File Photo: This handout photo released by QatarEnergy's Public Relations and Communication office shows the headquarters of the Gulf state's main energy facility in the captial Doha. AFP
Under the agreement, pending approval by the Egyptian government, Shell will continue to operate the block with a 36 percent stake. The remaining partners are Chevron, with a 27 percent stake, and Egypt's Tharwa Petroleum Company, which holds a 10 percent stake.
Commenting on the deal, Saad Sherida Al-Kaabi, Qatari Minister of State for Energy Affairs and President and CEO of QatarEnergy, said the acquisition marks another milestone in expanding the company's upstream portfolio in Egypt.
"We are pleased to secure this additional exploration acreage, which further expands our upstream exploration activities in the Arab Republic of Egypt," Al-Kaabi said.
He added, "We extend our gratitude to the Egyptian Ministry of Petroleum and Mineral Resources and our partners for their continued support and cooperation. We look forward to achieving our exploration objectives together".
The North Cleopatra block lies in the frontier Herodotus Basin offshore Egypt, adjacent to the North El-Dabaa block, where QatarEnergy already holds a 23 percent interest. The block spans more than 3,400 square kilometres, with water depths reaching up to 2,600 metres.
The energy sector is one of Egypt's five high-productive sectors under the newly launched Egypt's Narrative for Economic Development that charts a map for the country's economy through 2030.
QatarEnergy has a strong footprint in the Egyptian energy sector. The Qatari energy giant announced in November last year the acquisition of a 23 percent working interest in the North El-Dabaa (H4) block, located offshore Egypt's Mediterranean Sea, under a newly signed agreement with Chevron.
Earlier in May 2024, the company signed a farm-in agreement with ExxonMobil to acquire a 40 percent participating interest in two offshore exploration blocks in Egypt.
Recently, Egypt and Qatar signed multiple deals during the sixth session of the Egyptian-Qatari Joint Higher Committee, held in August, marking a new step in strengthening bilateral relations across economic, political, and social fields. The Qatari side also pledged $7.5 billion in new investments that will be activated in the near future.
The package includes investments in energy, real estate, and tourism, among others.
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