Eni and EGAS announced Wednesday a new agreement aimed at increasing gas production and liquefied natural gas exports.
The agreement, signed by the Chairman of EGAS, Magdy Galal, and the COO Natural Resources of Eni, Guido Brusco, in Cairo, will focus on promoting the export of Egyptian gas to Europe, specifically to Italy, “in the context of the transition to a low carbon economy,” according to a statement.
“The parties agreed to valorise Egyptian gas reserves by increasing jointly operated gas activities and identifying opportunities to maximize short-term gas production. Eni will also optimize the exploration campaigns in existing blocks and in the newly acquired acreage in the Nile Delta, Eastern Mediterranean and Western Desert regions,” the statement continued.
Eni has been announcing several new collaborations with Egypt in recent months. In March, the company’s CEO, Claudio Descalzi, met with Egyptian President Abdel Fattah el-Sisi and Egyptian Minister of Petroleum & Mineral Resources Tarek El-Molla.
The main topics of conversation were regarding Egypt’s production of natural gas and LNG. The country has aspirations of becoming a new energy hub in the Mediterranean. Eni is one firm playing a role in these aspirations, following the discovery of the Zohr gas field.
Eni is a significant stakeholder in Egypt’s hydrocarbon ecosystem, producing approximately 360,000 barrels of oil equivalent per day.