Eni Greenlights Egypt’s Zohr

Eni is looking to 'low cost' developments to raise production by 13% between 2016-19 whilst cutting upstream spending by 18%. Egypt's Zohr fits the bill.

Eni has approved development of its giant 23 tcf Zohr gas field in Egypt’s offshore Mediterranean. “We reached FID [final investment decision] only 6 months after discovery, a remarkable result, and we are well on track to start production by the end of 2017,” Eni CEO Claudio Descalzi said during the firm’s 18 March presentation of its “2016-19 Strategy.”

The field, only discovered in August 2015, has rapidly become a key element of the firm’s strategy of boosting output while cutting costs by focussing on relatively low cost “near field” developments (MEES, 4 March).

Eni revealed on 18 March that it completed the authorization process for the development of Zohr in late February after Egyptian state firm gas firm EGAS granted Eni a development lease, “[which] allows for the development of the gas field, located in the Shorouk Concession, offshore Egypt.” (CONTINUED - 1078 WORDS)