Shell Egypt (BG Delta Limited), a subsidiary of Shell plc, and its partners; the Egyptian Natural Gas Holding Company (EGAS), the Egyptian General Petroleum Corporation (EGPC), and Petronas, have signed an agreement to commence development of the tenth phase (phase 10) in Egypt’s Nile Delta offshore West Delta Deep Marine (WDDM) concession in the Mediterranean Sea.

Subject to regulatory approvals, drilling activities are expected to begin in late 2023 when the rig arrives at the location. The phase 10 development program includes drilling three wells. The Burullus Gas Company joint venture is the operator of the WDDM concession and the development phase 10.

Minister of Petroleum and Mineral Resources, Tarek El-Molla, commented on the agreement, saying: “This is a significant step towards unlocking further hydrocarbon potential in Egypt’s rich Nile Delta region. We are pleased to strengthen our longstanding partnership with Shell, which plays a crucial role in developing Egypt’s energy resources and supporting the country’s ambition to become a regional energy hub.”

Khaled Kacem, Shell’s Vice President & Country Chair for Egypt, said: “Today’s announcement marks yet another significant step toward promoting the country’s energy roadmap. Investing in phase 10 is a first step towards further opportunities to unlock the full potential of WDDM, and strengthens Shell’s position in the Nile Delta. As a strategic partner to Egypt, we are proud to support the Ministry of Petroleum’s vision to transform the sector into an engine for growth and sustainable development.”

It is worth noting that Shell and its partners have developed the WDDM concession across nine development phases, the most recent being phase 9B. The concession comprises 17 gas fields, located at water depths ranging from 300 meters to 1,200 meters and spanning approximately 90-120 kilometers from the shore.