Good afternoon, wonderful people, and welcome to the almost-weekend. Today’s issue is full to the brim, and includes a discussion with Mashreq Egypt’s Mohamed Talaat about recent trends in Egypt’s banking sector, as well as the challenges and the opportunities to expect this year.

THE BIG STORY TODAY

ExxonMobil to invest USD 240 mn in two new exploratory gas wells: US energy giant ExxonMobil plans to drill two offshore gas exploration wells in its Cairo and Masry concessions in the eastern Mediterranean beginning in 1Q 2026, with initial investments of USD 240 mn, a source told Asharq Business. Both concession areas were awarded to ExxonMobil in January 2023, with the company currently holding a 60% stake in the concessions after offloading a 40% stake to Qatari state-owned oil and gas company Qatar Energy last year under a farm-in agreement.

The wells are coming later than expected: We heard back in February 2024 that ExxonMobil would begin exploring for gas in the two concessions by the end of the year. At the time, the price tag was expected to come in around the USD 200 mn mark.

ICYMI: The energy giant announced last month that it had found natural gas at its North Marakia offshore concession after drilling at the block began in mid-December. The exploratory well — ExxonMobil’s first in Egypt — has reportedly seen investments of USD 100 mn in the first phase of the exploration process. ExxonMobil owns 60% of the Mediterranean’s North Marakia offshore concession, while Qatar Energy owns the remaining 40%.

THE BIG STORY ABROAD

Donald Trump’s bizarre plan to take over Gaza and clear out the Palestinians from the enclave is still dominating the world’s digital front pages. All major outlets are leading the news with yesterday’s meeting between Trump and Israeli PM Benjamin Netanyahu, which saw Trump suggest that the US would seize control of Gaza, displace its entire 2 mn population, and turn it into a hospitality and tourism mega project.

Allies and enemies alike are denouncing the plan, including Egypt, Jordan, Saudi Arabia, and Hamas. While Egypt and Jordan had already refused to take in Palestinians living in Gaza per Trump’s suggestion, Saudi Arabia reaffirmed its support for an independent Palestinian state, with the country’s foreign ministry saying that it “will not establish diplomatic relations with Israel without that” in a post on X. Turkey and France have also rejected the plan, and Russia, China, Spain, Ireland, and the UK have reiterated their support for an independent Palestinian state in response to Trump’s statements.

All major international news outlets are covering the news: Reuters | NYT | CNN | BBC | The Guardian | FT

** CATCH UP QUICK on the top stories from today’s EnterpriseAM:

  • Egypt’s non-oil private activity expanded at its highest rate in over four years in January, buoyed by a solid increase in output and sales volumes.
  • EBRD has fully exited its investment in Ibnsina Pharma: The European Bank for Reconstruction and Development (EBRD) has sold the last 8.8% of its stake in EGX-listed pharma distributor Ibnsina Pharma.
  • The luxury Autograph Collection Hotel will take over Mogamma: Cairo House Egypt inked an agreement with Tourism Investment and Marriott International to turn the Mogamma building into an Autograph Collection Hotel.

☀️ TOMORROW’S WEATHER- Prepare for a temperature drop tomorrow in the capital as the mercury rises to a maximum of 17°C in the morning before dropping to 10°C in the evening.

Tags: