QatarEnergy Purchases 23% Stake in Egyptian Offshore Block from Chevron

QatarEnergy has signed an agreement with Chevron to acquire a 23% working interest in the North El-Dabaa (H4) Block, a significant concession in the Mediterranean Sea located offshore Egypt. Through this strategic acquisition, QatarEnergy strengthens its foothold in the Eastern Mediterranean’s oil and gas sector, reflecting the company’s ambition to diversify its global portfolio and contribute to the region’s energy development. Under the agreement, QatarEnergy will assume a 23% stake in the concession, while Chevron, the operator of the block, will retain a 40% share. Other partners in the project include Australia-based energy company Woodside, which holds a 27% interest, and Tharwa Petroleum Company, an Egyptian state-owned enterprise, with a 10% share. This diversified ownership underscores the collaborative efforts among global energy leaders and local Egyptian stakeholders to harness the Mediterranean’s offshore energy potential.

In a statement marking this occasion, His Excellency Mr. Saad Sherida Al-Kaabi, Qatar’s Minister of State for Energy Affairs and CEO of QatarEnergy, highlighted the importance of this agreement as a testament to QatarEnergy’s commitment to supporting Egypt’s oil and gas sector. Al-Kaabi emphasized that the new partnership with Chevron aligns with QatarEnergy’s strategic goal of expanding its role in energy exploration and production worldwide, particularly in promising regions like the Eastern Mediterranean. “This agreement demonstrates our commitment to the oil and gas sector in the Arab Republic of Egypt and further strengthens our partnership with our valued partner, Chevron,” stated Al-Kaabi. He also expressed optimism regarding the upcoming exploration phase, particularly the drilling of the first exploration well on the North El-Dabaa block, and conveyed hopes for a successful and productive outcome. Al-Kaabi extended his gratitude to the Egyptian authorities and the other project partners—Chevron, Woodside, and Tharwa Petroleum—for their support and cooperation in bringing this agreement to fruition.

The North El-Dabaa (H4) Block is strategically positioned about 10 kilometers off Egypt’s Mediterranean coast, spanning water depths that range from 100 meters to a significant 3,000 meters. This deep-water location provides promising opportunities for discovering substantial hydrocarbon resources, which could be pivotal for Egypt’s growing energy sector. As Egypt aims to establish itself as an energy hub in the region, the development of this block aligns with its strategic vision to bolster energy security and attract foreign investments in offshore exploration.

QatarEnergy’s acquisition of a stake in this Egyptian offshore block not only strengthens its partnership with Chevron but also demonstrates its commitment to enhancing its international footprint in oil and gas. The Eastern Mediterranean, with its potential for large natural gas deposits, has become an attractive region for energy companies aiming to meet rising global energy demands. This partnership between QatarEnergy and Chevron adds momentum to the exploration and potential development of significant reserves in the Mediterranean, which could contribute to Egypt’s domestic energy supply and regional exports.

This acquisition exemplifies QatarEnergy’s strategic growth in key international markets and its dedication to collaborative ventures that support energy security and economic development in partner countries. For Chevron, the deal reinforces its leadership in the region’s offshore sector, while QatarEnergy’s entry as a major stakeholder signals confidence in Egypt’s resource potential and regulatory environment. The joint efforts in developing the North El-Dabaa (H4) Block are anticipated to yield significant benefits for all stakeholders involved, while also advancing Egypt’s energy objectives and fostering stronger regional energy cooperation.