Egypt’s improving investment climate and relative stability is attracting major players in the oil and gas industry. Fresh from US major ExxonMobil’s February entry into the country’s Mediterranean offshore (MEES, 15 February), MEES learns that compatriot and fellow major Chevron is now in advanced discussions to enter Egypt.
Sources close to Chevron confirm that the US major is looking at both the country’s prolific gas-prone offshore Mediterranean and the oil heartland Western Desert. Chevron has held talks with Italian firm Eni, which operates the flagship 21.5tcf Zohr gas field and a slew of other producing Mediterranean fields as well as around 70,000 b/d of net oil output from the Western Desert. Eni has been looking to reduce its exposure to Egypt. With ramp-up at Zohr, Egypt has become the largest single element of the firm’s global upstream portfolio with 339,000 boe/d (1.46bn cfd gas and 72,000 b/d liquids) of total 1.83mn boe/d 1H 2019 global output. (CONTINUED - 950 WORDS)