Egypt Restores Oil and Gas Production Growth After Clearing $6.1 Bn Arrears

Minister of Petroleum and Mineral Resources Karim Badawi announced that Egypt has cleared $6.1 billion in foreign partners' arrears, a major hurdle to restoring oil and gas production growth.

The clearance of arrears allowed the country to regain investor confidence, leading to an increase of around 20% in exploration and production activity during 2026.

Badawi stated that crude oil production is now on an upward path, with a target for higher natural gas production in FY 2026/27. The country recorded 112 new discoveries over the past two years, including the significant Denis discovery in the Mediterranean, which holds estimated gas reserves of around 2 trillion cubic feet.

The ministry has also resumed work at the Nargis field and is conducting seismic surveys covering more than 300,000 square kilometers. International oil companies have committed over $19 billion in investments for the next three years.