Upstream Opportunities in North Africa Depend on Advanced Technical Knowledge

Conference review - The SPE North Africa Technical Conference and Exhibition The SPE North Africa Technical Conference and Exhibition held in Cairo in September highlighted the upstream sector with a focus on Egypt and the opportunities offered in the region, despite its economic hardships and geopolitical risks. Delivering the keynote speech on behalf of the petroleum minister, Sherif Ismail, who was appointed as Egypt’s prime minister one week before the event, Sherif Sousa said that North Africa offers many opportunities in the upstream sector. Sousa is the first undersecretary of gas affairs at Egypt’s Petroleum and Mineral Resources Ministry. “There are as many opportunities today as there ever were, but they are different and lie in more harsh environments requiring advanced technologies and greater investments. A clear example is the recent Zohr discovery achieved by Eni,” he said. “Zohr is the largest gas discovery ever made in Egypt and in the Mediterranean Sea.” The region is also facing rising costs. “Exploration and production [E&P] costs in different regions are escalating dramatically, putting more pressure on upstream activities, where existing and future oil and gas opportunities cannot be explored without applying state-of-the-art-technologies,” he said. Innovation is required for tapping the region’s vast resources. “We can also expect further innovations to reduce the escalating costs of exploration and production, unlock additional resources, and increase supplies,” Sousa said. Ahmed El-Banbi, program chairman and a professor at Cairo University, said that the oil price downturn may not continue for a long time, and the industry will emerge for the better and more efficient. “We have done this before, and we will do it again. So, get ready for the industry when it bounces back,” he said. Osama El-Bakly, chairman of Agiba Petroleum, said that soaring domestic consumption has led Egyptian General Petroleum Corp. (EGPC) to speed up its development plans. He spoke on behalf of Tarek El Molla, conference chairman and the chief executive officer (CEO) of EGPC.