Wednesday, January 23, 2019

Dana Gas to invest USD 5 bn in Egypt in the coming few years - ENTERPRISE

Wednesday, 23 January 2019

INVESTMENT WATCH- Dana Gas to invest USD 5 bn in Egypt in the coming few years:Speaking of foreign players that have been vocal about dues owed by the government: Dana Gas is planning on increasing its investments in Egypt by USD 5 bn “over the coming few years,” CEO Patrick Allman-Ward said at a meeting with Prime Minister Moustafa Madbouly at the World Economic Forum. The investment will see the UAE-based company expand its exploration operations in Egypt, he added. The company has invested USD 2 bn in Egypt since 2007, he noted.

Paying off arrears pays off: Allman-Ward made sure to thank the Egyptian government for its efforts in paying off arrears owed to the company. This is a far cry from 2016, when Dana Gas said it was reevaluating its investments in Egypt in light of the government owing it USD 242 mn. The government slashed arrears down to USD 199 mn with a USD 35 mn payment earlier this month.

More good news for the energy sector and FDI watchers: Foreign players are expected to invest USD 10 bn FY2019-20 in oil and gas E&P, Oil Minister Tarek El Molla told local press. Dues to foreign energy companies fell to USD 1.2 bn and are expected to be completely paid by the end of this year, he said.