Egypt Daily News – The Egyptian Natural Gas Holding Company (EGAS), affiliated with the Egyptian Ministry of Petroleum, agreed with Shell and BP to start production from the Harmattan gas field in the Mediterranean in the first quarter of 2026, with initial investments estimated at approximately $370 million.
The official, who requested anonymity, stated that the Pharaonic Petroleum Company, which carries out operations in the region on behalf of Shell, BP, and EGAS, has completed preliminary engineering studies for the project, which is expected to produce 125 million cubic feet. of gas and 3,300 barrels of condensate per day.
Egypt aims to increase natural gas production rates by the end of this year to about 5 billion cubic feet per day, compared to about 4.3 billion cubic feet currently, which is not enough to meet the daily needs of the country, which has once again returned to the ranks of liquefied gas importers, after 5 years of its presence in the country.
Egypt urges companies to increase production
The government official revealed that the Pharaonic Company is currently negotiating to rent a drilling rig, and that it will issue a number of tenders during the coming period to provide long-term drilling services and equipment for the development of the Harmattan region.
It is planned to drill 3 wells in the area, establish an offshore platform, and a 50-kilometre-long gas transmission line to the onshore treatment plant. The project will be completed by the end of 2025 in shallow waters, and production will begin in the first quarter of 2026, according to the official.
Egypt is communicating with foreign companies working to extract gas in the country to urge them to increase production. In this context, it has already agreed with the Italian “Eni” and the American “Apache” companies to increase production, and pledged to them to pay the late dues to encourage them to complete field development and exploration programs.
Cairo also resorts to importing liquefied gas with the aim of increasing the quantities of gas available, in order to meet the country’s needs, especially the electricity sector, during the summer months.
