• BP signs deal with EGAS to drill five offshore wells in Mediterranean

• $343 mln plan launched with Shell, Eni, Arcius Energy, and Zarubezhneft

• Gas exports slump from 7.7 mln tons in 2022 to 0.8 mln in 2024 amid falling output

Egypt has turned to global oil and gas majors to address its steep decline in production. On September 8, British BP signed a memorandum of understanding with state-owned EGAS to drill five offshore wells in the Mediterranean.

The deal follows a program unveiled on September 1 by the Ministry of Petroleum and Mineral Resources. Worth $343 million, the plan aims to drill ten new wells with Shell, Eni, Arcius Energy (BP–ADNOC), and Zarubezhneft.

Working with major international players brings critical technology and expertise, as deepwater gas exploration and drilling require equipment largely held by companies such as Shell, Eni, and BP.

Egypt is facing a steep fall in liquefied natural gas (LNG) export revenue. Shipments dropped from 7.7 million tons in 2022 to just 0.8 million tons in 2024, according to Africa Energy Portal. The decline is tied to reduced domestic output, nearly 40% of which came from the Zohr field. Total production fell to 3.5 billion cubic feet per day in May 2025, down from more than 7 billion in 2021, according to Egypt’s authorities and the U.S. Energy Information Administration.

Prime Minister Mostafa Madbouly announced in early August that Egypt aims to lift production to 6.6 billion cubic feet per day by 2027. Output has already risen with the launch on August 29 of two new wells producing 60 million cubic feet per day, authorities said.