Egypt signs MoU with TotalEnergies for West Mediterranean gas exploration

Egyptian Natural Gas Holding Company (EGAS), the state-owned company affiliated with Egypt’s Ministry of Petroleum and Mineral Resources, signed a memorandum of understanding on May 13 with French energy major TotalEnergies (EPA:TTE) to cooperate on natural gas exploration activities in the western Mediterranean region, according to a statement, cited by Al Watan.

Minister of Petroleum and Mineral Resources Karim Badawi said the agreement establishes a framework for technical cooperation between EGAS and TotalEnergies, including preliminary exploration studies, geological assessments and subsurface evaluations aimed at paving the way for future exploration operations while reducing investment risks.

Badawi noted that the agreement follows extensive high-level discussions between both parties that began during the visit of TotalEnergies’ CEO to Cairo for the opening of this year’s Egypt Energy Show (EGYPS). The talks focused on the company’s broader return to natural gas exploration investments in Egypt, particularly in the western Mediterranean, taking advantage of investment incentives and reforms introduced by the government.

The minister welcomed the company’s return to gas exploration activities in Egypt, describing the partnership as evidence of the ministry’s efforts to create an attractive investment climate through incentives, flexible regulatory frameworks and the settlement of partners’ dues. PM Mostafa Madbouly said the government is working to attract additional investments into exploration activities, noting the strategic importance of the Mediterranean region and Egypt’s strong infrastructure in supporting future gas discoveries and reducing energy import costs.

Throughout April 2026, Egypt’s energy sector has seen a major resurgence as Italian energy group Eni (BIT:ENI) announced a significant 2 trillion cubic feet (Tcf) gas discovery at the Denise W-1 well, while Arcius Energy, the bp (LSE:BP)-ADNOC joint venture, reached a $500mn final Investment decision to develop the Harmattan field.