Shell, in collaboration with contractor Stena Drilling, has achieved a breakthrough in Egypt in the northeast El-Amriya block of the Mediterranean Sea. The drilling operations, situated in the offshore Nile Delta at a depth of approximately 250 meters below sea level, have revealed compelling data.
The operation indicates the presence of a substantial natural gas reservoir in the area. However, Shell Egypt has indicated that further assessment of the gathered data is necessary to discover the precise potential of this new gas discovery.
The development comes as another positive news for Egypt following the completion of the first well in the Mina West exploration initiative. This marks a significant stride in the country’s quest for energy independence.
Technical expertise
The discovery is a testament to the technical skill of Shell Egypt and holds immense promise for the nation’s energy security.
To execute the complex drilling operations, Shell Egypt enlisted the expertise of independent contractor Stena Drilling. The deployment of a mobile offshore drilling unit underscores the collaborative efforts driving this groundbreaking achievement.
Bolstering growth
Moreover, the success of Shell’s Mina West initiative aligns seamlessly with Egypt’s ambitious energy roadmap. In July, Minister of Petroleum and Mineral Resources Tarek El-Molla unveiled a comprehensive $1.8 billion plan. That came during the 8th OPEC International Seminar in Vienna. The initiative aims to drill 35 new gas wells across the Mediterranean Sea by 2025.
El-Molla detailed that the plan includes drilling 21 gas wells in the fiscal year 2023-2024. Additionally, 14 more wells are expected in the subsequent 12 months. Noteworthy international players include Eni, Chevron, ExxonMobil, Shell, and BP. They are integral to the realization of this ambitious project, highlighting the collaborative nature of Egypt’s energy sector.
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Energy resurgence
Egypt’s commitment to energy exploration has yielded remarkable results in the last five years. Egypt discovered 284 new fields, comprising 217 oil wells and 67 gas wells. Minister El-Molla emphasized that the addition of 1.32 billion barrels of oil to the nation’s reserves has significantly boosted production.
However, Egypt realized the importance of transitioning to renewable energy. Therefore, Egypt signed an agreement in July to allocate land to Norway-based Scatec. The land will be used for a $5 billion wind power plant in the Sohag region. The plant is anticipated to produce 5 gigawatts of electricity annually. Therefore, this project aligns with Egypt’s 2030 target of having 42 percent of its energy derived from renewable sources.
Shell Egypt’s triumph in the Mina West initiative propels the nation towards energy self-sufficiency. However, it also signifies a broader shift towards diversified and sustainable energy sources. It positions Egypt as a key player in the global energy landscape.
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