THE TEAM
CEO
Mohamed Fouad
General Manager
Ayman Rady
Research & Analysis Manager
Dr. Mahinaz El Baz
Managing Editor
Ihab Shaarawy
Senior Research Analyst
Reham Gamal
Research Analysts
Jolly Monsef
Mariam Ahmed
Youstina Mounir
Statistician
Nada Abbas
Senior Editor
Nader Ramadan
Senior Writer
Sarah Samir
Staff Writers
Fatma Ahmed
Israa Nour Eldeen
Chief Reporter
Wael El-Serag
Business Development M.
Tamara Ewiss
Creative Art Director
Omar Ghazal
Graphic Designer
Merna William
SECTION 1: UPSTREAM ACTIVITIES
AGREEMENTS, RESEARCH AND EXPLORATION
In the framework of facing the challenges in the global oil and gas markets by increasing production, an intensive work program was implemented during the year to increase oil and gas reserves by issuing international bids and intensifying search and exploration operations, which will reflect positively on increasing the rates of domestic production of oil and gas and lead to a decrease in the amount of imported crude oil and some petroleum products. In this context, the year witnessed a number of positive indicators:
Results of the Two Digital Bid Rounds by EGAS
This bidround is the third to be launched through the Egypt Upstream Gateway (EUG), which was launched by the ministry in early 2021 as part of a new approach to develop its approach of attracting investments for research and exploration projects by applying the latest international methods and technologies in issuing bids for investors and international companies, and facilitating and digitizing procedures in support of speedy investment decision-making.
Completion of 2nd Phase of 3D Seismic Survey
Location
The Red Sea
Area 6,983 Km2
Cost $60 million
13 Development Leases Areas
The petroleum sector has made a new discovery of natural gas in the Nargis offshore area in the Mediterranean, in which Chevron International is investing. The new discovery, whose reserves are currently being evaluated, is one of the results of the ministry's work strategy in recent years to create an attractive environment for international oil companies to pump their investments to search for gas and oil in Egypt, which succeeded in attracting the two largest international companies, ExxonMobil and Chevron.
EGYPT'S NATURAL GAS
In 2022, the Egyptian natural gas exports hit a new record to reach $8.4 billion.
The petroleum sector succeeded in investing in the government's plan to rationalize electricity consumption, which was approved last August, in providing additional quantities for export, in order to take advantage of the high international prices of LNG.
SECTION 2: MIDSTREAM ACTIVITIES
PETROLEUM PRODUCTS & NATURAL GAS CONSUMPTION
In continuation of the state of complete stability witnessed by the local market in meeting its needs for fuel supplies, the needs of citizens and the various sectors of the state for petroleum products and natural gas were met during the year.
UPGRADING PETROLEUM PRODUCTS AND NATURAL GAS
Haya Karima Initiative
The policy of the Ministry of Petroleum & Mineral Resources (Mop) aims to raise the level of services provided to citizens to obtain petroleum and gas products in order to achieve the goal of reaching all consumers throughout the Republic in an easy and convenient manner. In this regard, during the year 2022, the following was achieved:
» Transportation and Distribution of Petroleum Products Newly Operated 101
Car Fuel & Services Stations
Butane Cylinders Distribution Centers
18 Newly Added
3,092 Total
» The National Project to Deliver Natural Gas to Residential Units
In continuation of the efforts of the petroleum sector in implementing the national project to deliver natural gas to residential units in line with the state’s policy to create a kind of social justice, especially for the governorates and regions most in need, and to reduce citizens’ troubles in obtaining butane gas cylinders, the use of natural gas has been expanded as a substitute for butane, according to the following:
Natural Gas Delivery to Residential Units Areas Units Replacing Total Units Since Operating
200 1.1 - 1.2 million
19 million Butane Cylinders
14 million
SECTION 2: MIDSTREAM ACTIVITIES
Natural Gas Delivery to Commercial Units & Factories
1,825 Commercial 124 Factories
Within the framework of the commitment of the MoP to implement the objectives of the initiatives and presidential assignments, the most important of which is the (Decent Life) initiative to develop the villages of the Egyptian countryside and the neediest villages and hamlets. Natural
Extending Natural Gas Networks to Villages
700
» Expanding the Use of Compressed Natural Gas as Car Fuel
Within the framework of implementing the presidential initiative to expand the use of natural gas as a fuel in cars, the MoP is working hard to expand the activity of converting cars to run on natural gas and increase the number of fuel stations with compressed natural gas (CNG), as well as centers for converting cars to run on natural gas at the level of the Republic.
