Egypt has announced a new oil and gas discovery in the Western Desert. Ministry of Petroleum and Mineral Resources said the discovery will reinforce the region’s role as a cornerstone of the country’s energy strategy.
The discovery was made at the North Lotus Deep-1 well, operated by Agiba Petroleum Company a joint venture between the Egyptian government and Italy’s Eni. The well is already producing about 1,835 barrels of crude oil and seven million cubic feet of natural gas per day, translating to roughly 3,100 barrels of oil equivalent (BOE) daily. Early estimates put recoverable reserves at five million BOE.
Petroleum Minister Karim Badawi said the results confirm the Western Desert’s status as one of the most promising areas for exploration, highlighting its importance in supporting Egypt’s goal of boosting local output and reducing energy imports.
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Drilling techniques
Agiba Petroleum also successfully applied horizontal drilling techniques in the Western Desert for the first time. This was carried out in the North Rosa field, targeting the deep and geologically complex Masajid formation, which had been underperforming under conventional vertical drilling.
The horizontal well now produces seven million cubic feet of gas and 550 BOE per day, representing a sixfold productivity increase compared to traditional wells in the same layer. The ministry described the breakthrough as a model that could unlock similar reserves across the basin.
During Agiba’s annual performance review, Chairman Tharwat El-Gendy reported that the company invested $404 million in exploration and development activities over the past year. Production levels remained steady at an average of 26,000 barrels of oil per day and 77 million cubic feet of gas per day, equal to more than 40,000 BOE daily.
El-Gendy noted that these figures were achieved through the drilling of 28 development wells and two exploratory wells. He also announced the start-up of a produced water treatment plant, which reinjects all associated water into depleted reservoirs—an initiative hailed as an environmentally responsible achievement in the sector.
Francesco Gaspari, Chairperson of IEOC Production (Eni’s Egyptian subsidiary), welcomed the results, emphasizing the Italian major’s confidence in Egypt’s energy sector. He said the unlocking of the Masajid formation marks “only the beginning” of wider exploration potential in the Western Desert, where Eni plans to expand operations.
The new discovery and technological breakthrough highlight the Western Desert’s growing significance as a hub for energy investment. With its combination of conventional finds and enhanced recovery methods, the region is set to play a larger role in securing Egypt’s domestic supply while reducing dependence on imported fuels.
