Russian oil giant Lukoil was granted the rights to explore and develop the South Wadi Al-Sahel concession in Egypt, a key area for petroleum production in the country, Al Mal has reported, noting that the Russian oil company welcomed the decision one month after it was targeted with fresh sanctions by the US.
Over a period of six years, Lukoil, which has not yet confirmed the deal, will invest a minimum of $22.5 million into the South Wadi Al-Sahel concession which, unlike traditional bidding processes, was awarded through a direct agreement between the Russian oil giant and Egypt’s Petroleum Ministry.
Being active in the energy sector of Egypt for over two decades, Lukoil is implementing at the moment the Eastern desert’s production project West Esh El-Mallaha as operator with a 50% stake while owning at the same time a 24% stake in the Western Desert’s Meleiha project.
