Zohr Gas Field

The Zohr Gas Field is a major offshore natural gas development located in the Egyptian sector of the Mediterranean Sea, approximately 190 kilometers north of Port Said within the Shorouk concession area. ¹ The project represents the largest gas discovery ever made in the Mediterranean Sea and in Egypt, with estimated gas reserves of 30 trillion cubic feet distributed across an area of about 100 square kilometers. ² The field was discovered in August 2015 by the Italian energy company Eni using the Saipem 10000 drillship, and production officially commenced in December 2017 with an initial capacity of 350 million cubic feet per day. ³

The vision of the project is to “strengthen Egypt’s energy security” by maximizing the utilization of domestic gas resources. ⁴ The project aims to enable Egypt to achieve self-sufficiency in natural gas consumption, eliminate costly LNG imports, and transition from a net energy importer to a net exporter. ^{5 6} The scale of the Zohr field is sufficient to meet Egypt’s domestic natural gas demand and supply a significant share of national energy needs for decades. ⁷ Notably, the field entered production only 28 months after discovery, a record timeline compared with typical offshore developments, which often require six to eight years before first gas. ^{8 9}

To implement the vision, the Zohr Gas Field covers – an offshore area of 100 square kilometers at water depths averaging 1,450 meters, with maximum depths reaching 1,700 meters. The project includes several key components: ¹⁰
– An offshore control and production platform connected to an onshore processing facility located in AL-Gameel area in Port Said Governorate ¹¹
– 600 km of subsea sealines, including a 26-inch gas export trunkline designed within 5 months ^{12 13}
– Multiple offshore production wells, with 13 wells operational by 2019 and a 14th well planned before year-end ¹⁴
– Three gas export pipelines, including two 30-inch pipelines extending up to 216 kilometers, linking subsea installations to onshore treatment facilities ¹⁵
– Eight onshore gas treatment units, including systems for sulphur removal.¹⁶

The project adopted a fast-track development strategy, supported by Saipem’s integrated engineering and construction approach, enabling first gas production slightly more than two years after discovery. ¹⁷ The full field development plan entails the drilling of more than 200 wells over the project’s lifetime. ¹⁸ Special technical features include the longest subsea tie-back ever constructed, extending 220 kilometers in deepwater conditions ranging from 1,400 to 1,800 meters. ¹⁹

The project is managed and implemented by a consortium of international and national stakeholders, including Eni (50 percent ownership), Rosneft (30 percent), BP (10 percent), and Mubadala Petroleum (10 percent). ²⁰ Operations are carried out by Petrobel, jointly owned by Eni and the Egyptian General Petroleum Corporation (EGPC), on behalf of Petroshorouk, which is jointly held by Eni, its partners, and the Egyptian Natural Gas Holding Company (EGAS). ²¹ Saipem served as the main contractor, playing a central role across the whole Engineering, Procurement, Construction, and Installation phases. ²² Project implementation was structured into phases successive development phases: ²³
· Phase 1: Completed in December 2017, initiating production at 350 million cubic feet per day. ²⁴
· Phase 2: Launched in 2018, involving the drilling of 14 additional wells and expansion of processing facilities, increasing production to 2 billion cubic feet per day by September 2018 and reaching peak output of 2.7 billion cubic feet per day by August 2019. ²⁵
· Ongoing Expansion: Continued drilling activities between 2018 and 2019, including completion of the 13th well in October 2019 and preparation of the 14th well, with targets to exceed 3 billion cubic feet per day. ²⁶

Currently, the Zohr Gas Field is operational and under continued expansion, supported by ongoing investments of USD 1.2 billion during 2023-2024 and an additional USD 535 million investment plans covering fiscal years 2023/24 and 2024/25. ^{27 28 29} Upon full development, the field is expected to nearly double Egypt’s proven gas reserves and generate substantial revenues for the national economy, supporting fiscal stability and broader economic recovery. ³⁰ Total investment in the Zohr development is estimated at USD 12 billion by the end of stage two in 2019, with cumulative investments reaching approximately USD 10.6 billion by August 2019. ³¹