Egypt’s oil output falls to lowest level in 4 decades
Updated 8/18/2025 7:52:00 AMArab Finance: Egypt’s oil production fell to its lowest level since the early 1980s, dropping to 513,000 barrels per day (bbl/d) in the second quarter (Q2) of 2025, according to a report by the Middle East Economic Survey (Mees), citing Oil Ministry data.
The decline has cut into a key source of state revenue and pushed the country to rely more heavily on oil imports to meet domestic demand.
The slump in oil coincided with weaker natural gas output, which dropped to a nine-year low of 4.2 billion cubic feet per day (bcf/d) during the quarter.
US oil producer Apache saw its production decline 3% quarter on quarter (QoQ) to 124,000 bbl/d, the lowest in 17 years.
The company said output would remain flat for the rest of the year. By contrast, Vaalco registered a 7% quarterly increase to 10,900 bbl/d after drilling six wells in the quarter, with extraction from three of them set to begin in the current quarter. Still, the firm kept its full-year guidance at 9,800–11,000 bbl/d.
The overall decline in crude also weighed on condensate volumes. Mediterranean condensate production slipped 4% quarter-on-quarter to about 30,000 bbl/d.
Egypt’s refining sector is facing mounting strain. Refinery throughputs averaged 490,000 bbl/d over the first five months of the year, covering only 56% of the country’s 875,000 bbl/d crude distillation capacity.
Output of 493,000 bbl/d met just 64% of domestic demand, with gasoline and diesel output falling well short of consumption levels.
Fuel oil demand surged, with burn rising 36% year-on-year to 101,000 bbl/d during the same period. Net imports more than doubled, up 156% to 55,000 bbl/d, Mees said, citing Joint Organizations Data Initiative (Jodi) figures.
Imports are expected to ease as Egypt increases LNG deliveries through its four floating storage and regasification units, with the Egyptian General Petroleum Corporation cancelling seven mazut cargoes totaling around 2.2 million barrels this month.
The squeeze on supplies has been compounded by regional disruptions, including the halt of pipeline gas deliveries from Israel. To cover electricity needs during peak summer demand, Egypt has turned to fuel oil and diesel.
Gas imports from Israel nonetheless rose in July to 890 million cubic feet per day, the highest in three months and a 59% increase month-on-month.
While still short of the 1 bcf/d volumes previously recorded, the figure was on par with intake in July last year.
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