Bernard Looney, the CEO of BP, engaged in discussions today with Egypt’s President Abdel Fattah al-Sisi and Minister of Petroleum and Mineral Resources Tarek El Molla. Nader Zaki, BP’s regional president for the Middle East and North Africa, was also present at the meeting.
During the talks, Looney outlined BP’s strategic plans for Egypt, revealing the company’s intention to invest $3.5 billion in the country over the next three years.
Looney emphasized that BP’s relationship with Egypt has evolved into a strategic partnership over the course of more than 60 years. He also commended Egypt’s advancements in infrastructure and renewable energy under the leadership of President El-Sisi.
Egyptian officials expressed their commitment to expanding cooperation with BP, particularly in areas related to emission reduction and the energy transition. The discussions encompassed topics like green hydrogen and conventional exploration and production.
Egypt’s oil ministry revealed that BP is preparing to drill four exploration wells, with the initial drilling scheduled to begin in the fourth quarter. This includes two wells in the Raven field and two in the North King Mariout Offshore and North West Abu Qir blocks.
BP has secured the Valaris DS-12 drillship for operations in Egypt, starting in December. The contract, valued at $136 million, will extend until November 2024. The company has also recently awarded contracts for its substantial offshore plans. Additionally, BP is actively pursuing acreage in the East Mediterranean alongside Adnoc, offshore Israel. Looney expressed excitement about the prospects, mentioning the high demand for gas in the region and Europe.
Meanwhile, Apache, a US-based company, sent executives to Egypt to outline investment plans. With a production of over 145,000 barrels per day in Egypt, Apache has undertaken an intensive drilling program. In conversations with Apache, Minister El Molla suggested that the company should explore moving into the Mediterranean region for natural gas exploration. Apache intends to invest approximately $1.4 billion in the coming year.
Opinion:
The discussions between BP’s CEO and Egyptian authorities underline the enduring partnership between BP and Egypt, with plans to invest significantly in the country’s energy sector. The commitment to explore areas like green hydrogen and traditional energy production showcases BP’s forward-thinking approach in line with global energy transitions. Moreover, the proactive engagement with Apache underscores the collective pursuit of harnessing natural resources in the Eastern Mediterranean. These initiatives align with Egypt’s push towards energy sustainability while also contributing to regional energy demands. The potential for growth and cooperation in this sector holds the promise of bolstering economic development and energy security in both Egypt and the broader region.
Published by marketnewsng