UAE's Dana Gas to resume exploration in Egypt amid improved payment terms
Updated 2/16/2025 11:37:00 AM
Arab Finance: Dana Gas, a UAE-based energy company, is set to resume its drilling activity in Egypt starting March, following the receipt of overdue payments from the Egyptian General Petroleum Corporation (EGPC), Asharq Business reported, citing unnamed sources in the know.
Dana Gas received $20 million in overdue dues last December, prompting the company to restart exploration and drilling operations in Egypt.
The company has also signed a $100 million development program with the EGPC to enhance its assets in the country.
Egypt has introduced new incentives to encourage foreign companies to boost gas production, including permitting the export of a share of new production to settle outstanding payments and increasing the price of their share in new gas production.
As part of its work program, Dana Gas plans to drill 11 exploration and production wells in the Nile Delta region.
Egypt aims to increase its natural gas production to 4.8 billion cubic feet per day by the end of 2025, up from the current 4.2 billion cubic feet per day, to meet its growing domestic needs of 6 billion cubic feet per day.
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