Unleashing The Harvest of 365 days - 2022 Overview 8
125
CNG Fuel Stations 2021 2022
CNG 73 93 Rate of Change 27%
SECTION 3: REFINING, PETROCHEMICAL & INFRASTRUCTURE PROJECTS
As an investment in the remarkable achievements that took place during the past eight years, the MoP has continued its efforts to increase investments in refining and petrochemical projects as well as infrastructure and operates them in an optimum economic way which can achieve sustainability, reduce costs and reduce emissions. This will keep up the stability of fuel supply to the domestic market which was achieved years ago. Also, this will support Egypt’s plan to become a leading energy hub for trading oil and gas.
4. ESTABLISHING ATMOSPHERIC DISTILLATION COMPLEX AT ASORC
Capacity 5 mmt/y
5. CDU & VRU PROJECTS AT NPC
high-economic value petroleum products
IMPLEMENTED REFINING PROJECTS
1.
HUGE EXPANSION PETROCHEMICAL INVESTMENTS
2022 saw momentum in the petrochemical industry and the opening of new horizons for new projects that add to Egypt's current capabilities in this industry within the framework of MoP’s vision for its development.
The Current Ongoing Petrochemical Projects:
1. MEDIUM-DENSITY FIBERBOARD (MDF) PRODUCTION PROJECT AT BEHEIRA
SECTION
3: REFINING, PETROCHEMICAL & INFRASTRUCTURE PROJECTS
2. METHANOL DERIVATIVES PRODUCTION PROJECT AT DAMIETTA
Green Projects
Replace & Renew VCM Production Plant Project
SNF: 52,000 UF: 87,000
3. RED SEA PETROCHEMICALS COMPLEX
Purpose Establishing a giant petrochemicals complex in the ScZone
UNDER-PREPARATION PROJECTS
Projects in New Alamein
Al Alamein Petrochemicals Complex Soda Ash Complex
Silicon Production Complex
A Project to Produce BioEthanol from Molasses Project at Damietta
Under-study Projects
Biodegradable Plastic Project
INFRASTRUCTURE PROJECTS
Green Naphtha from Algae Oil Production Project
Crude Oil and Petroleum Products Pipelines Projects
New Pipelines
4 Total Length 50 km
Cost EGP 793 million
Natural Gas National Grid Projects
9 New Pipelines
16,000 km
Total Length
SECTION 3: REFINING, PETROCHEMICAL & INFRASTRUCTURE PROJECTS
Warehousing & Handling Projects
1. COMPLETING THE DEVELOPMENT OF MOSTOROD WAREHOUSE PROJECT
Completion Date Cost
August 2022 EGP 345 million
Won the award of excellence for the best specialized port in Egypt for the year 2022.
Thanks to applying HSE standards
Date Total Project’s Cost EGP 1.6 billion
SECTION 4: SUSTAINABILITY & REGIONAL PERFORMANCE
EGYPT IS REGIONAL HUB FOR TRADING OIL AND GAS
In its effort to turn Egypt into a regional trading hub for oil and gas, the Ministry of Petroleum and Mineral Resources is working on different levels to boost cooperation and coordination both regionally and internationally, in addition to promoting its competitive potential in this industry either at the level of coordination with the governments of countries or international companies operating in the region.
During 2022, work and coordination took place with neighboring countries and the European Union (EU) through technical work group that hold meetings periodically in order to research and study how to bring the largest amount of eastern Mediterranean gas to Egypt for re-export or the possibility of using it in the local market.
In this regard, remarkable accomplishments have been achieved during the past year including:
Signing a Tripartite MoU under the East Mediterranean Gas Forum (EMGF)
THE EMGF… ACTIVE ROLE AND OUTSTANDING OUTCOMES
The East Mediterranean Gas Forum (EMGF), being established with seven Mediterranean countries and with its headquarters in Cairo, has played an active role in enhancing natural gas cooperation in coordination with the Forum’s member states, in addition to the EU and US as observers. The Forum aims to develop sustainable regional gas markets to maximize the utilization of unlocked natural gas in the East Mediterranean region and promote the competitive advantages enjoyed by Egypt.
One of the most significant outcomes of the Forum is the signing of the tripartite MoU in Cairo between Egypt, the EU, and Israel to cooperate in natural gas transport from the East Mediterranean to Europe by using Egyptian infrastructure.
