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Arab Finance: The Minister of Petroleum and Mineral Resources Karim Badawi has approved the investment budget of the General Petroleum Company (GPC) for the upcoming fiscal year (FY) 2026/2027, according to a statement issued by the ministry.
Under the FY 2026/2027 plan, the company targets the drilling of 66 wells, including eight exploratory wells, with total investments exceeding EGP 8 billion.
Also, the exploratory drilling is set to double in the first half (H1) of 2026 to strengthen reserves and raise crude oil and gas production. This will run in parallel with several projects aimed at developing and expanding infrastructure and production facilities.
Mohamed Abd El-Mageed, Chairman of the GPC, said the company is moving ahead with projects to increase the reservoir recovery factor and accelerate development of the Asran field, with investments of $350 million over the first five years.
He added that a separate five-year plan is being prepared to double production and quadruple reserves, supported by investments estimated at around EGP 55 billion.
Abd El-Mageed noted that average production between July and December 2025 reached around 78,000 barrels per day, including output from the company’s own fields and its shares in joint ventures.
Investments implemented between July and December 2025 amounted to EGP 4.1 billion, he said.
He added that the company drilled two exploratory wells and 26 development wells during the period to offset natural production decline, while the expanded use of modern technologies helped return a number of mature wells to production at a rate of 1,000 barrels per day.
As part of efforts to cut carbon emissions and improve energy efficiency, Abd El-Mageed pointed to the commissioning of a 1.5-megawatt flare gas power plant in the Abu Sinan area, with scope for expansion, as well as plans to establish a 6.5-megawatt solar power plant in Ras Gharib.
He also said the company continues to carry out social responsibility initiatives, implementing service and development projects in Ras Gharib, Hurghada, and Sinai across health, education, and other sectors.
For his part, Badawi said that exploration represents a core pillar of the company’s five-year strategy and its efforts to maximize production rates.
He stressed the importance of expanding the use of modern technologies, describing the General Petroleum Company as a successful model in applying technological solutions, particularly artificial intelligence, in data analysis and in identifying promising investment opportunities, especially in mature fields.
He added that the ministry will continue to support the company’s plans to achieve new discoveries and increase production.
The minister also directed the company to strictly adhere to occupational safety, health, and environmental protection procedures, while reinforcing a culture of safety and safe driving across all work sites.
He emphasized the need to prepare technical studies to expand the use of modern technologies in industrial wastewater treatment and recycling projects, alongside scaling up renewable energy projects at the company’s sites in coordination with the Ministry of Electricity and Renewable Energy.
