Egypt attracts investors for geological exploration of 4 gas blocks, Zarubezhneft to explore block in Nile Delta

MOSCOW. Sept 2 (Interfax) - The Egyptian Natural Gas Holding Company (EGAS) has signed contracts with several international companies for the exploration of four gas blocks in the Mediterranean and the Nile Delta; the agreements provide for total investment of $340 million for their development, the Egyptian Petroleum Ministry said.

The largest contract, worth $120 million, was signed with Shell (SPB: RDS.A). The company will drill three wells in the offshore Mediterranean zone of Merneith.

Italy's Eni, in partnership with BP and Qatar Energy, will allocate $100 million for the construction of three wells within the East Port Said concession in the Mediterranean Sea.

Zarubezhneft will drill four wells within the North Khatatba concession in the Nile Delta. Investment will amount to $14 million.

Another agreement, signed with Arceus Energy (a joint venture of BP and ADNOC), concerns hydrocarbon exploration within the North Damietta concession, located offshore in the Mediterranean. The company will allocate around $109 million for these purposes.