Nile Delta gas discovery estimated at 50 million cubic feet per day, Egypt says
Egypt announces Nile Delta gas discovery producing about 50 million cubic feet per day from Nedoco N-2; Eni and BP to tie-in production within weeks soon.
Egypt’s Ministry of Petroleum and Mineral Resources announced a new Nile Delta gas discovery on Saturday, estimating production at roughly 50 million cubic feet per day from the Nedoco N‑2 exploratory well. The ministry said the well was drilled in the West Abu Madi concession off Kafr El‑Sheikh and was completed by a rig operating in shallow waters about 10 metres deep. Officials noted the find comes as part of intensified exploration by international partners operating in Egyptian waters.
Nedoco N‑2 well delivers initial production estimate
The ministry reported the Nedoco N‑2 well, operated within the West Abu Madi development area, has an initial production estimate of about 50 million cubic feet per day. That output figure positions the new well as a meaningful near‑term addition to Egypt’s gas supply, particularly for the domestic market. Authorities framed the discovery as part of a sustained exploration push aimed at increasing reserves and shortening time to first gas.
Drilling operation and technology used off Kafr El‑Sheikh
Minister Karim Badawi inspected the EDC 56 drilling unit that executed the Nedoco N‑2 campaign, according to the ministry statement. The well was drilled from the shore using advanced directional drilling techniques, a method the ministry said lowered costs and improved operational efficiency. The rig worked in shallow coastal waters roughly three kilometres from the shoreline and at about 10 metres depth, demonstrating the use of nearshore directional drilling to access offshore reservoirs.
Operators and partnership structure in the concession
The West Abu Madi area is managed by Eni in partnership with BP and the Egyptian General Petroleum Corporation through Petrobel, the joint company formed with Eni. The ministry credited Eni’s exploration activities across its concessions for continuing to deliver finds in Egyptian waters and said BP’s involvement has helped accelerate activity. Officials said the discovery underscores the role of international operators and state entities in sustaining investment and technical capacity for frontier and nearshore projects.
Financial commitments and partner payments to be completed by June 30, 2026
Minister Badawi linked the new discovery to progress on settling outstanding payments to foreign partners, a matter the ministry said has helped restore investor confidence. The ministry affirmed it aims to complete all partner payments by June 30, 2026, and described timely settlements as a key driver for increased drilling and exploration activity. The statement added that regularizing payments has encouraged partners to extend drilling programs and invest in redevelopment of mature fields.
Proximity to existing infrastructure enables rapid tie‑in
Officials highlighted that the Nedoco N‑2 well lies less than two kilometres from the nearest production facilities, a proximity that will allow a swift connection to the existing network. The ministry said engineers expect the new well to be tied into the grid and commence early production within a matter of weeks, subject to final testing and approvals. That rapid tie‑in capability was presented as a way to optimise capital expenditure by leveraging installed platforms and pipelines.
Expected impact on domestic supply and investment climate
The ministry framed the discovery as contributing to domestic gas availability and to an improved investment climate for upstream projects in Egypt. It said increased exploration and field redevelopment, supported by partner confidence and payment settlements, will help raise output from both new and mature assets. Analysts and officials cited the combination of technical progress, closer infrastructure links and financial clarity as factors likely to attract further investment into the Nile Delta and adjacent concessions.
The ministry’s announcement positions the Nile Delta gas discovery as a timely operational success for Egypt’s petroleum sector, with the Nedoco N‑2 well expected to start delivering gas quickly and to bolster the country’s supply while reinforcing ties with international producers.