Energean International CEO: Egypt has told international oil companies to double their output by 2030
Energean International CEO, Nikolas Katcharov, said on Tuesday that Egypt had directed international oil firms to 'double production by 2030. Existing contracts need to be revised in order to encourage new investment.
Katcharov stated that the low gas prices which supported earlier phases of development had "expired" and it was necessary to update terms in order to "encourage companies" to deploy capital at brownfield sites, as well as boost production.
He said: "I don't know the exact price but there is a big difference between domestic and imported gas."
He stated that Energean owed Egypt more than $200 million and recently received $80 millions. The company was confident in the promises made by the Petroleum Minister to pay the remaining arrears.
The Petroleum Ministry did not respond immediately to a comment request.
Katcharov said that the gas flow from Israel to Egypt has increased, with the pipeline operating at its full capacity.
Egypt's natural gas production is declining, despite the government's pledges to increase output.
According to the Joint Organisations Data Initiative, production?fell? to 3,431 mcm in November. This is down from 3,635 mcm in October and 3,692 mmcm in November 2024. Mohammed Ezz is reporting; Andrew Heavens, Louise Heavens, Emelia Sithole Matarise and Andrew Heavens are editing.
(source: Reuters)
