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London-headquartered BP is making progress on its campaign to drill five wells in Egypt’s portion of the Mediterranean, according to a statement from the North African country’s oil and gas ministry.

The Fayoum 4 well is scheduled to start production in July, with an estimated output of around 100 million cubic feet of gas a day, according to the ministry.

It said it expected the well to bolster domestic supply during the summer, helping meet demand from power stations and reducing Egypt’s import bill.

BP is planning to invest about $1.5bn in exploration and field development in Egypt during the 2026/27 fiscal year.

Karim Badawi, minister of petroleum and mineral resources, said that intensifying drilling for new wells is a top priority for the ministry, both to unlock fresh exploration opportunities and to increase output from existing fields.

Egypt is currently a net importer of natural gas, and due to this, its economy is expected to be severely impacted by the recent spike in global gas prices as a result of the US and Israel’s war with Iran.

MEED’s March 2026 report on Egypt includes:

> COMMENT: Egypt’s crisis mode gives way to cautious revival
> GOVERNMENT: Egypt adapts its foreign policy approach
> ECONOMY & BANKING: Egypt nears return to economic stability
> OIL & GAS: Egypt’s oil and gas sector shows bright spots
> POWER & WATER: Egypt utility contracts hit $5bn decade peak
> CONSTRUCTION: Coastal destinations are a boon to Egyptian construction