Egypt seeks more oil and gas investors, positioning it as regional hub

|About: BP p.l.c. (BP)|By:, SA News Editor

Egypt is finalizing details of a new type of oil and gas contract to attract even more foreign investment than the $10B already coming into the country's energy industry this year, oil minister Tarek El-Molla tells Bloomberg.

Egypt is set to award more than a dozen concessions to explore for oil and gas, El-Molla said today during a conference in Cairo attended by Total (NYSE:TOT) CEO Patrick Pouyanne and BP boss Bob Dudley.

Pouyanne said TOT is considering developing downstream petrochemicals in Egypt after having acquired a stake in Idku, one of its two liquefaction plants.

Dudley said BP has invested more money in Egypt than in any other country for two years in a row; BP said in September it planned to spend $1.8B this year getting several fields online.

Egypt's top gas asset, the Zohr field, discovered by Eni (NYSE:E) in 2015, will near peak production of ~3B cf/day from 2.1B cf/day currently by the end of 2019, Molla said.

Egypt now hopes to tap long underutilized liquefaction plants, where gas is turned into liquefied natural gas, to export supplies across the Mediterranean along with that of neighbors such as Israel, which said it would pipe gas to Egypt later this year.

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