Cairo: Egypt has signed four significant oil and gas exploration agreements totaling over $340 million with leading international firms, aiming to bolster domestic production amid growing energy demands.

According to State Information Service Egypt, the petroleum ministry announced these deals, which focus on offshore blocks in the Mediterranean and the Nile Delta. The agreements include commitments to drill 10 new wells and were signed by the state-owned Egyptian Natural Gas Holding Company (EGAS).

The largest agreement, valued at $120 million, was made with Shell International for exploration in the Merneith offshore area of the Mediterranean, which involves the drilling of three wells. Italian energy giant Eni has committed $100 million for three wells in the East Port Said offshore block. A $14 million deal with Russia's Zarubezhneft will cover the North Khatatba concession in the Nile Delta, with plans to drill four wells.

Meanwhile, Arcius Energy - a joint venture between British Petroleum (BP) and XRG, the investment arm of the UAE's state oil firm Abu Dhabi National Oil Company (ADNOC) - will invest $109 million in the North Damietta offshore area. These agreements are set against a backdrop of declining supplies from existing gas fields and increasing electricity consumption, which have placed Egypt's energy sector under significant stress. Officials have noted that regional tensions have further exacerbated these challenges.

The petroleum ministry emphasized that these new contracts are part of a larger strategy to expand exploration efforts, ensure a steady domestic supply, and strengthen Egypt's position as a regional energy hub.