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PGNiG Getting Closer to Field Exploration in Egypt

Source: www.oilegypt.com 7/23/2007, Location: Africa

PGNiG SA initialled the Arabic and English version of the Concession Agreement for exploration and production of hydrocarbons in the Arab republic of Egypt, in the Bahariya block. PGNiG presented also the relevant preliminary bank guarantee.

According to the information presented during a meeting with representatives of PGNiG and Egyptian General Petroleum Corporation, the Egyptian administrative procedures will enable the Egyptian party to sign the agreement within 6 to 8 months. Only then PGNiG will be able to start the exploration efforts in Egypt.

Polish Oil and Gas Company received the information on the award of the tender for the Bahariya exploration concession on 11 June. The Bahariya block is located approximately 200 km south-west of Cairo in the Western Desert area. During the last 10 years, a number of significant oil field discoveries were made in the Western Desert. The Bahariya block covers the area of 4,414.4 sq. km.

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