This agreement grants the "Disouco" joint venture the right to produce natural gas under these new terms, along with a commitment to increase drilling operations within the expanded concession area. The improved framework of this agreement will foster greater drilling activity in both the existing Disouq concession and the newly awarded area, thereby enhancing prospects for sustainable growth and increased production in the region. The agreement was formalized with the signatures of Engineer Yassin Mohamed, Managing Director and CEO of EGAS, and Engineer Sameh Sabry, Regional Director of Harbour Energy in the Middle East and North Africa.
After the signing, Engineer Karim Badawi highlighted Harbour
Energy's strong performance in Egypt, noting its substantial investments and
the mutual desire to enhance collaboration for increased production. He
reiterated the Ministry's ongoing support for this partnership, emphasizing its
potential to yield benefits for both sides through new discoveries and
efficient production.
Engineer Yassin Mohamed affirmed that this agreement aligns
with the Ministry of Petroleum's strategy to boost natural gas production from
Egyptian concession areas by offering incentives to foreign partners. He
further stated that the agreement demonstrates a productive collaboration with
Harbour Energy aimed at increasing production, and expressed anticipation for
exploration outcomes in the newly expanded area, with the goal of discovering
and developing new oil and gas reserves in the future.
Engineer Sameh Sabry, on his part, expressed his
appreciation for the agreement with the Ministry of Petroleum and Mineral
Resources, noting it as a step towards expanding their operations and
increasing production to satisfy Egypt's energy demands. He conveyed his
gratitude to Minister Karim Badawi for the Ministry's support of the company
and its collaboration with EGAS, which has facilitated increased investments by
the company to enhance production.
The onshore gas project in Disouq is located in the Nile
Delta region and is operated by "Disouco," a joint venture between
Wintershall Dea Nile, a subsidiary of Harbour Energy, and the Egyptian Natural
Gas Holding Company (EGAS).
Since the start of its first production phase in 2013, the company has played a key role in supporting Egypt's growing energy needs. This partnership has also achieved strong environmental performance, with "Disouco" successfully eliminating routine flaring in the Disouq area and significantly reducing harmful gas emission intensity.
In late 2022, Harbour Energy made a gas discovery in the
East Damanhour exploration area, located west of the Disouq development
concession in the onshore Nile Delta. Due to the discovery's proximity to the
central station in Disouq, it was quickly connected to production, which began
in September 2023.
Harbour Energy operates the project with an 80%
participating interest, while INA - Industrija Nafte holds the remaining 20%. It
is expected that such agreements will contribute to enhancing Egypt's position
as a regional energy hub, while contributing to national energy security and
economic development.
The signing ceremony was attended by Dr. Samir Raslan, Undersecretary of the Ministry for Exploration and Agreements, Vice Presidents of EGAS for Production and Field Development, Engineer Abdel Nasser Khafagy, and for Agreements and Geological Exploration, Ibrahim Abdo, Engineer Mohamed Roshdy, Chairman of Disouq Petroleum Company, Olaf Ritz, General Manager and Managing Director of Desouco Petroleum Company, Haitham Gamal, Head of Commercial Affairs for Harbour Energy Middle East, Amr Elewa, Legal Affairs Director at Harbour Energy, Dr. Ahmed Abdel Hadi, Exploration Manager at Disouco Petroleum Company, and Accountant Walaa Nagy, Assistant Vice President of the Company for Agreements.