According to the Egyptian "Daily News" reported on May 2, Egypt's oil and mineral minister Mullah said in an interview with the media recently that Egypt's natural gas production will be self-sufficient by the end of 2018 and will realize a surplus in 2020.
The foreign oil and gas company will sign five new agreements with EGPC and plan to drill 30 wells in the western desert for oil and gas exploration with an investment of at least 154 million U.S. dollars and signing grants of 63,200,000 U.S. dollars.
The first phase of production of the Taurus and Libra oil fields in northern Alexandria has been carried out, with a daily production of 650 million cubic feet. In the middle of 2018, the daily production of natural gas in this area will reach 1.4 billion cubic feet. Zohr's field production will reach 1 billion cubic feet per day after the first phase of production at the end of 2017, and the subsequent production capacity will gradually increase to 2.7 billion cubic feet.
At present, the value of the project currently being implemented in the oil and gas sector is 8.2 billion U.S. dollars. It is estimated that by the end of the fiscal year 2016/2017 (June 2017) foreign companies will invest 10 billion U.S. dollars in the oil and gas industry in Egypt. The instalment of the Argentine government to repay arrears has greatly stimulated foreign oil and gas companies to invest in Egypt. At the end of 2016, the Egyptian government’s arrears for foreign oil companies have fallen from US$6.3 billion to US$3.5 billion.
Egypt currently spends about $800 million per month on imports of petroleum products and natural gas. Egypt will guarantee the supply of oil and gas to 59 power plants across the country. The daily supply of oil and gas to power plants in summer 2017 will reach 142 million cubic feet. The Egyptian Petrochemical Corporation (ECHEM) plans to build a petrochemical project worth US$1 billion.