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FINANCIAL NEWS
Egypt, Shell sign gas extraction deal
18 Dec 2014
(MENAFN) Egypt’s Oil Ministry said that it will be investing USD30-40 million through signing the country’s first contract to extract gas with Apache and Shell Egypt, Gulf Daily News reported.
The ministry that the deal, which is part of its efforts to boost its energy output to ease the country’s energy shortage, will include drilling three wells in the Abu Al Ghardeeq region of the Western Desert, about 200 kilometer west of Cairo, and that it is Egypt’s first contract for the production of unconventional gas.
“The project will require horizontal drilling and hydraulic fracturing, which is the same as the shale gas production method used in the US,” Egypt’s Oil Ministry said in a statement.
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