Neptune Energy has signed a licence with the Egyptian General Petroleum Corp. (EGPC) on the North West El Amal Offshore concession.
The company said it would acquire 100 square km of 3D seismic data and drill an exploration well in the first phase, where it will act as the operator. Two wells would be drilled in the second phase.
The block covers 365 square km and is in the central Gulf of Suez, around 42 km south of Ras Gharib and 105 km north of Hurghada.
Neptune’s CEO Jim House said the company’s strategy was to “invest and grow our presence in Egypt which is an important market for Neptune. We are committed to strengthening our presence in North Africa through exploration and production activities.”
Signing the concession was “another important step for Neptune in the region and we’re pleased to build on our strong relationships with our partners and with the Ministry”.
The company’s head in Egypt Gamal Kassem said the Gulf of Suez had “many promising prospects”.
Neptune has stakes in the brownfield Ashrafi field, also in the Gulf of Suez, and the Alam El Shawish West, neither of which it operates.
Most significantly in North Africa, the private equity-backed company has a stake in Algeria’s Touat gas development, which began producing in 2019. This field will ramp up to plateau of 450 million cubic feet (12.7 million cubic metres) per day.
In related news, Wintershall Dea announced the signing of an agreement on the East Damanhour block, onshore in the Nile Delta, close to the company’s Disouq development. This provides a first three-year exploration phase.