Egypt’s petroleum and natural gas sector has seen a notable improvement, with gas production returning to an upward trajectory for the first time in four years. This is part of the state’s efforts to secure energy supplies, maximize the added value from natural resources, and create an attractive investment environment in the petroleum and mineral wealth sectors.
This development coincides with the state’s success in reducing the energy import bill by more than $3.4 billion, reflecting the direct impact of increased domestic production and the entry of new wells and discoveries into the production map.
How has natural gas contributed to reducing the energy import bill?
In this context, it was announced earlier that Egypt’s natural gas production reached about 4.2 billion cubic feet per day by the end of September 2025. It was confirmed that the ministry aims to increase production to about 6.6 billion cubic feet per day as part of a five-year plan, supporting the sustainability of energy supplies and enhancing the state’s ability to meet the needs of the electricity and industrial sectors.
Last year saw the addition of 430 new wells to the production system, contributing to pumping about 1.2 billion cubic feet of natural gas and nearly 200,000 barrels of crude oil and condensates into the national grid. This directly contributed to reducing reliance on imports.
On the strategic fields front, the giant Zohr field regained its momentum with the resumption of drilling operations and putting new wells into production, continuing its pivotal role in Egypt’s energy system. It currently provides about 25% of the total domestic natural gas production.
It was also announced the successful drilling of the North Basant-1 exploration well in the onshore Nile Delta. Preliminary results showed the well contains gas reserves ranging between 15 and 25 billion cubic feet, enhancing prospects for expanding gas production from onshore areas.
In the Western Desert, preparations are underway to increase natural gas production by about 40 million cubic feet per day by connecting three new wells to its concession areas. Meanwhile, the company holding the largest area of onshore concessions in Egypt achieved notable quarterly growth in gas production, exceeding its 2024 average of 444 million cubic feet per day. This was supported by a series of new wells that exceeded expectations, along with benefiting from improvements in the gas pricing system in the Egyptian market.
The year 2025 witnessed a significant boom in discoveries, with the announcement of 82 new oil and gas discoveries, including 60 crude oil discoveries and 22 natural gas discoveries. Sixty-seven of these entered actual production, contributing to supporting reserves and increasing production rates. At the same time, major global companies announced plans to pump investments estimated at about $17 billion over the next four years. Leading these investments is an Italian company with investments up to $8 billion, followed by a British company with about $5 billion, and then a UAE-based company with investments of $3.7 billion. This reflects growing confidence in the Egyptian energy sector’s investment climate.
The petroleum sector succeeded in securing the full natural gas needs of power plants and industry for up to the next five years, supported by advanced infrastructure including liquefied natural gas import units with a capacity of up to 2.7 billion cubic feet per day, ensuring supply stability during peak periods.
Collectively, these indicators confirm that Egypt’s gas sector is experiencing a strong recovery phase, contributing to enhancing energy security, reducing import burdens, and supporting the national economy in the medium and long term.
