AiBot
Egypt is set to launch a new international oil and gas exploration bid round in the third quarter of this year, the country’s latest attempt to attract significant foreign direct investment in the energy sector. According to reports, the tender will offer a minimum of 15 sites across the Western and Eastern deserts, following the closure of the Red Sea bid round in June.
The government has ambitious goals for the oil and gas sector, aiming to attract $6.2 billion in foreign direct investment during the 2026-2027 fiscal year. This investment is expected to fund the development of existing wells and increase production levels. In the long term, Egypt plans to boost its natural gas output to 4.3 billion cubic feet per day, a significant increase from the current under 4 billion cubic feet per day. Oil and condensate production is also expected to rise by around 12% to 626,000 barrels per day.
Notably, the new bid round will introduce a production-sharing system that takes into account risk and investment levels. This change in approach could potentially attract more investors, as they will benefit from a more proportional share of production. Currently, Egypt relies on imported liquefied natural gas (LNG) to meet the country’s energy needs. However, the government’s target is to raise gas production to 6.6 billion cubic feet per day by 2030, significantly reducing reliance on imports.
The announcement coincides with Egypt’s efforts to strengthen its economy and reduce reliance on imports. The country has been diversifying its energy mix and exploring alternative sources to meet growing energy demands.
By hosting a new bid round and introducing a more favorable investment structure, Egypt is sending a clear signal to international investors that it is open to new partnerships and collaborations. If the bid round succeeds in attracting significant investment, it will help Egypt achieve its ambitious energy production targets and secure a more stable energy future.