Ahmed Kamel – Egypt Daily News
Egypt and Italy’s ENI have signed a landmark agreement extending the company’s oil and gas concessions in the Gulf of Suez and Nile Delta regions until 2040, reinforcing one of the longest and most successful energy partnerships in the Middle East.
The agreement was signed in Cairo by Eng. Salah Abdel Karim, CEO of the Egyptian General Petroleum Corporation (EGPC), and Francesco Gaspari, Managing Director of ENI in Egypt, in the presence of Eng. Karim Badawi, Egypt’s Minister of Petroleum and Mineral Resources, and Mahmoud Abu El-Yazid, Deputy Managing Director of Eni Egypt.
Minister Badawi described the extension as a “strategic milestone” that builds on more than seven decades of cooperation between Egypt and the Italian energy major. “This agreement strengthens our joint commitment to maximizing the full economic potential of Egypt’s petroleum and gas resources,” he said. “It also supports the ministry’s strategic objective of securing domestic energy supplies by intensifying exploration, development, and production activities.”
The new arrangement ensures that Eni through its local subsidiary, IEOC Production, can continue developing existing fields and pursue new exploration opportunities in the Gulf of Suez and Nile Delta basins. The agreement also paves the way for the application of cutting-edge technologies in seismic surveying, drilling, and field optimization, allowing Egypt to make the most of its mature hydrocarbon basins while advancing toward lower-carbon operations.
Minister Badawi emphasized that Eni’s continued presence in Egypt stands as a model for successful, long-term strategic partnerships. “ENI’s operations have consistently demonstrated technological leadership, operational excellence, and environmental responsibility,” he noted. “The renewal of this commitment reflects the confidence international investors place in Egypt’s energy sector and its stable investment climate.”
Francesco Gaspari, ENI’s Managing Director in Egypt, hailed the agreement as a “launchpad for a major reinvestment campaign” centered on Sinai and surrounding regions. “We are embarking on a multi-year exploration and drilling program aimed at expanding Egypt’s production potential,” he said. “Our focus is on ensuring operations that are not only more productive but also safer and cleaner, with a strong emphasis on health, safety, and environmental sustainability.”
Gaspari added that the initiative reaffirms Egypt’s position as a leading energy investment destination. “This agreement is a tangible expression of how technological innovation and industrial expertise can help shape Egypt’s energy future,” he remarked.
As part of the new commitment, ENI will undertake a major three-dimensional seismic survey to identify untapped oil and gas prospects across its concession areas. The company plans to deploy advanced imaging and data analytics technologies to unlock new hydrocarbon resources and optimize production efficiency.
ENI has operated in Egypt since 1954 and remains one of the country’s largest foreign investors. Its historic Belayim field in the Gulf of Suez discovered shortly after ENI’s entry into Egypt, has been a cornerstone of Egyptian oil production for decades. Although output from the field currently averages around 60,000 barrels per day in 2025, it continues to be regarded as a strategic asset and an enduring symbol of the Egypt–Italy energy partnership.
With the concession now extended to 2040, Egypt and ENI are set to deepen their cooperation across both conventional and renewable energy fronts, reinforcing Cairo’s ambition to become a regional hub for energy production, innovation, and sustainability.
