EGYPT – Badr El Din Petroleum Company, one of the company’s affiliated to state owned Egyptian Petroleum Corporation has announced that it made eight new oil discoveries the fiscal year 2019-2020.
The discoveries are a significant boost to Egypt’s proven oil reserves as they are expected to add an additional 10.6 million barrels to the North African country’s tally.
While making the announcement, Petroleum Minister Tarek El Molla affirmed, the importance of prioritizing occupational safety and health at a time when the country was grappling with a corona virus pandemic.
Badr El Din Petroleum Company Chairman Salah Abdel Karim on his part revealed that as many as 44 development wells have been drilled during the current fiscal year along with 115 exploratory others.
Karim explained that the enhanced activity of Badr El Din resulted in the company achieving an average production rate of 114,000 barrels per day.
The daily production of the company includes 38,000 barrels of crude oil, while the daily gas sales reached 423 million cubic feet, the chairman noted.
Karim further noted that company has achieved estimated savings of dollars 24 million, within the framework of the current expenditure rationalization policy.
Oil and Gas is one of the most dynamic industries in Egypt, and hydrocarbon production is by far the largest single industrial activity in the country representing around 13.6% of the total GDP in 2018.
The country’s proven hydrocarbon reserves stand at 3.3 billion barrels of oil and 77.2 trillion cubic feet (tcf) of natural gas, making it the largest African non-OPEC oil producer.
The Government of Egypt encourages international oil companies (IOC) to participate in the oil and gas sector, and currently more than fifty IOCs are operating in Egypt.
Egypt plans to invest around $38 billion developing its petrochemicals sector over the next four years.
The petrochemical sector represents about 12% of industrial production and generates revenues totaling USD 7 billion, equivalent to nearly 3% of GDP.
Earlier this year, government of Egypt announced plans to build a US$2.8 billion oil refinery in Upper Egypt to maximize the utilization of state resources and to create jobs for Egyptians residing in the Upper Egypt region.
The announcement followed an earlier agreement between Egypt, Enppi and Italy’s Techinp Fmc Engineering for the construction of a US$2.5 billion hydrocracking complex in Assiut to refine mazut into petroleum products of a higher value.
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