Signing an Egyptian-Palestinian MoU
Target
Development of the Gaza Marine gas field with the participation of EGAS
Launching initiative to reduce emissions and decarbonize natural gas industry in the forum countries
June 2022
Date Objective
Partners
The European Union (EU) and Israel
Signing a Declaration of Intent
The
Egypt took over the presidency of the forum in 2023, headed by H.E. Eng. Tarek El Molla
AN ACTIVE PRESENCE ON THE REGIONAL AND INTERNATIONAL ARENAS
The Egyptian petroleum industry continued its active presence in several important international energy conferences.
The Egyptian Presence on the Regional and International Areas
1. Egypt in Gas Exporting Countries Forum (GECF)
» Hosting the ministerial meeting of the Forum in October 2022 in Cairo.
» The Egyptian Minister of Petroleum and Mineral Resources, Tarek El Molla, was the chairman of the forum.
» Participating in Summit of Heads of State of the GECF Member Countries in Doha in February 2022.
SECTION 4: SUSTAINABILITY & REGIONAL PERFORMANCE
2. Egypt’s Events & Regional Participation in
» Hosting the General Assembly of the Mediterranean Energy Regulators (MEDREG) for the first time in December 2022, through Gas Regulatory Authority (GASREG).
» Joining the membership of the Global Gas Centre through EGAS.
» Organizing the 5th Edition of Egypt Petroleum Show (EGYPS 2022).
3. Egypt's Global Participation
» EU-Africa Business Summit in Brussels.
» CERAWeek Energy Conference in Houston.
» International Energy Agency (IEA) conference in Paris via videoconference.
» World Economic Forum in Davos.
» GasTech Conference in Milan.
» Abu Dhabi International Petroleum Exhibition & Conference (ADIPEC).
HUMAN CADRES DEVELOPMENT
Within the framework of the Modernization project to maximize the utilization of human capabilities in the sector as a primary guarantee for sustainable performance and raising the employee’s efficiency as well as their skills, a lot of achievements were carried out in this regard, including:
The 2nd Edition of the MoP’s Youth and Middle Management Program
Completion Date
September 2022
416
Selected participants to join the standardized training phase
831
Evaluated Applicants
Completed Programs
282 Trainees
275
Sponsor
American Chamber of Commerce in Egypt
Signing a set of MoUs with major international oil and energy companies to sponsor various training programs in the next stage
Selected Candidates
Empowering young cadres
150
A plan has been prepared to empower distinguished cadres from the best graduates of capacity-building programs to get benefit from them in the different activities of the sector. Some cadres have already been chosen to work on new strategic projects in the sector, such as the Egypt Upstream Gateway (EUG) project, the sector restructuring project, and the various teams that work on development projects in addition to hiring them to take over leadership positions to bring about positive change in companies.
ENERGY TRANSITION AND EMISSIONS REDUCTION
Energy transition and emission reduction are major parts of the petroleum sector’s strategy. The petroleum sector has adopted a vision and plan to convert to low-carbon energy sources and reduce carbon emissions in accordance with the main axes, including choosing natural gas as the main fuel during the transitional phase towards a full energy transition and expanding its use in Egypt. The implementation of several petrochemical projects is currently being studied, aiming at preserving the environment as well as producing and exploiting hydrogen.
SECTION 4: SUSTAINABILITY & REGIONAL PERFORMANCE
Establishing Center of Excellence for Energy E ciency
Egypt hosted COP 27, which was held in Sharm El-Sheikh from 6-18 November 2022. For the first time in the history of the COP climate summits and conferences since its launch in 1995, the MoP, international and local oil companies, and other industry-related organizations and institutions participated in the conference.
*The first three training programs were implemented during October 2022
Other Emissions Reduction & Green Projects
Partner Implementation of the first Methane Measurement Campaign
Germany
Aim
Role of the MoP during COP27
Organized the "Carbon Emissions Reduction” Day
November 11, 2022
The activities included
- Holding 8 sessions to review the e orts and plans in reducing emissions and accelerating the energy transition.
- Participation in a session on the American initiative to reach zero harmful emissions.
- Participation in the activities of the thematic energy day.
- Holding more than 20 bilateral meetings with a number of energy and petroleum ministers and o cials, heads of international companies, international and regional energy institutions.
