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CAIRO, July 5 (Reuters) - Egypt has raised the prices it pays Eni ENI.MI and Edison EDNn.MI for the natural gas they produce in the country, an official with state-owned gas company EGAS said on Sunday.

The agreements mark the latest move by Egyptian authorities to improve terms for foreign oil and gas businesses in the hope that more competitive pricing will encourage investment in the energy-hungry country.

"(The oil ministry) signed a deal that amended the price for gas with Eni to a maximum $5.88 for every million British thermal unit and a minimum of $4, based on amounts produced. This is up from $2.65," the EGAS official told Reuters on condition of anonymity.

The official said that another deal had been signed with Edison for a price of $5.88 per million British thermal units, up from $2.65.

Reuters could not immediately reach the companies for comment.

The amended prices will apply to gas produced from new discoveries, the official said.

Egypt last month signed a $2 billion exploration deal with Eni. ID:nL5N0YN131

Oil minister Sherif Ismail told Reuters in March that Egypt had agreed to pay BP BP.L and RWE Dea RWEDE.UL more for their Egyptian production. ID:nL5N0W44HV

(Reporting by Abdel Rahman Adel; Writing by Shadi Bushra and Yara Bayoumy; Editing by David Goodman) ((yara.bayoumy@thomsonreuters.com; tel: +202 2578 3290; Reuters Messaging: yara.bayoumy.thomsonreuters.com@reuters.net))

Keywords: EGYPT GAS/