Eni gets hands on three exploration blocks in Egypt
- Business & Finance
Italian oil giant Eni was the successful bidder of 3 new exploration licenses in Egypt as a result of the competitive 2013 EGPC and EGAS bid rounds.
The new licenses will be formally awarded soon, after the ratification and finalization of the Concession Agreements. As a result of the EGPC bid round, Eni has been awarded a 100% participating interest and operatorship of the onshore block South-West Melehia.
The block is located in Egypt’s Western desert, near the Melehia Development Lease, in which the Company has a participating interest. The new license covers an area of 2,058 square kilometers.
As a result of the EGAS bid round, Eni will become the operator of Block 9 and Block 8, located in deep offshore waters of the Mediterranean Sea, near the boundary with Cypriot waters.
Eni will hold 100% equity in Block 9, also named North Leil Offshore, which covers an area of 5,105 square kilometers in water depths ranging from 2,100 to 2,800 meters.
In Block 8, also named Karawan Offshore Eni will be partner with BP, with both companies holding a 50% equity interest. This license covers an area of 4,565 square kilometers in water depths ranging from 2,000 to 2,500 meters.
Claudio Descalzi, Eni’s CEO, said: “I am very pleased with the acquisition of these new exploration permits which further strengthens our presence in Egypt, a historically and strategically important country for Eni.”
Eni continues to renew, expand and diversify its exploration portfolio. In the last months, Eni has entered into new countries, such as South Africa and Myanmar, and acquired new areas like, such as in China and Vietnam.
Eni has been present since 1954 and is currently one of the largest international energy players in the country, with a hydrocarbon equity production of approximately 220,000 barrels of oil equivalent per day.