 7 years.

June 12, 1995

3 min read

Foreign operators have secured seven exploration and production licenses in Egypt.

Middle East Economic Survey (MEES) said Egypt's Oil Minister Hamdi Al-Banbi signed the agreements for licenses approved by the board of Egyptian General Petroleum Corp. (EGPC).

Marathon Oil Co. won the 3,400 sq km Manzala block in the Nile Delta region.

MEES said Marathon is to spend $7.8 million to explore the block, including drilling three wells in 7 years.

Italy's ENI group subsidiary International Egyptian Oil Co. (IEOC) won the 6,200 sq km Dabaa block in the Western Desert. The company is to spend $30 million on exploration during 7 years, including drilling of six wells.

IEOC also won operatorship of the 8,500 sq km East Delta Deep Marine block in the Mediterranean Sea, with partner Amoco Corp. MEES said $50 million is earmarked for exploration, including drilling of seven wells in 11 years.

Amoco won operatorship of the 2,800 sq km Ras Al-Barr block in the Mediterranean off Northeast Egypt with partner IEOC.

MEES said a $56 million exploration program will include eight wells in 8 years.

Spain's Repsol SA secured the 8,490 sq km South Khalda license in the Western Desert with partners Phoenix Resources Cos. Inc. of Oklahoma City and Korea's Samsung Co. Ltd. A $21 million exploration program is to include 16 wells during 9 years.

Repsol is operator with Pennzoil Co. as partner in the 1,100 sq km Southeast Gulf of Suez block. MEES said a $21 million exploration program will include a 500 sq km seismic survey and drilling of three wells in 7 years.

Amoco secured the 670 sq km East Tanka block in the Gulf of Suez. MEES reckons exploration outlay will be $20 million in 8 years, including drilling of five wells.

Three agreements approved for awards but not yet signed by the minister are the:

3,733 sq km Rosetta license in the Mediterranean to a group led by operator British Gas plc.
8,200 sq km West Delta Deep Marine block to a group led by British Gas.
21,100 sq km West Ismailia block west of the Suez Canal to Russia's Komineft.

MEES said three other agreements on offers submitted this year are near final form. They involve:

Operator Repsol and Mobil Corp. for the 5,600 sq km East Bahariya tract in the Western Desert.
Operator Repsol, Amoco, and Mobil for the 12,500 sq km onshore/offshore West Mediterranean Block 1.
Operator British Gas and Edison of Italy for the 12,000 sq km deepwater North Red Sea Block 1.

MEES said the three agreements have been approved by EGPC but require approval by the oil ministry, cabinet, and parliament. "This is usually a formality."