Arab Finance: Egypt plans to clear all outstanding dues owed to international oil companies (IOCs) by June 10th, 2026, earlier than a previously targeted June 30th deadline, Minister of Petroleum and Mineral Resources Karim Badawi said in a meeting with Prime Minister Mostafa Madbouly.
The minister noted that outstanding payments to foreign partners fell to $440 million in May 2026 from $714 million in April and $1.3 billion in March, down sharply from $6.1 billion at the end of June 2024.
Badawi said regular payments and lower arrears had encouraged international companies to increase investments in exploration and production activities, helping boost confidence in Egypt’s energy sector.
He also reviewed exploration and development drilling plans in the Mediterranean Sea for 2026, including projects by Shell, bp, Eni, Chevron, ExxonMobil, and Arcius.
Moreover, he referred to the recently signed memorandum of understanding (MoU) between the Egyptian Natural Gas Holding Company (EGAS) and France’s TotalEnergies to establish a strategic partnership for oil and gas exploration in an offshore area in the western Mediterranean.
Additionally, Badawi highlighted several new discoveries, including Agiba Petroleum’s latest discovery in Egypt’s Western Desert, the company’s largest discovery in 15 years. The Bustan South 1X exploratory well is expected to provide around 330 billion cubic feet of natural gas and about 10 million barrels of condensate and crude oil, with total reserves estimated at around 70 million barrels of oil equivalent.
The minister also said drilling had started on a new well in the Nargis gas field in the Mediterranean, which is expected to support domestic gas production and reduce import costs.
In terms of Egypt strengthening its position as a key regional gas trade hub, the minister said that Cyprus had approved the development and production plan for the Cronos gas field, with first gas shipments to European markets through Egypt expected by 2028.
