Egypt Oil

           

  

 

 

           

 

 

Egypt Oil

 

Egypt Oil

 

The industry of petroleum has a very important place in the Egypt` s economy. It represents one of the 4 principals foreign exchange`s sources, since Egypt is an important oil exporter.

 

The origins of the Egypt oil are in 4 principal zones: the Sinai Peninsula, the Gulf of Suez, the Eastern Desert and the Western Desert. The oil from the Persian Gulf is exported through a pipeline of 200 miles.

 

The Egypt`s first oilfield was found in 1869 and used for production 41 years later.

In that period, the principal zonal operator was the Anglo-Egyptian oilfields; the development and the exploration continued till 1964 when the nationalization happened.

Egypt Oil

 

The EGPC (Egyptian General Petroleum Corporation) was formed in 1962, becoming the principal operator in the joint ventures forming, with companies from other countries. Some measures regarding the face-lifting of the Egypt oil sector were promised by the Petroleum Ministry in 2000.

 

 

 

The face-lifting consisted in a industry`s totally restructure as well as the separation of the EGPC`s activities from the petrochemicals and natural gas activities.

 

The result of these measures and of the reformation was the creation of a new Egypt oil industry structure by ECHEM, EGAS and GANOPE.

 

In the first months of the 2007, 9 agreements for natural gas and oil prospecting in the areas of the Eastern and Western Deserts and of the Suez Gulf were approved by the SCIEC (Shura Council’s Industrial and Energy Committee).

 

The investments amount for the agreements was about $222.65 million, according to the Petroleum Ministry` s first under – secretary.

One of the most important contracts that were sealed in the 2007` s first half was the deal between WTR and GUPCO (Gulf of Suez Petroleum Company).

 

During the 2 years contract, WTR has to assure the installation and the materials of cold repairs for the leak fixations in the zones of Port Said, Ras Bakr, Gulf of Suez, Dashour and Western Desert, where the Gulf of Suez Petroleum Company has its own rights for production together with the partners EGPC and BP. Among the realizations of the Ministry` s strategies of expanding the natural gas` usages in all the Egypt`s governorates was the loan agreement between the AIB (Arab International Bank) and the EGAS (Egyptian Gas Holding Company) having as goal the financing of 2 gas supply lines` installation from Shokair to Hurghada and from Taba to El Sheikh; the loan` s total value was of LE 512 million ($90 million) and LE 355. The banks who offered the loan are in number of 8:

 

 

 

the National Bank for Development, the Societe Arabe Internationale de Banque, the AIB, the Audi Bank, the Egyptian Saudi Finance Bank, the National Bank of Abu Dhabi, the United Bank of Egypt and the Piraeus Bank. The project` s principal target is natural gas supplying of the 6 million housing units in the next 6 years. The total cost of the investment is of LE 30 billion.

 
 

 

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