Egypt inks $5bn oil deal; $2.16bn transport deal-UPDATE

Oil Minister Sherif Ismail said he expected the investment in several discoveries would generate production of 900 million standard cubic feet of gas.

Egypt inks $5bn oil deal; $2.16bn transport deal-UPDATE

World Bulletin / News Desk

 Egypt's Petroleum Ministry on Saturday signed a deal with Italian petroleum operator Eni to develop concessions in various areas of the country at investments worth $5 billion.

The deal was signed between Egypt's Petroleum Minister Sherif Ismail and Eni CEO Claudio Descalzi on the sidelines of an economic summit that kicked off Friday in the Red Sea resort town of Sharm el-Sheikh.

Ismail said that the new agreement will extend to nearly five years, during which the Italian operator is projected to generate 900 million standard cubic feet of natural gas.


Egypt's Transport Ministry on Saturday signed six agreements with international firms to develop sea ports and railway projects with investments worth $2.16 billion.

The ministry inked a deal with DP World, an Emirati marine terminal operator, to build a liquid bulk storage terminal in the Red Sea port of Ain Sokhna for $415 million, Transport Minister Hani Dahi said in statement.

The project includes acquiring a 250 square kilometer plot of land to implement the liquid bulk terminal, Dahi said.

The minister went on to note that the ministry has also signed two deals worth $500 million each with China's AVIC International Holding Corporation.

The deal will see the Chinese company manufacture trains in Egypt, as well as fund, build and operate an electric train project connecting the coastal city of Alexandria to the Mediterranean town of Abu Qir.

The ministry has also signed an MoU to build a railway line for transporting goods between Ain Sokhna and Helwan city south of capital Cairo, with investments worth $490 million, according to Dahi.

Another MoU has been signed between the ministry and an international firm to develop a multipurpose terminal in the port of Alexandria with $250 million in investments, Dahi said.

In addition, the ministry has inked an MoU with an Italian railway company for the development of the Abu Qir railway with $10 million in investments.

The Egyptian government has unveiled a host of investment projects at a major economic conference in the Red Sea town of Sharm el-Sheikh in hopes of luring investment to revive its economy.

Egypt received a total of $4.7 billion worth of foreign investment during the 2013/14 fiscal year.

The Egyptian government expects a 4 percent GDP growth in 2014/15, up from 2.1 percent the previous fiscal year.


Güncelleme Tarihi: 14 Mart 2015, 16:43