President Abdel Fattah El-Sisi stressed the need to ensure the timely settlement of financial obligations to international oil companies, noting that maintaining regular payments is essential to encourage further exploration and production activities. He also called for establishing a clear framework to enhance exploration, research, and development efforts in order to meet domestic energy demand and reduce dependence on imports.
The remarks came during a meeting on Wednesday between President Sisi and Karim Badawi to review progress on initiatives aimed at increasing oil and gas output by Egyptian companies. The discussion focused on expanding the use of modern extraction techniques, particularly hydraulic fracturing and horizontal drilling.
Badawi said the petroleum sector is moving quickly to deploy these technologies, which allow producers to tap oil and gas reserves that are difficult to access through traditional drilling methods. He noted that wider adoption of such techniques could significantly boost crude oil and natural gas production levels.
During the meeting, President Sisi highlighted the importance of adopting and localizing advanced technologies that improve productivity, drawing on successful international and regional experiences. He also called for creating appropriate mechanisms to ensure the most efficient economic use of these technologies in partnership with major global drilling service providers and technology companies.
The discussions also covered the progress of Egypt’s airborne survey program for mineral resources, which is intended to support greater investment in the mining sector. In addition, officials reviewed recent adjustments in petroleum product and natural gas prices amid escalating developments in the region.
President Sisi also followed up on measures being implemented to secure sufficient petroleum supplies for key sectors, including electricity generation and industrial activities.
For his part, the petroleum minister reaffirmed the sector’s commitment to reducing outstanding payments owed to foreign partners until they are fully cleared. He added that the government is ensuring the regular payment of monthly obligations to prevent the accumulation of new arrears.
Badawi also noted that the ministry is maintaining continuous dialogue with investors to better understand their needs and proposals, with the aim of developing frameworks that deliver the greatest mutual benefit for all stakeholders.