QatarEnergy acquires 40% stake of two new exploration blocks offshore Egypt

Ahram Online , Sunday 12 May 2024

Qatari state-owned QatarEnergy announced its intention to acquire two new exploration blocks offshore Egypt, the company said in a statement on Sunday.



According to the statement, QatarEnergy signed a farm-in agreement with ExxonMobil to acquire a 40 percent participating interest in two exploration blocks offshore Egypt. The deal is subject to the customary approvals by the Egyptian government.

According to the terms of the agreement, while QatarEnergy will acquire a 40 percent working interest in “Cairo” and “Masry” offshore exploration concession agreements, ExxonMobil, which operates the two concessions, will retain the remaining 60 percent working interest.

“I am pleased with our entry into the Cairo and Masry offshore exploration blocks as they expand QatarEnergy’s presence in the Arab Republic of Egypt and extend our ambitious exploration program in-country”, said Saad Sherida Al-Kaabi, the Qatari Minister of State for Energy Affairs, the President and CEO of QatarEnergy.

“We look forward to working with our valued long-term strategic partner, ExxonMobil, the Egyptian Natural Gas Holding Company (EGAS), and the Egyptian Ministry of Petroleum and Mineral Resources on this promising and prospective region. I want to thank the Egyptian authorities and our partners for their valuable support and cooperation”, he added.

The Cairo and Masry offshore exploration blocks were awarded to ExxonMobil in January 2023 and cover an area of approximately 11,400 square kilometres in water depths of 2,000 to 3,000 metres.

It is worth noting that QatarEnergy signed a similar deal with the same shares with ExxonMobil in March 2022 to acquire a stake in ExxonMobil’s North Marakia offshore block.

The block is located around five miles offshore Egypt’s northern coast in the Herodotus basin.

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