BP and Shell are working to turn the tap on at their Harmattan field. The Egyptian Natural Gas Holding Company (EGAS) has signed an agreement with global energy giants BP and Shell to begin production from the offshore Harmattan gas field in the Mediterranean by 1Q 2026, AsharqBusiness reports, citing an unnamed government official. Initial investments in the project’s field operations are estimated to be around USD 370 mn.

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The project will be a welcome help for the country’s efforts to close the gap between local supply and demand, with the estimated 125 mn cubic feet (cbf) of daily production capacity set to help reduce the country’s energy import bill — or at some point hopefully be turned towards export. While the country’s daily demand stands at more than 6 bn cbf per day, current domestic daily production stands at 4.3 bn cbf, bolstered by 900 mn cbf of imports, a senior government source recently told EnterpriseAM.

The details: The project — which will be carried out by the Pharaonic Petroleum Company, a JV between BP and EGAS that operates in the area — will drill three wells in the area. There are also plans to construct an offshore platform and a 50 km-long gas pipeline to connect to an onshore processing station, the outlet’s source added. Construction is planned to be finished by late 2025, with production pencilled in for the start of 2026.

BP is gearing up for a busy 2025: In addition to its newly-launched JV Arcius Energy with Abu Dhabi National Oil Company’s investment arm XRG, the firm is reportedly set to begin drilling two USD 160 mn exploratory natural gas wells in the West Delta at the start of 2025. The firm will invest USD 400 mn to drill two new wells at the Raven natural gas field in its North Alexandria concession during the current fiscal year, according to unconfirmed reports.

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