Egypt has announced its largest desert oil and gas discovery in more than 15 years, marking a major milestone for the country’s energy sector.
The breakthrough came from the Bustan South-1X exploratory well drilled by Agiba Petroleum, a joint venture between the Egyptian General Petroleum Corporation and Eni, using the Egyptian Drilling Company’s EDC-9 rig.
Over the past two years, Agiba Petroleum has intensified drilling activities in the Western Desert, contributing to crude oil production rising to nearly 32,000 barrels per day, the highest output recorded in three years.
Authorities highlighted the strategic location of the new discovery, noting that it sits just 10 kilometres from existing pipelines and production facilities.
Officials believe this close proximity will significantly lower development costs and allow faster integration into Egypt’s energy infrastructure.
The discovery was officially announced by the Ministry of Petroleum and Mineral Resources, which described it as a major boost to the country’s energy ambitions and an encouraging signal for foreign investors amid ongoing uncertainty in global energy markets.
The ministry added that the success reflects the impact of recently introduced incentives aimed at attracting multinational energy firms.
According to officials, the policies are designed to encourage exploration near existing oil and gas fields, helping accelerate production timelines while reducing operational costs.
Preliminary assessments suggest the field contains roughly 330 billion cubic feet of natural gas along with an estimated 10 million barrels of condensate and crude oil.
Overall, the reserves are believed to hold close to 70 million barrels of oil equivalent, according to The National News.
The latest discovery adds to a series of recent energy successes for Egypt.
The announcement also comes at a time when geopolitical tensions, particularly involving Iran, continue to create volatility in global oil and gas markets.
Concerns over supply disruptions have pushed energy prices higher, increasing pressure on producing nations such as Egypt to expand output and strengthen energy security.
Recent discoveries across Egypt
Earlier this year, Eni announced another major offshore gas discovery in the Mediterranean Sea, estimated to contain more than two trillion cubic feet of gas and around 130 million barrels of associated condensates.
In March, Egypt and U.S.-based Apache Corporation revealed a separate natural gas discovery in the Western Desert.
The Ministry of Petroleum and Mineral Resources stated that the field is expected to produce approximately 26 million cubic feet of gas daily alongside an estimated 2,700 barrels of condensate.
Back in November 2025, the Petroleum and Mineral Resources Authority announced that Khalda Petroleum Company discovered gas at the exploratory Gomana-1 well, with electrical logs confirming gas-bearing formations.
Initial testing showed production levels of around 36 million cubic feet per day.
Earlier in June 2025, the Egyptian General Petroleum Corporation also reported another oil and gas discovery in the Abu Sennan brownfield located in the Western Desert.
According to ministry officials, early tests from the GPR-1X well indicated production potential of up to 1,400 barrels of crude oil and one million cubic feet of gas per day from the Bahariya formation.