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Egypt is planning to increase its oil production by nearly 60,000 barrels per day (bpd) in the next two years following a record decline triggered by years of underinvestment.
Intensified oilfield development projects by foreign companies following the payment of part of their outstanding dues will boost the Arab country’s crude output from around 520,000 bpd at present to 550,000 bpd in June 2026 and 580,000 bpd a year later, Saudi news website Asharq Business said, quoting an unnamed Egyptian official.
The planned increase comes after Egypt’s oil production dipped to its lowest level in 47 years to around 507,000 bpd in June this year, the report said.
The official told the website that the decline was mainly due to lack of investment in the hydrocarbon sector after some foreign firms reduced their development and drilling operations amid accumulation of government arrears.
“In September, the government settled around $500 million of those arrears to foreign oil companies in Egypt…it intends to settle all dues by the first quarter of 2026,” the official was quoted as saying.
After the September payment, Egypt owes foreign companies around $1.7 billion and is planning to pay back nearly $620 million before the end of this year, the official added.
(Writing by N Saeed; Editing by Anoop Menon)
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