President Abdel Fattah El-Sisi has approved two new laws licensing the Minister of Petroleum and Mineral Resources Karim Badawi to contract for oil exploration, development, and production projects in North Sinai offshore and the Gulf of Suez, as published by the Official Gazette.

Law No. 81 of 2025 authorizes the minister to contract with the Egyptian General Petroleum Corporation (EGPC) and several Perenco North Sinai companies to explore, develop, and produce oil in the North Sinai offshore development area.

The companies covered under the law include Perenco North Sinai Petroleum Inc., Perenco North Sinai Oil Limited, Perenco North Sinai Gas Limited, and Perenco Resources Egypt Limited, according to the gazette.

In October 2025, Perenco North Sinai Petroleum, a subsidiary of Egypt Kuwait Holding, signed an agreement with Egypt’s Ministry of Petroleum to reassign the North Sinai Offshore concession.

In a separate decree, Law No. 163 of 2025 permits contracting with the EGPC and Dragon Oil Egypt for oil exploration and exploitation in the East Al-Hammd area in the Gulf of Suez.

It is worth noting that Dragon Oil’s CEO Abdulkarim Al Mazmi said last April that the group plans to invest at least $3 billion in Egypt over the coming years.

The agreements come as part of state efforts to boost exploration activity, increase petroleum production, and support Egypt’s energy sector.

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