Major MoP’s Outcomes from COP27
Aim Cooperating
Announcing Issuing Participation in signing MoU with EU The energy e ciency strategy in the Egyptian petroleum sector until 2035 Egypt's strategy framework for low carbon hydrogen In the field of production, consumption, trade of green hydrogen and its derivatives The Sharm El-Sheikh road map to reduce methane emissions from the petroleum sector The Eastern Mediterranean Gas Forum initiative to decarbonize
SECTION 4: SUSTAINABILITY & REGIONAL PERFORMANCE
Signing 7 MoUs & Agreements
The MoP & Its Subsidiaries
International Companies
Shell SeaSplit
General Electric TotalEnergies
Bechtel Alliance
Toyota Tsusho
Microsoft Hiiroc
Sustainability & Emissions Reductions
DIGITALIZATION OF THE PETROLEUM SECTOR
The MoP was keen to proceed with the implementation of the ambitious oil and gas sector digitalization program in an effort to develop and modernize the sector with the aim of improving work cycles and systems. This will also establish an integrated digital system that can enhance coordination between the sector’s activities as well as make data available to enable fast decisionmaking and provide support for managing crises.
PETROLEUM SECTOR MODERNIZATION
1. Updating Egypt Upstream Gateway as follows:
» Building two digital centers for exploration and production data.
» Uploading all technical data for the last 70 years.
» Conducting studies on the various geological basins as a basic means for designing bidding areas and encouraging investment.
2. Completing the projects to develop and modernize the information technology infrastructure and data centers in the petroleum companies
3. The implementation of the ERP management system that achieved great results
DIGITALIZATION TO ENHANCE EFFICIENCY IN REFINERIES
These projects are the first of their kind to implement digital transformation and unprecedented technological development in the management of Egyptian oil refineries to raise operational efficiency and achieve the highest levels of optimal economic operation. This year the implementation of the ERP management and planning system for refineries affiliated with the Egyptian General Petroleum Corporation (EGPC) was completed. In addition, the control room and automatic follow-up of refinery operations were launched. Moreover, the implementation of resource planning and management systems has started for companies distributing petroleum products.
Digital Transformation to Raise Efficiency in the Refineries
» Starting the project of controlling and monitoring crude oil and petroleum products transportation by establishing a main control center (SCADA).
» Starting 55 additional projects for resource planning systems, to reach 62 projects until December 2022.
» Issuing the financial statements of the EGPC for the 1st time from the asset planning and resource management system.
» Completion of the unified platform project for GIS.
THE NEW PETROLEUM SECTOR STRATEGY FOR SOCIAL RESPONSIBILITY
During the year many important steps were taken within the framework of the petroleum sector new strategy for social responsibility that was launched late last year to unify the efforts of national and foreign oil companies operating in Egypt under the umbrella of the MoP.
This will contribute effectively to the leadership of the Egyptian oil sector in economic and sustainable development and work to improve the quality of living conditions for local communities and Egyptian society as a whole. It seeks to accomplish this by focusing and unifying efforts to contribute to fulfilling the priorities that the Egyptian society needs.
The year witnessed the signing of two cooperation agreements by Minister of Petroleum and Mineral Resources Tarek El Molla,
SECTION 4: SUSTAINABILITY & REGIONAL PERFORMANCE
regarding the implementation of integrated development of rain-fed communities in Matrouh Governorate, and the implementation of an integrated, smart and sustainable community in the Maktab Valley in Abu Dis, South Sinai Governorate, using modern techniques.
A joint protocol was also signed between the Ministry of Health and Population and the Italian ENI Foundation, represented by IEOC in Egypt, to enhance means of cooperation in the community health project in Port Said Governorate and support health care facilities. This agreement demonstrates the petroleum sector’s commitment through its strategy.
Launching Community Development Initiatives
Aspects Education, Health, Environment, Employment, and Raising the e ciency of the surrounding areas.
A Project to Support People A ected by the Floods in Aswan
Establishing and Operating the Technology School
Location
The Zohr field in Port Said Active participation in “Haya Karima” initiative
SECTION 5: MINERAL RESOURCES DEVELOPMENT
The MoP continues to implement work plans and programs as part of the mining sector’s development strategy, which aims to attract investments and enable its strong contribution to national production through an integrated system of procedures to modernize the methods of mining work and maximize the valueadded of mineral raw materials. This can also be achieved by benefiting from production facilities and distinguished expertise in this field as well as Egypt's possession of very important mining areas in the Eastern Desert region.
2022 Most Important Mining Achievements
Result of the International Gold Bid Round
(2nd Round)
Completion of Training Program for Mineral Resources Workers
Result of The Ores and Associated
Participation in