Egypt has discovered a large natural gas field along its northeastern Mediterranean coast, Oil Minister Tarek El Molla said in his speech. The reserves of the oil field are still under evaluation. It has 3.5 trillion cubic feet of natural gas.

Tarek El Molla, Minister of Oil of Egypt

This discovery was made in Nargis, which is one of the four offshore exploration blocks in which Chevron and Tharwa Petroleum Co of Egypt have operating interests. The latest discovery may promote Egypt's efforts to position itself as the energy center of the eastern Mediterranean after the discovery of the huge Zohr gas field by the Italian energy company Eni in 2015. At the same time, the Egyptian economy is deeply troubled by the impact of the Russian Ukrainian war and the previous coronavirus pandemic.

According to BP's 2022 Energy Statistics Review, Egypt is the second largest natural gas producer in North Africa after Algeria, accounting for about 1.7% of the world's proven reserves. It will produce about 67.8 billion cubic meters of natural gas in 2021.

Egypt is seeking to maximize the benefits of its gas wealth. The North African country also seeks to increase its much-needed foreign exchange reserves by expanding exploration projects, developing liquefaction stations, increasing exports, signing partnerships and allocating domestic electricity consumption.

The country exported US $8 billion worth of natural gas and liquefied gas in the fiscal year 2021-2022 as of June 30. Government data show that, by contrast, the export volume in 2013-2014 was 600 million US dollars. Before Zohr discovered and started production, Egypt was a natural gas importer from 2015 to 2017, because domestic demand exceeded supply.

Eni said that Zohr is considered to be the largest oil field in the eastern Mediterranean, with an estimated 85 billion cubic meters of natural gas in August 2015. This discovery has stimulated the competition of countries in the region for more natural gas reserves. Egypt resumed its status as an exporter in September 2018.

In 2021, Eni discovered three oil and natural gas reserves in western Egypt, which may be as high as 50 million barrels of oil equivalent. Discoveries in 2021 include oil, gas and condensate reserves under the Mleiha development concession in the western desert area. Condensate is a profitable liquid related to natural gas production. These new findings are related to fields where preliminary well testing has shown a steady flow of oil up to 2500 barrels per day.Editor/Xing Wentao