Ahmad 
Abu Dhabi National Oil Company (ADNOC) and British company BP announced in a joint statement that they have reached an agreement to establish a joint venture in Egypt, which focuses mainly on the development of gas assets.
According to the statement, BP will have a 51 percent share of the project, which is expected to be completed during the second half of 2024, while ADNOC will own 49 percent.
The joint venture marks the second phase of cooperation between the two companies in the Eastern Mediterranean region, following the planned acquisition of a 50% stake in Israeli gas producer Neomed, and despite the current challenges, talks on the deal are ongoing.
As ADNOC, the UAE’s oil company, seeks to expand its gas business locally and globally, BP is working to reduce its oil and gas production by 25% by 2030.
BP will contribute to the new project with its assets in three development concessions as well as exploration agreements in Egypt, while ADNOC will provide a proportionate cash contribution that can be used for future growth opportunities.
The cooperation comes amid economic challenges facing Egypt, with talks underway with the International Monetary Fund (IMF) to strengthen a three-billion-dollar loan agreement.
This partnership demonstrates the UAE’s commitment to strengthening ties with Egypt, which has provided financial support during previous crises and is currently focused on increasing investments.
The joint venture includes several concessions that include important exploration areas, contributing to Egypt’s energy security and enhancing the country’s economic potential.