Eni makes new discovery offshore Egypt

Eni has made a significant gas and condensate discovery in Egypt, with the successful drilling of the Denise W 1 exploration well in the offshore Temsah Concession in the Eastern Mediterranean

Preliminary estimates indicate about 2 trillion cubic feet (Tcf) of gas initially in place (GIIP) and 130 Mbbl of associated condensates.

The Denise W discovery lies 70 km offshore in 95 m of water depth and less than 10 km from existing infrastructure, offering potential for a fast-track development. It features a gas-bearing sandstone reservoir of excellent quality with about 50 m of net pay, similar to the nearby Temsah field.

The drilling of Denise W-1 follows the agreement signed in July 2025 with EGPC and EGAS for a 20-year renewal of the Temsah Concession. Eni operates the Denise Development Lease of the Temsah Concession with a 50% contractor working interest, with bp holding the remaining 50%. The asset is operated through Petrobel, the joint venture operating company between Eni and EGPC.

“The discovery reinforces Eni’s commitment to supporting Egypt’s national goals of boosting reserves and increasing gas production, thereby strengthening the country’s energy security. Also, this new discovery confirms Eni’s successful strategy in substantially rejuvenating producing assets through near-field and infrastructure-led exploration,” Eni said in a statement. In a meeting on the sidelines of the Egyptian Energy Show, the company is reported to have committed to invest US$2bn in Egypt’s energy sector this year.

Eni has been active in Egypt since 1954 and today holds a diversified portfolio spanning exploration, development, and production, with oil and gas production of 242,000 boed equity in 2025. Eni is the operator of Egypt’s largest gas field, Zohr.

The discovery will have come as music to the ears of the Egyptian government, which is encouraging investment and incentivising exploration and production to reverse years of decline and reduce energy imports, a drive which is being given additional impetus by the current situation in the Middle East. These efforts seem to be paying off, with a number of promising discoveries being made recently. This year, Dragon Oil announced a new oil discovery following the successful drilling of the South El Wasl ‘B.B2’ exploration well in the Gulf of Suez, with initial results indicating production rates above 2,000 bpd of oil. While US Apache, in collaboration with the Egyptian General Petroleum Corporation (EGPC), has made a new natural gas discovery in the Western Desert, following the drilling of the SKAL-1X exploratory well in the South Kalabsha area, with initial test results indicating a daily production rates of approximately 26 million cubic feet (mmcf) of natural gas and 2,700 barrels of condensate. Last December, Dana Gas made a significant gas discovery following the drilling of the North El-Basant 1 exploratory well in Egypt’s onshore Nile Delta, which indicated the presence of estimated reserves of 15-25 bn cu/ft of gas, with production potential of more than 8 mn cu/ft per day once the well is connected to the national network.