Egypt’s President Abdel Fattah Al-Sisi met with Helge Lund, the Chief Executive Officer of British Gas (BG), to discuss the company’s current activities in Egypt and its plans to increase its investments.
The meeting was also attended by Petroleum Minister Sherif Ismail, according to an official statement by the presidency.
The BG executive congratulated the Egyptian president for the opening of the New Suez Canal, highlighting that it is a step towards new cooperation between Egypt and the rest of the world.
Lund noted that, since 2011, it has pumped $4.5bn in investments in Egypt. In May 2014, UK’s third largest oil and gas producer announced its plans to invest $1.5bn in Egypt in the second half of 2014 (H2 2014) in order to increase its natural gas production.
In February, BG delayed linking two 9A+ wells for production, which would add approximately 150m cubic feet per day, to 2016 instead of this year. The names of the two wells were changed in the plan into 9B+. They will be linked in mid-2016 with the wells of phase 9B.
Lund added that BG wishes to increase its investments in Egypt. Al-Sisi encouraged the company’s plan to increase its investments, assuring that debt to foreign partners will be paid. Egypt has paid $3bn over the past two years.
In November, Egypt’s Ministry of Petroleum said the country will repay all of its $4.9bn in debt to foreign oil and gas companies within six months. BG received $350m from Egypt’s government as part of its outstanding debt, reducing its remaining balance of $920m, according to a statement issued by the country at the time.
The Egyptian president stated the country is seeking to attract investors in order to achieve growth and economic development as well as offer job opportunities for Egyptian youth.
BG has been operating in Egypt for 25 years and has pumped a total of $14bn in the country so far.