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Dragon Oil signs Egypt concession deal

25 April 2025

 

UAE-based oil and gas operator Dragon Oil has signed a memorandum of understanding (MoU) with the Egyptian General Petroleum Corporation (EGPC) to consolidate existing concession agreements in the Gulf of Suez under a unified framework.

The agreement was signed in the presence of Saeed Mohammed Al-Tayer, the chairman of Dragon Oil, and Karim Badawi, Egypt’s minister of petroleum and mineral resources.

The deal is expected to “attract significant investment”, according to a statement from Dragon Oil.

The company also said that it would facilitate the renewal of vital infrastructure and increase production through the application of technology and industry best practices.

The agreement was signed by Salah Abdel Kareem, the chairman of EGPC, and Ali Al-Jarwan, the chief executive of Dragon Oil.

In its statement, Dragon Oil said that the agreement underscored its “commitment to digital transformation, regional energy development and operational excellence”.

It also said that the deal marked “a pivotal move towards consolidating concession areas in the Gulf of Suez, thereby opening new investment opportunities, enhancing production, extending asset life and maximising resource use”.

Al-Tayer said: “This partnership will help shape the future of energy through increasing investments, acquisitions, new concession areas and fields exploration.

“This reflects our commitment to innovation, sustainability and global leadership.

“By embracing advanced technologies such as artificial intelligence, digital solutions and enhanced oil recovery, we are setting new standards for operational efficiency, data-driven decision-making and environmental stewardship across our global operations.”

Al-Jarwan said: “Dragon Oil is proud to deepen our strategic collaboration with EGPC.

“This agreement reflects our shared vision to optimise resources, leverage advanced technologies, and invest in Egypt’s energy future.

“We are committed to concluding negotiations swiftly and advancing this partnership to new heights.”

The agreement includes a provisional commitment to invest substantially in preserving and extending the lifespan of critical infrastructure, ensuring the long-term sustainability of strategic assets.

This will be accompanied by a comprehensive work programme aimed at boosting production and streamlining operations.

MEED’s March 2025 special report on Egypt includes:

> COMMENT: Egypt battles structural issues
> GOVERNMENT: Egypt is in the eye of Trump’s Gaza storm
> ECONOMY: Egypt’s economy gets its mojo back
> OIL & GAS: Egypt gas project activity collapses amid energy crisis
> POWER & WATER: Egypt’s utility projects keep pace
> CONSTRUCTION: Coastal city scheme is a boon to Egypt construction
> DATABANK: Egypt faces complex economic reality

https://image.digitalinsightresearch.in/uploads/NewsArticle/13751661/main.jpg
Wil Crisp

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