The government of Egypt has announced the signing of two major oil exploration agreements with US-based Apache Company, which will help it to address rising energy costs.
The contract, worth US$44m, will include drilling of oil in Western Sahara at a cost of US$ 25m in state grants, and Apache is expected to drill 11 oil wells.
While confirming the signing of the oil exploration and drilling agreement, Egypt oil Minister, Mr. Sharif Ismail, said 35 exploration deals has been signed so far since October 2013. He added these represented about US$ 2b investments and grants worth $24m to help companies drill 149 wells.
Since severe political turmoils in 2011, the government of Egypt has been struggling to match the over rising fuel and energy prices occasioned by the high subsides that have literally turned the most populous country into a net energy exporter into a net importer.